KCC may abolish mobile subscription fees

Dylan Bushell-Embling
14 Jan 2013
Daily News

South Korean regulators are reportedly seeking to abolish subscription fees on new mobile services, and plan to pursue other initiatives aimed at improving consumer choices.

The Korea Communications Commission will likely detail its plans to new president-elect Park Geun-hye’s transition team at a briefing Wednesday, JoongAng Dailyreported, citing an official at the regulator.

The policy proposals have been formulated based on Park's election pledges surrounding the telecom and broadcasting sectors, the official said.

KCC's plan includes convincing operators to abolish the initial fee of between 24,000 won ($23) and 40,000 won that new subscribers to mobile services currently have to pay.

The regulator will also call on operators to diversify their calling plans - with a focus on including higher data allocations - based on complaints from consumers that they are not being given enough choice.

Other initiatives will be aimed at encouraging competition in the MVNO sector, particularly increasing the number of MVNOs offering “altteul,” or low-cost phone services. The regulator also wants prices for these plans cut even further.

KCC will also aim to ensure the continued growth the pre-paid market, the official added.

Park Geon-hye's pre-election pledges included reducing telecom bills for consumers, and adding 30,000 jobs in the broadcasting and telecom sectors by 2014. Her administration will be inaugurated on February 25.

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