Foreign media: South Korea encourages virtual network operators to participate in 5G competition

South Korea's Ministry of Information and Communications Technology said it will promote competition in the country's 5G market by releasing cheap mobile data plans from mobile virtual network operators (MVNOs), Yonhap News Agency reported.

South Korea's Ministry of ICT reportedly said 10 South Korean MVNOs, including Sejong Telecom, will begin releasing new 5G plans this month for around 40,000 won (about $35) offering up to 30G of data.

South Korea's three major telecom operators, SK Telecom, KT and LG Uplus, currently do not offer similarly priced packages for the same amount of data, the report said.

The move comes after the Ministry of Information and Communications Technology implemented changes to administrative rules to allow MVNOs to independently offer 5G data plans, a move the government said would boost competition in the 5G market, which is dominated by the three operators.

As of February this year, the number of 5G subscriptions by MVNOs was about 7,000. In February this year, the total number of MVNO users in South Korea reached 9.27 million, of which 6.6 million users subscribed to 4G networks.

The latest data shows that as of February, South Korea's 5G users have reached 13.66 million, with a net increase of 792,118 users that month. SK Telecom has the most 5G users at 6.35 million, followed by Korea Telecom (4.16 million) and LG Uplus (3.15 million).

South Korean telecom operators currently offer 5G services through non-standalone 5G networks that rely on previous 4G LTE networks.

SK Telecom, KT and LG Uplus are reportedly currently preparing to commercialize new technologies such as 5G networks and standalone versions of millimeter wave 5G.