SK Telecom Hit by Subscriber Exodus Following Hacking Scandal | Be Korea-savvy

SK Telecom Hit by Subscriber Exodus Following Hacking Scandal


On the morning of April 28, around 11 a.m., at an SK Telecom retail store in Seoul, a customer attempting to scan the QR code for the SIM card replacement service — launched in response to the hacking of customer information — was met with a waitlist showing over 110,000 people ahead in the queue. (Yonhap)

On the morning of April 28, around 11 a.m., at an SK Telecom retail store in Seoul, a customer attempting to scan the QR code for the SIM card replacement service — launched in response to the hacking of customer information — was met with a waitlist showing over 110,000 people ahead in the queue. (Yonhap)

SEOUL, April 28 (Korea Bizwire) —  SK Telecom, South Korea’s largest mobile carrier by subscriber count, is experiencing a surge in customer defections in the wake of a major hacking incident, industry data showed Monday.

According to telecommunications industry sources, 1,665 SK Telecom subscribers switched to rival carriers on April 26. Of these, 1,280 users ported their numbers to KT and 385 to LG Uplus. The total number of defectors is likely even higher when including those who migrated to budget mobile operators.

While SK Telecom, with approximately 23 million subscribers, has historically shown a slow but steady decline in user numbers, daily churn rarely exceeded 200 individuals. The sharp spike, with more than 1,000 users leaving in a single day, is widely attributed to customer dissatisfaction following the hacking incident earlier this month.

Adding to the turmoil, the launch of SK Telecom’s free SIM card replacement service coincided with a reported overload in the company’s number portability system. Rumors circulated online that the overload temporarily halted number transfer approvals.

SK Telecom, however, denied any system failures, attributing service delays to a flood of inquiries related to SIM replacements and number portability requests, which overwhelmed its customer centers.

In an effort to stem the outflow, SK Telecom retail stores and agents have ramped up incentives for new subscribers transferring from other carriers.

According to industry reports, Samsung’s latest flagship smartphone, the Galaxy S25 base model, is being offered for as little as 50,000 won (approximately $35) to customers who port their numbers to SK Telecom. In some cases, the Galaxy S25 is reportedly being handed out for free.

Meanwhile, controversy has erupted over reports that some SK Telecom agents instructed staff to prioritize selling SIM cards to new customers rather than using them for the free replacement service. This has led to growing frustration among existing customers unable to access the promised SIM card swaps.

A representative from the Korea Communications Commission (KCC) warned that despite plans to abolish the Mobile Device Distribution Improvement Act (commonly known as the “Handset Subsidy Law”) by the end of July 2025, the law remains in force.

The KCC stated it will investigate potential regulatory violations and could impose sanctions, including revoking sales approvals and suspending operations at retail outlets if misconduct is found.

The hacking crisis continues to test SK Telecom’s resilience as it grapples with operational, reputational, and regulatory fallout.

Kevin Lee (kevinlee@koreabizwire.com) 

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