toclair@ittimes.co.kr
The MIC has classified the 3G mobile communication service Revision A as a resale obligated technology. This most concerns SK Telecom who has been groping for ways to enter the Revision A market. Experts wonder if the strategy SK has been building would actually affect the market.
Deputy Minister Kang Dae-young of the Telecommunications and Broadcasting Policy Office said: "Revision A is a type of service that developed from the previous generation [EV-DO]. This is not a whole new investment, and therefore, if SKT starts Revision A service, then the resale policy should be put on in force."
It is clear that Revision A is not an exception to the resale obligated object list of telecommunication business law. According to the law, services are exempt from resale for six years after the equipment was put into nationwide service. For instance, 3G and WiBro could get by for six years without having to deal with resale obligations. Revision A, however, does not qualify for this six year exemption because it simply upgrades a nationwide network that was already built.
Now that the Revision A has been on the resale obligated object list, the attention goes to how this will effect SKT's strategy, because this has just made SKT to be a front leader who did all the hard work for resale businessmen to take advantage of. SKT is left with many concerns since it already has invested more than 1 billion dollars into establishing an HSDPA network. Lowering the communication fee is good but also the revalidation of the investment should also be considered.
