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KCC’s delay in confirming date for SKT’s business suspension raises questions

22 Apr 2015

South Korea’s telecoms watchdog the Korea Communications Commission (KCC) has come under fire over a continued delay regarding a decision on when SK Telecom’s (SKT’s) business suspension should begin, according to Yonhap News Agency.

As previously reported by CommsUpdate, last month the KCC announced that SKT, the nation’s largest cellco by subscribers, would be barred from signing up new subscribers for a seven day period for offering illegal subsidies. At the time of the announcement, however, it said it had yet to decide when this service suspension would begin, due to the possible repercussions on consumers, in part as Samsung was due to a launch its new Galaxy handset in April 2015.

Now, with a date for the business suspension still yet to be decided, allegations of preferential treatment for the market leader have emerged, with an unnamed industry watcher cited by Yonhap claiming that the market’s trust in the watchdog is deteriorating due to the prolonged delay, noting: ‘Apparently, the KCC is providing a favor to SK Telecom.’ Meanwhile, in its latest comment on the matter, a KCC official was quoted as saying: ‘We are discussing the issue and have yet to come up with a detailed period for the business suspension … The timing will be fixed, depending on the overall market situation.’

Industry watchers have reportedly claimed that the KCC may actually continue to delay a decision on the start date for the ban until July, as LG Electronics has another flagship handset due for introduction this month.

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