Representative Kim Young-sik “SKT’s’online 5G plan’ is concerned about hindering market competition

▲ Kim Young-sik, National Power of Congress. Ⓒ Kim Young-sik’s office

Rep. Kim Young-sik pointed out that SK Telecom’s online-only 5G plan could hinder competition in the mobile communication market.

Rep. Kim, a member of the National Assembly’s Science and Technology Information Broadcasting and Communications Committee, said on the 5th, “The untact plan reported by SK Telecom is an unfavorable plan for users of combined products when considering the discount rate of the rate plan.” Because there is, it is necessary to supplement this.”

Earlier, in December of last year, SK Telecom reported to the Ministry of Science and ICT for an online 5G plan, which is 30% cheaper than the 5G plan to subscribe offline.

The plan is known to include products that provide 9GB of data for 30,000 won per month and 200GB of data for 50,000 won per month. However, the optional contract discount and combined discount do not apply to these products.

Regarding this, Rep. Kim said, “When looking at the current composition of SK Telecom’s mobile phone and wired Internet combination products, the discount benefit decreases by 11,000 won when one mobile phone line decreases based on a three-person household.” “The benefits of applying a combined discount by receiving an optional contract discount on the original plan are 7250 won per month more than the new plan,” he said.

He said, “Article 28, Paragraph 1 of the Telecommunications Business Act allows you to reject a report if it is deemed that there is a high risk of harming the user’s interests, such as unfairly discriminating against specific users according to fees and conditions of use.” The marketing cost reduction effect through Untact is not applied to combined product users, but is limited to users of mobile phones alone, so it can be viewed as a user-differentiated plan.”

In addition, “Article 28 (4) 2 of the Telecommunications Business Act can reject the report even if it is deemed that there is a high risk of harming fair competition in consideration of the consideration for wholesale provision.” “Because it corresponds to an act of unfair sale, it is contrary to two laws of the Telecommunications Business Act and the Fair Trade Act to release an untact plan without lowering the wholesale rates of affordable phones.”

In addition, Rep. Kim said, “Because the reservation system of the Telecommunications Business Act is for price reduction through revitalization of rate competition among communication service providers, the launch of a rate plan contrary to the purpose of the system should be avoided.”