A mobile carrier logo is displayed at a carrier store in Seoul. Yonhap News
Going forward, all LTE·5G data plans from the three carriers will include the ‘Data Safety Option’ without any price increase. The Data Safety Option is a service that allows unlimited data at a reduced speed after the basic data allowance is used up.
The Ministry of Science and ICT on the 9th announced at the ‘Special Management Task Force of Related Ministers on Cost of Living (TF)’ the direction for overhauling plans at the three carriers to guarantee basic communication rights. Since last year, the government has been consulting with the three carriers in line with the policy direction of guaranteeing basic access to data.
The three carriers decided to apply the Data Safety Option to all LTE·5G data plans, not only to the revamped plans going forward but also to existing data plans that do not include it. Users on low-priced plans in the 20,000 KRW range will also be able to use the Data Safety Option at 400Kbps (kilobits per second) at no additional cost. At 400Kbps, video viewing is difficult, but basic messenger use and map searches are possible. This service is currently sold for 5,500 KRW per month.
The government explained that about 7.17 million users will benefit, and that annual savings on telecom bills of around 322.1 billion KRW are expected when reduced overage charges and plan downgrades are taken into account.
For seniors aged 65 and older, voice and text allowances will be expanded. Seniors who enroll in the revamped plans will receive unlimited voice and text. Seniors using existing plans that limit voice and text will also receive additional voice and text. The number of senior users who will benefit is estimated at about 1.4 million, and the bill reduction effect is estimated at about 59 billion KRW annually.
In addition, LTE·5G plans will be integrated and streamlined. There has long been criticism that an excessive number of plans increases consumer confusion and makes comparisons difficult. Across the three carriers, the roughly 250 plans will be reduced to less than half. A 5G plan in the 20,000 KRW range will also be launched. Currently, 5G plans at the three carriers start in the high 30,000 KRW range. Additional benefits will be applied automatically by age when subscribing to general plans, without the need to sign up for separate youth or senior plans.
This overhaul applies only to the three carriers. An official at the Ministry of Science and ICT said, “In the case of MVNOs, the government, the MVNO industry, and the three carriers (that provide the networks) are in discussions.”
Vice Prime Minister and Minister of Science and ICT Bae Kyung-hoon said, “We will proceed with the overhaul process with the three carriers without a hitch so that the public can feel the benefits of the plan revamp as soon as possible, and we will complete it within the first half of the year.”