- As noted in a Joongang Daily article, it will mark a shift to packaged services in South Korea's telecommunications industry. After the two firms, which split in 1996, are joined together they will sell landlines, mobile service, high speed internet and internet television as part of a bundled package.
- This merger is expected to encourage other mergers in the sector. Under this scenario, SK Telecom will merge with SK Broadband and LG Telecom will merge with LG Powercom.
- KT is reported to be working with Samsung on a handset that will be capable of operating on both 3G and WiBro networks. This has powerful implications since it means that VOIP services like Skype or the forthcoming Google Voice will be available via this phone.
Saturday, March 21, 2009
Mergers and Convergence in Korea: KT-KTF, Android, VOIP
The merger of KT with KTF has been approved by the Korea Communications Commission. This merger is considered to be the largest ever in South Korea, outside the financial industry. From a global perspective, it is one of several steps being taken here that will push rapid convergence toward a single, fast digital network for the future. The move has several very interesting implications as follows: