SK Telecom, KT, and LG Uplus are focusing on securing additional lines for supplementary devices such as tablet PCs, wearables, and the Internet of Things (IoT). This is interpreted as an attempt to secure more lines as the growth rate of mobile phone subscribers has slowed.
According to the 'Current Status of Wired and Wireless Communication Service Subscriptions as of the End of January 2025' announced by the Ministry of Science and ICT on the 21st, the number of mobile phone lines for SK Telecom was 23,086,914 as of last January, a decrease of 0.08% compared to the same period last year. During the same period, KT had 13,357,933 mobile phone lines, a decrease of 1%. LG Uplus had 10,934,112 mobile phone lines as of last January, increasing by just 0.02% compared to the same period the previous year.
This trend is analyzed as being due to the high cost of LTE (4G) plans compared to 5G (5th generation mobile communication), which has led to an increasing number of subscribers switching to budget phone carriers to reduce their communications costs. As of January this year, budget phone companies held 9,558,016 mobile phone lines, an increase of 8% compared to the same time last year.
SK Telecom has been increasing the number of tablet PC lines over the past year. The number of tablet PC lines for SK Telecom was 924,025 as of last January, an increase of 0.6% compared to the same period last year. The number of tablet PC lines for KT and LG Uplus has continuously decreased over the past year.
SK Telecom is analyzing that it has increased its lines by selling tablet PCs in conjunction with mobile phone plans, which are the second most widely distributed devices after mobile phones. As the company has the most mobile phone lines among the three telecom operators, there is an advantage in easily increasing subscribers through bundled discounts. SK Telecom provides up to a 4,000 won discount on the monthly fee when subscribers using certain mobile phone plans sign up for a tablet PC plan as well. There are eight types of exclusive tablet PC plans for sale, which is more than KT (four types) and LG Uplus (seven types).
KT is focusing on increasing its IoT lines. In May last year, KT was finally selected as the operator for the project 'Korea Electric Power Corporation low voltage (home) AMI (remote reading infrastructure) Phase 6' and secured 1.1 million IoT lines. In September last year, it took over the supply contract for Hyundai Motor's IoT lines, which had been previously handled by LG Uplus, and is expected to add more than 2 million lines.
LG Uplus has been steadily increasing its number of wearable lines. As of last January, the number of wearable lines for LG Uplus was 554,920, with an increase of 29.4% over the year, and it is expected to soon surpass KT (557,856 lines), which is in second place. LG Uplus is actively attracting subscribers by investing a lot of subsidies into smartwatches compared to its competitors. The maximum subsidy provided for the Apple Watch by LG Uplus is 287,000 won, which is more than 50,000 won higher than that of SK Telecom and KT. With the recent increase in outdoor sports populations, the demand for wearables has risen, and it seems that the company is targeting smartwatches, which have lower price burdens, to increase its subscriber base.
Professor Kim Byung-jun of Catholic University noted, "The three telecom companies can relatively easily increase their supplementary device lines based on their existing subscribers," adding, "Although the profitability of supplementary device lines is not significant, it has the advantage of expanding market influence."