Business Monitor International


South Korea Telecommunications Report

Published 03 April 2014

  • 102 pages
  • Instant access to your report online and PDF format through your account library
  • Includes 3 free updated quarterly reports
 
$1,295.00
South Korea Telecommunications Report

BMI View: South Korea is one of the most advanced markets in the world and is often used as a reference point to determine the direction of other developed markets. The rapid migration of subscribers from 3G to LTE shows the country to be at the forefront of adopting new technologies. There is a dwindling population still using 2G services , but we expect this to end by 2015. This has perhaps caused a slowdown of fixed broadband connections, while growth in VoIP is mitigating the loss of PTSN fixed voice connections. With plans to launch LTE Advanced in September 2013, the South Korean market shows just how much demand for data is driving revenues.

Key Data

  • The mobile market has continued to expand, even with penetration above 119% by 2013. Total subscriptions reached 55.526mn in Q413,The fixed-line market is still expanding, mostly due to the growth of VoIP, but it is slowing noticeably. Growth in the broadband market has slowed due to a combination of high penetration of wireline services and the competition from LTE services.

Key Developments

Following the auction of 1,800MHz spectrum for the use of LTE services, all three operators announced planned extensions of their respective services. KT announced it would be implementing LTE-Advanced (LTE-A) in the capital Seoul and the surrounding regions from September 2013, and throughout most major cities by March 2014. KT is trailing its rivals, with SK Telecom having launched LTE-A services for smartphones in July 2013, and it plans to roll-out the service to 84 cities nationwide. Finally, LG U+ launched its LTE-Advanced network in July 2013 in the capital Seoul, as well as in other major cities.

South Korea's telecoms market could receive an injection of foreign investment following the decision by the government to lift the foreign ownership cap on the telecoms sector in the country. However, the raised cap will not apply to the nation's three incumbent mobile operators, leaving doubts over whether...

Table of Contents

BMI Industry View
7
SWOT
8
Mobile SWOT
8
Wireline SWOT
10
Political
11
Economic
12
Business Environment
13
Industry Forecast
14
Mobile
14
Table: South Korea Telecoms Sector - Mobile - Historical Data And Forecasts
14
ARPU
16
Fixed-Line
17
Table: Industry Trends - Fixed-Line Sector
17
Broadband
18
Table: South Korea Telecoms Sector - Internet - Historical Data & Forecasts
18
Industry Risk Reward Ratings
19
Asia Risk/Reward Ratings
19
Table: Asia Pacific Telecoms Risk/Reward Ratings - Q214
27
Market Overview
28
Mobile
28
Regional Perspective
28
Table: South Korea Mobile Market Regional Comparisons, 2013
29
Key Developments
29
Mobile Growth
30
Table: Mobile Subscriptions By Technology ('000)
30
Market Shares
31
Table: South Korea Mobile Market, Q413
32
Usage
33
MVNOs
33
Networks
35
Mobile Content
39
Mobile Operator Data
42
Table: Mobile Market Overview
42
Table: SK Telecom
43
Table: KT
45
Table: LG U+
46
Asia Pacific Mobile Content
49
Tablets Are The New TV
51
Table: Percentage Of Long-Form Video Views By Device
53
Infrastructure Is A Key Enabler
53
Wireline
55
Table: Fixed-Line Subscriptions By Operator And Technology ('000), 2010-2013
56
Broadband
56
Table: Broadband Subscriptions 2011-2013
57
Table: Broadband Subscribers By Technology And Operator ('000), December 2013
58
IPTV
58
Industry Trends And Developments
60
Table: Latest Developments
62
Regulatory Development
64
Regulatory Environment
64
Table: Division Of Regulatory Responsibility In South Korea
65
Latest Developments
68
Table: Regulatory Developments
69
Competitive Landscape
70
Table: Key Players - South Korea Telecoms Sector
70
Table: Operators' Financial Indicators, 2006-2012 (US$mn)
70
Company Profile
71
KT Corporation
71
SK Telecom
76
LG Uplus
82
Regional Overview
85
The Growth Challenges to Foxconn's Empire
85
Demographic Forecast
89
Table: South Korea's Population By Age Group, 1990-2020 ('000)
90
Table: South Korea's Population By Age Group, 1990-2020 (% of total)
91
Table: South Korea's Key Population Ratios, 1990-2020
92
Table: South Korea's Rural And Urban Population, 1990-2020
92
Glossary
93
Table: Glossary Of Terms
93
Methodology
95
Industry Forecast Methodology
95
Sources
96
Risk/Reward Ratings Methodology
97
Table: Risk/Reward Ratings Indicators
98
Table: Weighting Of Indicators
99

The South Korea Telecommunications Report features Business Monitor International (BMI)'s independent industry forecasts on the future strength of South Korea's ICT market, covering the fixed-line, mobile and internet segments and analyses latest regulatory developments and corporate news, including investment activity, mergers and acquisitions, joint ventures and partnerships. Leading operators and manufacturers are fully profiled, highlighting their quarterly financial performance, capital expenditure plans and latest contracts.

BMI's South Korea Telecommunications Report provides industry professionals and researchers, operators, equipment suppliers and vendors, corporate and financial services analysts and regulatory bodies with independent forecasts and competitive intelligence on the telecoms industry in South Korea.

Key Benefits

  • Benchmark BMI's independent telecoms industry forecasts for South Korea to test other views - a key input for successful budgeting and strategic business planning in the Korean telecoms market.
  • Target business opportunities and risks in South Korea's telecoms sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in South Korea.
  • Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity).

Coverage

BMI Industry View

Summary of BMI's key industry forecasts and views, covering the ICT, fixed-line, mobile (including 3G), internet and broadband markets.

Industry SWOT Analysis

Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the wireline and wireless sectors and within the broader political, economic and business environment.

Business Environment Ratings

BMI's Telecommunications Business Environment Ratings provides a country-comparative Risk-Reward Ratings index aimed at investors (vendors, operators and suppliers) in the regional telecoms market.

The ratings methodology makes sophisticated use of more than 40 industry, economic and demographic data points.

BMI Industry Forecast Scenario

Historic data series and forecasts to end-2018 for all key industry indicators (see list below) supported by explicit assumptions, plus analysis of key downside risks to the main forecast.

  • Fixed-Line Telephony - Telephone lines ('000); telephone lines/100 inhabitants.
  • Cellular Telephony - Mobile phone subscribers ('000); mobile phone subscribers/100 inhabitants; mobile phone subscribers/100 fixed line subscribers.
  • Internet Markets - Internet users ('000); internet users/100 inhabitants; broadband internet subscribers ('000); broadband internet subscribers/100 inhabitants.

Market Data Analysis

Detailed market analysis of the mobile, mobile content, fixed line and internet segments, broken down into:

  • Market Data - Analysis of market size, operator shares, dominant trends, competitive landscape and key quarterly data.
  • Technology/Service Rollout - Analysis of rollout/adoption of new technology, such as 3G, WiMAX, IPTV, pay-TV, LTE and value-added handset services (gaming, music, video, apps etc.).
  • Mobile Content - The latest trends in content and services available and being introduced by mobile operators. Including a timeline of all the latest major mobile content developments.
  • Company Database - A comprehensive breakdown of KPIs of the leading mobile operators, including subscriber figures by type (pre-paid and post-paid); 3G subscriber figures; net additions; market share; ARPU; churn rates; minutes of use; voice and non-voice revenue; financial figures (including operating revenues, net profits and EBITDA).

Regulatory Environment

Details of the regulatory bodies and their responsibilities, as well as a special focus on the rules surrounding competition and interconnection. The latest updates in the market's development and regulatory rulings.

Company Profiles

Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate Company SWOT analyses.

The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.

secure
Benefit from discounts when you add multiple products to your basket
2 Products SAVE 10%
3 Products SAVE 15%
4 Products SAVE 20%
5 Products SAVE 25%
6 Products SAVE 30%
7 - 20 Products SAVE 35%
21 Products or more SAVE 40%

Testimonials

'An essential, multi-faceted research tool. BMI’s thorough understanding of the major market players enables an informed – and informative – review of the sector’s actual performance, together with useful insights into current industry issues, which are topped-off with detailed and invaluable forecasts of industry and macroeconomic trends.’

Senior Research Analyst, ABC International Bank plc