Posted by: Carl | June 11, 2009

The Truth About iPhone and South Korea

iphone_3g

The Korean media are hitting out at Apple for “turning their back on Korea”. This is simply not true at all.

Apple would love the iPhone to be sold in Korea, they know a lot of tech savvy Koreans would love to get their hands on the iPhone, they know that there is a huge market in Korea and they know the iPhone will be successful.

The problem is not with Apple. The problem is with the telecom companies in Korea. Both SK and KTF claim to be in talks with Apple, this is quite possibly true. But what they are demanding is the removal of many of the applications that make the iPhone what it is. For example, Korean telecom companies do not want the iPhone to be WIFI enabled. What they want is for Korean users to have to use the internet through their own telephone network. Apple say no to this because it would dramatically slow down the internet speeds and disable many of the sat-nav functions. It would also make using the internet on an iPhone impossibly expensive.

The telecom companies are also demanding that many of the applications available on the iPhone be removed from a Korean iTunes (for example the Skype App). Again, to protect the Korean consumer, Apple are refusing to do this.

The real reason why the iPhone is not coming to Korea in the neat future is not Apple, it is the profit hungry telecom companies who want to make huge profits at the expense of the Korean consumer.

Just look at other facts in the mobile phone market in Korea:

  1. Anycall and Cyon handsets are usually twice as much to buy in Korea as they are in the US or Europe
  2. The cost to use the internet through your mobile phone in Korea is 3 times more expensive and 2 times slower than using it in Europe
  3. Korea is the only advanced country that has no roaming agreement with 90% of the European Union

Responses

  1. Is this true? If so, it’s maddening. Can’t believe Korean telecoms are demanding the removal of wifi. It’s laughable actually.

  2. [...] the Interest Of Balance I mentioned in my earlier post that Korean Telecoms are being a little too demanding on what Apple can and cannot allow activated [...]

  3. Hi, I’m korean guy~

    What is worse, Korean telecom companies threaten a journalist with withdraw their advertiesment in news paper or TV. So Korean journalist doesn’t write like this article……
    That’s too bad! thing!!!!!
    Anyway thanks for your attention.

  4. I already knew all about this. When I was reading your post, I was curious that how you got this information even if you are not korean. I look foward your response ASAP. cz I want to grap iPhone on my hand in Korea! So I need to know more information about our telecom companies.

  5. wonsuk // yeah.. it’s true… shit south korea T_T
    anyway.. many of korean disappointment to SKT & KT(KTF)

  6. words fail me as I’m a Korean. :)

  7. One more thing…

    The more critical reason for this ugly situation is aggressive usage of EIR server by Korea telecom companies.

    Usually, IMEI number which is recored in the phone is blocked when the phone is stolen or lost by EIR server. But in Korea, all phone which is not registered in EIR’s whitelist are prohibited to use basically.

    This wierd unique policy cause that nobody in Korea soil can use iPhone without permission from Telecom companies. Even the iPhone was purchased at HongKong which is unlocked by Apple, it cannot be used using Korean USIM card.

  8. You are totally right. I hate Korean telecom companies. They are slave of money. They don’t consider customer benefit. They only think about their profit.
    Damn shit! I need iPhone in Korea!!

  9. In addition, Korean telecom is still checking IMEI with IMEI white list.

  10. I’d like to know what makes you say South Korean Telcos have no roaming agreement with 90 percent of European Telcos. Are you referring to GPRS roaming, or voice roaming? As far as I know (and as GSMWorld states at http://bit.ly/108gCq) South Korean Telcos are covering more than 90 percent of European soils. I really like to know what you’re based on.

    • Hi Jef,
      This information is not based on Korean phones being used in Europe. It is based on European phones being used in Korea.
      European telecoms are quite happy for other networks to use their network. It is the Korean telecom companies who restrict the usage of their networks. First there was WIPPI and now there still appears to be some excuse why European phones cannot work in Korea. This means that no matter where you buy an iPhone it will never work in Korea. CDMA or GSM will not work.

      • Obligation for WIPI platform to be embedded on a handset had been gone serveral months before.

    • Wait. What are you trying to say? Using European phones in Korea, or exporting them to Korea? If you’re only talking about “using” them in Korea, WIPI has nothing to do with it. Well, yeah, WIPI was the hot potato. But it’s because the thing was a de facto trade barrier on exporting cellular phones to Korea. Do you even understand what WIPI does exactly?

      • Jef, I think you got a wrong point..

        um..
        Korean phones can be used many of other countries..
        It works in their networks. also in European networks.
        But, We cant use Many of phones thaq we brought in Europe.

        It doesnt matter what brand of phones.
        Just, The point is the korean networks.
        They are too defensive.

  11. say2han의 생각…

    우리나라에 아이폰이 못나오는 이유가 이거였나요? 여기로 …. 와이파이를 빼달라니……

  12. i’ve been following the iPhone status here in korea ever since June of ‘07 when the first one launched in the US. i must have read EVERY SINGLE power blog or media coverage on the issue, and by far your post (and the one after this) is the most unbiased, truthful report i’ve read. both sides are indeed demanding, or shall i say, have different perspectives as to how the telecom industry should be dictated in the domestic market.

    sk telecom for the last 5-6 years have been regarded as one of the top operators in the apac mostly due to their world-class technology, but this cartel set by increasing greed is pulling them back of becoming what they want to be a “global player” in addition to maintining their status on the technology side. this is truly unfortunate, and being a fan of the company myself, i hope they can innovate their management in time as to not get beaten by the kt-ktf merger that’s hungry for some momentum.

    on the other hand, apple… what can we say, they flat out have the best technology innovation and contents diversification that is ahead of the likes of samsung Elec. and lge by at least a couple of years (some people say 5, but this industry can change fast).

    increasingly more korean consumers are starving for some apple on their phones, and this can be credited to both operators and manufacturers that continuously team up to protect their markets. the best solution i think is for skt and show to take the constructive risk to explore the global market and lessen the paranoia of maintaining their business by manipulating korean consumers with high costs.

    thanks for the light.

  13. 1. Korea is not a advanced country yet

    2. KTF is not exist. anymore
    KT to merge with its mobile arm KTF

  14. Yes, it’s right, we (Korean) can’t use iPhone because of avarice of SK&KTF. And it’s true that Korean journalists never post about this like articles because of their advertisement profit.
    I really hope that I can use iPhone with full functions and all applications like other countries. But I think it’s quite hard…T^T

    Thanks for your article.

  15. Your Comments is perfectly correctly.

    Right now much more Korean User want to used I-Phone.

    Also Korean Network Service Proviceder SKT and KTF, they want Korean User using 3G Network only. They do not allow Korean User to ease using WIFI now.

  16. Thanks for your interesting article and I would like to make some comments.

    Your view on Telco’s asking for removal of WiFi seems rather exaggerated. The fact is Korea is one of the countries where fixed broadband penetration rate is extremely high. This is the big reason why WiFi or WiMAX is not gaining momentum since users prefer to use fast internet with PCs rather than mobile devices. However after increased popularity of netbook, demands for WiFi and WiMAX enabled devices are increased by users. Since WiFi does’t support mobility and coverage is very limited, cellular network can only be supplementary for mobile data users. Operator knows this but there is not yet good enough user devices to provide mobile internet services.

    From April, Korean regulation does not mandate WIPI in handsets sold in Korea which means other platforms such as Symbian, Mac OS and Android can also be introduced in Korean market and it is already done as Nokia’s smartphone is on sale in Korean market.

    European phones would not support roaming Korea because Korea doesn’t have GSM/GPRS network (this has nothing to do with roaming agreement). WCDMA/HSDPA phones supports roaming in Korea.

    I believe Korean operators would not ask to remove Skype from iPhone since they all have thier own VoIP service which the price plan is more competitive than Skype. And even if this is becomes big matter for operators there are solutions to block Skype such as dropping packets sent to Skype. I believe this is currently being used in U.S.’s AT&T and T-Mobile in Germany. Hence there is completely no reasons for Korean operators to ask Apple to remove Skype.

    In fact Apple iPhone as been authorized by Korean Radio Regulators and I believe it will be introduced in Korean market in very short time.

  17. fucking skt. fucking ktf.
    i hate them.
    they are sons of a bitch.

  18. I am blown away that with the release of the new iphone that it has not been adopted by the Korean telecoms. Many people here would love to buy it. Apple would love to sell it. What is the problem?

  19. Just so you know.. I linked to you post in my blog entry.. http://web.me.com/superacidjax/Sparkling_Chaos/Welcome/Entries/2009/6/20_Baidu_vs._Google%2C_a_minor_iPhone_rant_and_the_coward_that_is_late-President_Roh.html

  20. Ok Nice! Check this out!

  21. It’s really true. South korea’s mobile network is too~ expensive and slow.

  22. BTY i do not see any article that blame apple .co for “turing there back on korea”
    may be we were last year and before, but not this time.
    we would blame apple_co for selling old version of iphone.
    not an offcial announcement has been releasd but if apple may launching iphone, pre-version ohi phone will come first. that is common oppinion.

  23. I think so. Korea’s mobile network is too expensive and too slow. I can’t believe korea is leader of 4G.

  24. i just followed a link from a korean portal web site who posted ur link to this web page.. if this is so true……man.. i wanna go fcuk the korean mobile bittches !!! i’m paying like more than twenty bucks for just downloading one game and checking email once in a while, like once a month !! arghh…

  25. Yeah.. you’re absolutely right~.. I think also major problem what disturb selling iPhone in South Korea is Companies…. but.. if apple wants sell iPhone in Korea, they should distribute iPhone 3GS not old one.

  26. wow this is actually really shocking to hear as a Korean citizen… i hope Apple doesn’t back up!!!! and this is why i love apple.

    • Korea wi-fi draws out the same thing and requests the reason profit because of SKT, LGT and KTF is like that. , The people of most is waiting iphone coming out. From Korea poisonous oligopolistic because of SKT, LGT and KTF…

  27. This is why i bought Sony’s Experia.
    Hey, Koreans! Just buy this. hahaha

  28. 한국에 이렇게 관심가져주시니 감사하네요 ^^
    저도 아이폰을 목빠지게 기다리는 유저중 한사람인데..
    윗글읽어보니까 미치겠네요 진짜…
    후아..
    그래도 네이버 뉴스에서 KT가 7~9월달에
    아이폰 판매한다고 했으니..
    기다려봅니다. ^^
    Thank you~

  29. Hello Carl~
    Good writing~

  30. … i love apple!!!!!! please

  31. 시리의 생각…

    우리나라 이동통신사들 진짜 양심도 없다. 전세계 76개 나라에 공급된 아이폰이 국내에 못나온 이유를 모든 사람들이 좀 알았으면 좋겠다….

  32. 시리의 생각…

    전세계 76개 나라에 공급된 아이폰이 국내에 못나온 이유를 모든 사람들이 좀 알았으면 좋겠다. 우리나라 이동통신사들 진짜 양심도 없다….

  33. 익스군의 생각…

    이찬진님 이거 어쩌죠? – iPhone 국내 출시 기대를 한순간에 날려주는 포스팅…

  34. That’s why we call SK as “ass k”~

    • SunkYoung telecom

  35. Oh..

    F you Korean Mobile network

  36. 칼스피어의 생각…

    WiFi를 논할 때는 지나지 않았나 싶다. 어떤 회사든 앙자 간 수익모델이 될 때 계약이 체결되고 서비스를 제공하게 되는것이지, 수요가 있다고 다 되는 것은 아니다. 이찬진님의 발언을 전적으로 신임하는 것은 아니지만 Carl(나 아님)님의 발언은 공감하기 어렵다….

  37. [...] [...]

  38. An Inconvenient Truth. You are right. The greedy telecom companies in Korea are afraid of losing money. They should know that there are no customer when they don’t respect customer. Even though their excuse is plausible, we exactly know the truth. They might lose market itself.

  39. i’m Korean..

    We call KTF as “korea Trash Telecom”

  40. ktf, skt and lgt monopolizes the cellular phone market of Korea. we often call ‘trash telecom’ T^T

  41. I just want to thank you for this posting to reveal the truth. I copied this in Korean to spread the truth among the Korean on my blog. If you have any problem with it, just let me know:)

    (sorry for my poor english..)
    http://star3.textcube.com/36

    • ㅋㅋㅋ no problem. Thank you for spreading the truth AND … you’re English is good ^^

    • How come you know ‘ㅋㅋㅋ’. thats funny LOL
      thanks anyway ^^

  42. maybe we(Korean) will do demonstrate to the companies. Anyway thank you for your direct information

    p.s I believe you could forgive my poor English.^^

  43. I am a Korean user using iPod Touch 2nd Generation. I feel rage to Korean mobile communication companies whenever I see a word iPhone or Apple Inc.

    I use Skype. However, it is Twitter or Web Service through HSDPA networks that I really want. The iPhone 3G & 3GS KCC authentication (an electronic equipment test in Korea) was finished in this time.

    However, iPhone cannot still use it because of the SK Telecom and the KTF which don’t permit approach if IMEI isn’t registered to mobile communication network of their company.

    Frankly speaking, foreigners will be hard to understand it. The reason is comparatively freely as usable to Unlock iPhone in other countries that aren’t Korea.

    All these things are due to Wi-Fi whether or not there is a funny story. Currently Korean data charge is worst. In case of Blackberry Bold it is 30MB per 24,000 won.( 30MB per US$ 20). Probably Obama will faint if he see this sentence.

    Sorry for my Poor English.

  44. [...] knows the exact date yet but we know it is stepping closer to China; it is not very clear about iPhone in South Korea, but at least they are in talk for a long time; and it is already rocking HongKong and [...]

  45. I just had to point out that even if the point of your article maybe true, the opening of it is not. The Korean media is not hitting out at Apple at all. There are too many articles in Korea blaming SKT & KT / talking about this ‘iphone situation’.

    • TK, you are right. These days the Korean media ARE blaming the Korean telecom companies. However, when I wrote the article in May, the headlines in the Korean media were “Apple again ignore Korea” and it was headlines like these that caused mr to write the blog post.
      Thanks to the wonderful Korean netizens, the media are now blaming the right people.

  46. well, it’s the biased material that you can find easily on the net.

    apple cares korean consumers? c’mon, the company named APPLE has never give a d*mn about the korean market.

    apple is just another company who wants more money.

  47. … wow

  48. i think too
    you’re right.
    we have three company
    -SKT -KT -LGT
    we don’t like SKT and KT
    they are greedy

    -poor Eglish by.Korean

  49. i totally agree with this posting. i’m a korean who is living in korea. i waited iphone to be selling in korea since last year. but like you said it’s not that easy to make agreement between apple and the korea telecom companies…
    damn korean telecom companies are most selfish market i’ve ever seen!!
    even if they start selling iphone in korea,i won’t buy it if they have wi-fi disabled.

    thanks for this posting tho. i really enjoyed it!

  50. I recently opened my own blog page.
    I love your blogs, Carl, and I copied this to my blog.
    If that’s problem I’ll remove it from my page.

  51. No one seems to have mentioned that the major telecom companies here have demanded that Samsung drop WiFi from their premiere copycat phones – and they did. Imagine paying 900,000 won ($900 bucks) and getting all kinds of restricted usage! It is hilarious how much power the telecom companies here have and how they are marginalizing their own people.

  52. I have a Samsung T Omnia and it has GPS/WIFI so I am at a loss why you all say those are reasons. I hate the fact that it is regionalized language (ONLY KOREAN) and that win 6.1 might be all I can run on it. Win 6.5 upgrade might be restricted…

    The phone companies are greedy and the fact that apply will get a piece of the pie is the only reason that I see.

    I have a Ipod Touch 16GB…I just wish either format would get a Vonage WINMO/IPHONE app.

    Korean phone companies want to bend over the comsumer. VOIP (070) by LG was a gamble but forced the hands of the others to get in the game.


    신용산, 서울

  53. I really disappointed about the KT and SK, since I knew that they firmly resist with i Phone. This approximately shit!

  54. yeah since when did apple give crap about their cosumers? ” TO PROTECT CONSUMERS” my ass. u work for apple or something??? lol either way i dont think apple will be a hit in south korea. they already have high apps. u make it sound like apple is some god machine but from seeing the explosion shit and what not. psh. even in korea more ppl are saying they dont need iphones cuz its crap.

  55. no wonder there are only comments that are supporting ur ideas. ur erasing all the comments that don’t agree with yours. WOW……..seriously grow up.

  56. a couple things…
    I agree that Korean cellphone service providers are greedy… there is no doubt about that.

    But that doesn’t mean apple is somehow less greedy in trying to protect the Korean consumers.

    Iphones are only allowed through ATT.
    Iphones have to have special apple only ear phones or head phones.
    I don’t have to mention twice about their dictatorship over apps.
    Irreplaceable batteries… what’s the life span of these things?
    Remember what the costs were when they Iphone first came out? I’m sure a 2 year contract will profit them somewhere around that figure.

    I have an iphone in Korea, and I’m doing all I can to get service for it. I know the korean sp are terrible, but if you’re going to say “the Truth about Iphone and South Korea” make sure its the truth both ways.

  57. Now that China has inked an iPhone deal with Apple, S.Korea is presumably the only “advanced” country in the world not to offer one, not to mention most, if not all, developing and third-world countries. One has to wonder why that’s the case.

    If one were to think really hard, factoring into the fact that there is no apparent motive for Apple to single out Korea for bad deal, it’s not so hard to see that it’s NOT Apple that’s holding up.

    Korean telelcom companies are notorious for their greediness and ripping off of Korean consumers for their thin margin in international markets that they have to make up here in Korea. It’s not easy to see why it’s taking so long for the iPhone to get here.

    In the end, I think, it’s the culture. The culture that favors big conglomerates and their money from top to bottom in every government agencies in Korea is causing this to happen.

    My sense is that, Samsung and LG, who have great clout in how the policy is shaped in government, is buying their time to catch up with Apple in technology, thus delaying its launching. I’ve spoken with several insiders and they silently “nodded” at my suggestion, some of whom were already carrying iphones for testing purposes, believe it or not.

    Only time will tell.

  58. Time goes by; tick, tick, tick, tick, and no iphone. Why?

    Steve Jobs is back, the new nano is out. China has a deal, but Korea still has not tightened the slack.

    The government said iphone was acceptable in Korea and passed the bar. But the telecoms won’t even let a person use an old unlocked phone from afar.

    My friends and family abroad tell me they love their iphones and I watch amazing commercials on TV. But every time I hold and use a $600 Korean phone I think it is so sh!))*

  59. 나 아이폰 기다리다가 지쳐 포기하고 LG INSITE 폰 질럿씀.

    근데.. 문제는 이게 의외로 괜찮음….

    우리들이 가지는 아이폰에 대한 환상이 너무 큰건 아니었나? 하는 생각을 했음..

    이동동신사들이 자기들 이익만을 위해 한국소비자들을 호구잡고 있다는 생각역시 오바하는 것은 아닌가.. 하는 생각 또한 해 봤음..

    하긴 이런 현상은 그동안 한국이동통신회사들이 소비자들에게 보여준 작태에 대한 반작용임.

    이런 현상이 이해 안 가는 것은 아니지만.. 우리는 다시 한번 한국의 부국강병을 생각해 봐야 하는건 아닌지?… 하는 생각을 해봄…

    • 아이폰써봤어?

    • 그동안 우물안에서 잘 사육된 독점3사에 잘 길러진 한국인의 생각을 엿볼수 있었다.
      wifi 삭제하면 과연 소비자에게 유리할까?

      기존 3독점 통신사들이 휴대폰의 부가서비스 요금으로 하나를 가입하면 서너개를 가입해야 휴대폰의 기능을 제대로 사용하는걸 왜 모르나?

      당신 폰의 기본장착된 이메일 조차 그 통신사의 nate나 show를 가입하지 않으면 안되는것 조차도 모르는가?

      당신이 인터넷을 할려고 해도 그 통신사의 포털사이트를 통하지 않으면 안된다는것을 왜 모르는가?

  60. http://www.iphonefootprint.com/2009/09/south-korea-to-get-iphone-soon/

    http://news.danawa.com/News_List_View.php?nModeC=4&sMode=news&nSeq=1542553&auth=1

    I hope I can get a iphone soon

  61. i’m korean.

    i have ipod nano x 4

    ipod touch 1G,

    ipod touch 2G,

    mac book pro.

    i want to see iphone.

    please come on!!!!

    please save korean consumer.

    apple is hero

  62. iPhone Sale to Start in November by Korean Times

  63. I dont know why people say iphone its so good. Instead of getting a Iphone why dont get a Ipod touch? Seriously, waiting like 5 month for a phone? Not worth it. Ipod touch and Iphone are almost the same in everything. The difference its that iphone can make calls. lol. But they say that the ipod touch 3g its way more faster than the Iphone. And Ipod touch has free wifi. With the greedy company like Sk and Ktf i think that the iphone would be overpriced. More than it is in USA.

  64. 와..
    이러한 내막이 있었구나..
    KT,SKT,LGT..
    이거 완전 시대착오적인 쇄국정책의 반복 아닌가?

    oops.. is it true??
    it’s unbelieveable thing..
    i haven’t knew this fact..
    it’s like national isolation policy ago 100 years and an anachronism thinking..
    i’m afraid of these companies.. :(

  65. 잘 보고 갑니다.

    외국인분들도 한국에 관심을 가져 주시니

    우리나라 통신사가 기형적이긴하나봐요^^;;

    완전히 공감하는 바입니다! *^-^*

  66. Hmmmm……

    maybee for from korea
    you looking of something’s PSYCO
    but korea’s strong

    KT,SKT,LGT…. think about

    say ‘do not apple without recourse to!’

  67. 한국 발매가 늦은건, 작년부터 낚시질이나 해대고 약장수질이나 한 이찬진 덕분이다.
    그의 말이 제대로 맞은게 뭐가 있나? 그러면서 맨날 “전 떡밥 안던집니다^_^(최근 주둥아리가 2개로 늘어서…^__^)” 요따구 소리나 하고…

    말로만 ‘아이폰 전도사’ 니 뭐니 떠들지 말고 드림위즈에서 출시하는 앱의 완성도나 높여라!!!

    9월 WWDC 끝나고 한창 한국출시설 돌때 뭐라고 했지? “저도 출시에 한 몫 했습니다^_^” 장난하나? KT/apple 이 당신을 예전 한컴시절 이찬진으로 생각이나 해줄 줄 알았나? 꿈 깨시길…

    그럼, 9월부터 ‘한몫’ 했는데, 이제 12월이 다 되어서 출시된다고 하는 건 누구몫이지? 그것도 자기몫인가?

    트위터에서 아이폰 공구같은 이상한 거나 하지말고 자기 본연의 일이나 잘 하쇼, 이찬진씨. 드림위즈 앱들 맨날 욕 처먹는거 알지도 못하나? 사후관리 제대로 못한다고… 쯧쯧…

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