KT to keep WiBro biz

By Kim Yoo-chul

KT, the nation’s biggest fixed-line operator, said Friday it won’t walk away from the WiBro business, and that it has actually been increasing investment in the network.

``KT has no plans to withdraw from the WiBro business. As a strategy to activate the sector and improve the quality of the services, KT is still spending,’’ the company said in a statement, late Friday.

The firm said it will add several new cities to expand its WiBro coverage.

The decision comes a few days after and in contrast to KT President Pyo Hyun-myung’s statement stressing that WiBro is rapidly losing luster in the global market. During a meeting with local reporters, Pyo said KT should introduce time-division long-term evolution (TD-LTE) wireless technology to expand the company’s eco-system.

TD-LTE was originally developed in China but it has been gaining momentum because top-tier telecom companies such as SoftBank of Japan are using it.

Pyo’s remarks upset Korea Communications Commission (KCC) Chairman Lee Kye-cheol, who said the only thing KT should do is to return its WiBro radio frequency access to the government agency if it is reluctant to pursue that area.

``I think WiBro still has some part to play. Although there are some requests by telecom companies for a faster transition to TD-LTE, it’s too early to say this for South Korea,’’ said Lee.

Hit by the market downturn, Samsung Electronics has stopped developing WiBro-enabled devices and equipment, according to company officials.

``WiBro is no longer a profitable business. It’s a matter of pride because Korea developed the technology but it doesn’t make any sense to increase investment in it,’’ said an industry executive asking not to be identified.