Korea Considers MVNO Boost for 3G

Korea plans to introduce the “mobile virtual network operator” model to their local telecom industry, with the objective of stimulating market competition and generating new revenue streams through the expansion of data-based services in the industry’s transition to 3G. The Ministry of Information and Communication and the state-run Korea Information Strategy Development Institute began a joint research project last week to discuss the direction and phasing in of MVNO.

Led by institute senior researcher Kim Hui-soo, the group expects to submit its final report to the ministry by the end of November. The ministry will make the final decision on whether and when to adopt the MVNO model.

“We are considering MVNO as a future option, but the discussions are currently at a development stage, so it’s early to make any arguments over its direction and phasing in,” said a ministry official.

“We don’t envision MVNO as a measure to enhance competition and eventually relieve the market domination by SK Telecom. It’s rather to boost the overall use of networks and provide a wider variety of data-based services in the industry’s transition to third-generation mobile telephony,” he added. Full story Here.