The three telecom companies are expected to launch an "integrated plan" that simplifies their complex pricing structures within the year.
According to materials submitted by People Power Party lawmaker Choi Su-jin, a member of the Science. ICT. Broadcasting. and Communications Committee, on Oct. 19, the three telecom companies are operating a total of 718 plans. Of these, only 251 are actually open to new subscribers, and when including dozens of mobile virtual network operators, the number of plans is estimated to reach into the thousands.
There has been steady criticism that such an excessively segmented pricing structure makes it difficult for consumers to make rational choices. In particular, controversy grew when, at the National Assembly audit last year, it was pointed out that LTE plans were "price-gouging plans" that cost more than 5G. Afterward, carriers halted new subscriptions for about half of their LTE plans, but it turned out that many consumers missed out on benefits because this was not adequately communicated to users.
According to Choi Su-jin's office, the Ministry of Science and ICT is pushing to introduce integrated plans with the three telecom companies to reduce pricing complexity and expand consumer choice. Authorities are currently in the fine-tuning stage and are said to be aiming for a launch within the year.
Choi Su-jin said, "Given how excessively complex the three telecom companies' pricing systems are, it is necessary to reduce household communications costs and strengthen consumer choice through the implementation of integrated plans that do not distinguish between 5G and LTE."