Unlimited 5G data for around 20,000 won... Government to overhaul mobile pricing structure

The government plans to introduce, as early as the first half of this year, a fifth-generation mobile communication technology (5G) data plan priced in the 20,000 won range. In addition, a data safety option based on Quality of Service (QoS) will be applied to all plans, so that even after users exhaust their allotted data, a basic level of data access will still be guaranteed. The aim is to ensure "basic communication rights" so that no citizen is excluded from everyday communication and access to information.
The Ministry of Science and ICT on the 8th held a briefing of the Task Force of Related Ministers for Special Management of Consumer Prices at Government Complex Sejong and announced the direction for restructuring the mobile plans of the three major mobile carriers. The government has been pushing the reduction of perceived mobile costs as a key state agenda and has been consulting with the three major mobile carriers since last year.
The government will integrate and streamline Long Term Evolution (LTE) and 5G plans, and will introduce a 5G plan in the 20,000 won range. The current roughly 250 plans offered by the three major mobile carriers will be cut by more than half to improve user convenience. As LTE and 5G plans are integrated, the lowest tier of 5G plans will be lowered to the mid-20,000 won level, similar to the current lowest LTE tier. In effect, the minimum 5G plan, which had been in the high 30,000 won range, will come down to the mid-20,000 won range. Previously, young people and seniors had to apply separately for additional age-based benefits, but these will now be applied automatically. Users will receive extra benefits according to age simply by subscribing to a standard plan, without needing to sign up for a separate age-specific plan.

All integrated LTE and 5G data plans will include the data safety option at a guaranteed speed of 400 Kbps, without any increase in monthly fees. This speed allows for basic messaging and map searches and is currently sold as an add-on for 5,500 won per month. Through this reform, about 7.17 million users are expected to benefit. Taking into account reduced charges for data overage, the three major mobile carriers together are expected to deliver annual savings of about 322.1 billion won in mobile costs.
Seniors aged 65 and older will also receive unlimited voice calls and text messages as a basic feature. For seniors currently subscribed to plans that cap voice and text usage, additional voice and text allowances will be provided. Around 1.4 million senior users are expected to benefit, and the combined annual savings in mobile costs across the three major mobile carriers are estimated at about 59 billion won.
However, this restructuring will not apply to Mobile Virtual Network Operator (MVNO) users. Hong Sa-chan, Director of the Telecommunications Policy Planning Division at the Ministry of Science and ICT, who led the briefing, said, "MVNO plans are already priced at relatively low levels, and operators are facing business difficulties, so we will first implement the changes focusing on the three major mobile carriers," adding, "We will consider expanding the measures in the future."
Alongside the restructuring of mobile plans, the government will also introduce a system to notify users of their optimal plan, helping them easily choose the plan that best fits their usage patterns.
Deputy Prime Minister and Minister of Science and ICT Bae Kyung-hoon stated, "In the era of AI and digital technology, access to data is directly linked to the basic rights needed for people to lead their daily lives. Through the restructuring of plans by the three major mobile carriers, we will build a mobile ecosystem in which basic communication rights are guaranteed," adding, "We will complete the restructuring process within the first half of the year so that the public can feel the benefits as soon as possible."
kaya@fnnews.com Choi Hye-rim Reporter