SKT drops unlimited data for LTE

Jang Dong-hyun, chief of SK Telecom’s marketing division, talks about its new pricing plans for 4G-based LTE handsets in a news conference held at its headquarters in downtown Seoul, Wednesday.

/ Courtesy of SK Telecom

By Kim Yoo-chul

SK Telecom, the nation’s biggest mobile carrier, is moving to scrap its so-called ``unlimited data plan’’ as the explosive demand for mobile wireless data amid the smartphone boom is causing heavy data traffic.

Despite repeated requests by KT and LG Uplus ― the nation’s No. 2 and No. 3 mobile carrier, respectively ― to scrap the plan, SK Telecom has been reluctant, insisting that it is providing what customers want.

``SK Telecom will consider scrapping the unlimited data plan if the situation deteriorates. Even though we will invest further in existing 3G networks, SK Telecom is seeing heavy data traffic,’’ said Jang Dong-hyun, chief of the company’s marketing division, Wednesday.

In July, SK Telecom chief executive Ha Sung-min said the company would continue the service.

Jang met with reporters at an event to unveil its new pricing plan for an advanced 4G-based long-term evolution (LTE) handsets held at its headquarters in downtown Seoul.

SK Telecom introduced various pricing plans for LTE-enabled smartphones. However, it didn’t include the unlimited data service packages for LTE users.

Given the higher demand for data-oriented services in the local telecom market, SK Telecom has been offering unlimited data service to users who subscribe to ``All-in-One 55 Plan,’’ ``All-in-One 65 Plan,’’ ``All-in-One 80 Plan,’’ ``All-in-One 95 Plan,’’ and “Number One Plan” for the convenience of heavy data users.

SK Telecom has consistently been claiming that the unlimited data service for its 3G network users is bringing fundamental changes to the wireless Internet landscape as it removes the inconvenience of searching for places with Wi-Fi connections.

``It’s been true that SK Telecom is in talks to find better ways to effectively handle heavy data traffic. More customers are rapidly flocking to 3G networks from outdated 2G. If we see increases in users for 4G networks, we have no solution currently to handle the data-oriented problems,’’ said a high-ranking SK executive, asking not to be identified.

New LTE pricing plans include seven different formats.

The ``LTE34’’ plan offers 120 minutes of free voice calls and 350 megabytes of data for a monthly charge of 34,000 won. The ``LTE100’’ package provides 1,050 minutes of free voice calls and 10 gigabytes with a monthly payment of 100,000 won, SK said in a statement.

Meanwhile, the company will unveil seven smartphone models and one tablet device that run on the LTE technology in an apparent strategy to enjoy first-mover advantage in the highly-lucrative segment.

SK Telecom plans to release LTE-compatible smartphones developed by LG Electronics, Taiwan’s HTC and a tablet made by Samsung.

SK Telecom also said it is aiming to secure 5 million LTE subscribers by 2012, up from 500,000 users by the end of this year.

The fourth-generation LTE mobile technology guarantees faster download speeds than the current 3G-oriented platform, providing consumers faster access to applications such as television programs, movies and video conferencing.

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