Smartphone fever brings about data dilemma

Smartphone fever brings about data dilemma

A model uses her smartphone in a Wi-Fi enabled zone in downtown Seoul, Monday. Amid the explosive mobile data traffic triggered by the popularity of “smart” devices including smartphones, the nation’s top carriers including SK Telecom and KT are being cornered as to whether to keep the current “unlimited mobile data services” as worries mount that the services could become a “double-edged sword.” / Korea Time file Telecom companies’ unlimited data services seen as double-edged sword By Kim Yoo-chul Cutthroat competition tends to prompt companies to go the extra mile in making overly favorable promises to attract as many customers as possible. However, when the marketing blitz subsides, they realize the pledges were simply too much for them to carry out. Korean wireless operators seem to be in a similar situation as far as data services are concerned ― originally, they offered unlimited services but are looking to revise this. Even the Korea Communications Commission (KCC), which oversees the telecom industry, has acknowledged that data congestion continues to cause hitches. ``The popularity of advanced smartphones and tablet PCs has triggered mobile data traffic congestion generating concern for mobile operators,’’ a KCC official said. An increasing number of consumers are browsing the Internet on their mobile gadgets, a trend accelerated by the advent of the iPhone in late 2009. Understandably, the mobile Internet networks run by the nation’s leading carriers suffered overload despite the large amount of investment to keep up with rising demand. This prodded SK Telecom to open the talks with the KCC for a possible overhaul in unlimited data services after a string of complaints were filed over slowdowns in mobile transmission speeds or disconnections. Runner-up player KT also mulled over whether to charge for its tethering service to deal with rising demand for wireless data in a more efficient fashion. However, the anonymous KCC official added that the agency does not have any immediate plans to endorse the carriers’ ideas of changing data service conditions. When contacted, both SK Telecom and KT expressed their concerns. Lee In-won, a representative of KT, said the firm has already begun reviewing its tethering service, which it started last May for free, for a similar reason, although nothing has been decided yet. Tethering lets users of laptops or tablet PCs on the road connect to the Web with the help of Internet-linked smartphones at places where other alternative networks like Wi-Fi is unavailable. In other words, smartphones play the role of Internet modems to connect laptops or tablet PCs to third-generation mobile networks. ``Initially, the tethering services were free of charge under the unlimited data scheme up to the end of last year. We are studying how to stipulate new provisions,’’ Lee said. ``However, KT will invest into the telecom infrastructure as scheduled.’’ Double-edged sword ``More often than not, my Galaxy S smartphone does not work properly in sending text messages or making calls even inside Wi-Fi enabled areas in downtown Seoul,’’ Park Jin-kyun, a 34-year-old office worker, told The Korea Times. Park’s claim is echoed by many other users since the explosive growth of mobile data traffic driven by universal serial bus (USB) modems, smartphones and tablets has become a widespread headache in the local telecom industry. The average mobile data usage by a smatphone was 271 megabytes a month in 2010, which was far higher than the world’s median of 89 megabytes, according to consultancy Informer Telecom & Media. In particular, the figure was higher for an iPhone user at 507 megabytes. In this climate, local telecom companies complain that the country is full of heavy users. But they themselves caused the heavy usage through marketing. Since last August, SK Telecom, KT and distant third-place player LG Uplus have introduced unlimited data package services at a fixed monthly price of 55,000 won. Many tech-savvy Koreans have grabbed the attractive offer. For instance, around 80 percent of SK Telecom smartphone users subscribe to the plan. ``Unlimited data services could be a double-edged sword for carriers. Operators were so immature when introducing such services,’’ an industry source who is familiar with the issue said. A senior executive from KT concurred: ``I hope companies could begin to turn customers to more flexible data plans.’’ He did not reiterate. But what he noted was seemingly that the prices for the unlimited data use should rise while cheaper pricing schemes should be based more on the pay-as-you-go system. Korea has basked in spotlight as the Internet powerhouse both in mobile and fixed-line as well as the brisk use of related applications on mobile devices. Some 90 percent of its population has Internet literacy. Today, approximate 6 million or above 10 percent of the country’s 50 million people use smartphones. The Bank of Korea (BOK) said 1.37 million were using mobile banking systems via smartphones as of the end of the last third quarter and expected that transaction will jump three times in the not-so-distant future. Frost & Sullivan, a consulting firm, also claimed the size of the nation’s mobile commercial market for last year was 315.7 billion won, up 31 percent from a year before. Time-consuming process One may claim that telecom companies are required to funnel more on the network upgrades to grapple with the lingering traffic congestions. Yet, things are not so easy. From the perspective of telecom firms, what makes situations complicated is that it takes much longer than people expect to improve the speed of networks. ``The work is time-consuming because it is about networks, which require heavy investment as well as a long time,’’ said Lee of KT. KT is set to expand its Wi-Fi and WiBro zones across the country. Toward that end, it plans to invest 5.1 trillion won until 2014 even through the Bundang, Gyeonggi Province-based firm is projected to earn just 1.1 trillion won this year from smartphones. SK Telecom’s approach is different. Its basic idea is to set up small-sized base stations in bustling areas where many people gather to access the wireless Internet on handsets, tablets and laptops. Another solution on the lips of market observers is the next-generation technology, long-term evolution (LTE), which is expected to substantially increase mobile capacity. SK Telecom is striving to start commercial 4G networks this year while finishing nationwide coverage by 2013 in line with the global migration to futuristic technologies. KT also considers commercializing LTE earlier than expected. ``It remains to be seen whether local carriers will be able to deal with the onslaught of data through innovative ways adding value for clients,’’ the senior KT executive said. 통신3사, 무제한 데이터 요금 `속앓이’ 통신3사가 무제한 데이터 요금제 때문에 `속앓이’를 앓고 있다. 무제한 데이터 요금제 도입 이후 데이터 트래픽이 급증하면서 통화품질 문제를 비롯한 각종 부작용이 나타나면서 되려 역풍을 맞고 있기 때문. SK텔레콤, KT, LG유플러스등 통신3사는 현재 월 5만5000원 이상 요금제 가입자에게 무제한 데이터 서비스를 제공하고 있다. 비교적 비싼 요금 임에도 제한없이 데이터를 이용할 수 있다는 장점 탓에 많은 고객들이 월 5만5천원 이상 요금제에 가입하고 있는 실정 우려됐던 문제가 가시화되자 통신사들은 부랴부랴 요금제 보완에 나서고 있지만 이 역시 녹록치 않다. 주무부처인 방송통신위원회는 최근 SK텔레콤이 일인 다기기 (OPMD) 요금제를 변경해달라는 요청과 관련 ``스마트폰 사용자들이 급속도로 증가하면서 데이터 트래픽이 우려할 만한 수준이나 현재로써는 요금제 변경을 받아들일 생각은 없다’’고 밝혔다. 데이터 트래픽 문제를 해결하기 위해서는 망 보안이 필수이나 문제는 비용이 많이 들고 시간도 오래걸린다는 점. 때문에 통신사들은 부랴부랴 와이파이존을 확충하고 LTE 조기 상용화를 위한 정지작업을 서두르고 있지만 이 역시 단기적 대안에 그칠 것이라는 지적이다. KT홍보실의 이인원 차장은 ``테더링 서비스에 대한 재검토에 들어간 상황’’이라며 ``유료화 전환여부에 대해 아직 최종적으로 확정되지는 않았고 망 보완 투자를 일정대로 진행할 것’’이라고 말했다. 익명을 요구한 SK텔레콤의 한 관계자는 ``다소 섣부른 무제한 데이터 요금제 도입으로 망 운영에 다소 어려움을 겪고 있는 것이 사실’’이라며 ``가능한 대책을 수립중에 있다’’고 말했다. 한국은행은 지난해 3분기 말 현재 약 1백3십7만명이 스마트폰을 이용한 모바일 뱅킹 시스템을 사용하고 있다고 밝혔으며, 시장 조사기관인 프로스트 앤 설리번에 따르면 작년 3분기말 현재 국내 모바일 시장 규모가 3천1백5십7억 수준으로 파악되고 있다. 이는 전년동기대비 31% 늘어난 수준이다.

yckim@koreatimes.co.kr