This file photo taken Aug. 19, 2022, shows a mobile phone retail shop in Seoul. (Yonhap)
SEOUL, July 6 (Korea Bizwire) — The South Korean government said Thursday it will give more incentives to new operators for a high-speed 5G network frequency band in a bid to enhance competition in the local communications market.
New operators will be given priority to use 28 gigahertz frequency bands and one of the two 5G anchor bands of 700 megahertz or 1.8 GHz for five years, according to the Ministry of Science and ICT.
The ministry said it is considering lowering the entry fees and easing mandatory equipment installations for the new operators.
It will also give financial and administrative support to mobile virtual network operators (MVNOs) to help them compete with major mobile carriers like SK Telecom Co., KT Corp. and LG Uplus Corp.
The MVNOs are small network service providers that offer affordable subscription plans with various services in connection with their existing payment platforms.
The ministry said the set of measures is part of its strategy to foster capable businesses that can challenge the local oligopolistic network market.
The South Korean government earlier canceled the licenses for the 28 GHz spectrum owned by the three major telcos, citing a lack of investment.
South Korea has secured two 3.5 GHz and two 28 GHz spectrum bands for the 5G network, known as a key technology for high-speed mobile services.
The 28 GHz spectrum has a narrower coverage area than the 3.5 GHz, but it has a higher speed and lower latency, with an advantage in distributing data traffic in population-dense areas.
(Yonhap)
