By Kim Yoo-chul
Staff Reporter

South Korea's telecommunication regulator Wednesday approved the sale of Apple's hit-item iPhone here.

Lee Tae-hee, a spokesman of the Korea Communications Commission (KCC), said, "The commission has endorsed the local sale of the iPhone and the launch of its service within the limits of the law.

"'If Apple includes location based-related details as a form of an agreement to its strategic partners such as KT, Apple's iPhone can give location-related services here."

Apple was unable to sell its iPhone in Korea as the current law bans the sale of smart phones with location-base services (LBS), such as "Google Maps" and "Find my iPhone."

The nation's second-biggest mobile service provider KT is seeking an exclusive right to sell the iPhones. KT officials say the product will be commercialized at local outlets in November at the earliest.

"KT has been in talks with Apple to introduce iPhones. Sometime in November, the latest iPhone model dubbed as 'iPhone 3GS' and its previous model will be commercialized. KT and Apple will decide on the coverage of location-based services," a KT official said.

SK Telecom is reviewing the possibility of introducing the high-end gadget to secure its bottom line in consumers, who are wondering how much of a subsidy will be given to them when they buy iPhones through KT outlets.

The 3GS model was selling between $199 and $299 under a three-year contract in the United States since its debut in June.

The iPhone's entry is likely to stir price competition for mobile phones, where Samsung Electronics and LG Electronics currently dominate the handset market. Samsung and LG officials are reviewing a possible "iPhone effect" on their marketing.

Samsung plans to sell the upgraded "OMNIA" from November, while LG is set to introduce the "New Chocolate."

"It's premature to say something over the effect of iPhone. We don't think that's going to make a huge impact in the local market," a manager at Samsung Electronics said.

yckim@koreatimes.co.kr