SK TelecomSouth Korean mobile operator SK Telecom has reported a 61 per cent decline in its Q4 net profit for 2011-12, as compared to the previous year. As per the company, the net profit fell from US$ 450 million in the past year to US$ 175 million this year.

The company has cited increased expenditure on upgradation of network technology and declining price plans as the major reasons for the decrease in revenue. As per sources, SK Telecom was required to reduce its mobile charges, by the government, in a bid to fight the rising inflation.

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SK Telecom, South Korea’s largest mobile carrier by market share, is the only bidder for a stake worth $2.8 billion in Hynix Semiconductor Inc., a leading computer-chip maker. According to reports, Korea Exchange Bank said that no other bidders came forward for the 20 percent stake (146.1 million shares) in the computer-chip company.

As per sources, the South Korean telecom operator is looking to diversify its businesses to secure new growth drivers beyond the almost saturated domestic telecom market. However, industry analysts have raised certain uncertainties regarding the completion of the deal as the parent company’s chairman is still under investigation for allegations of embezzlement.

Further, as per industry reports, analysts have also raised concerns regarding the financial strain on the company as a result of the increased investment in the advanced network technology as well as the substantial capital expenditures required to keep up with the technological upgradation in the chip production lines.

 

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SK Telecom, a competitive player in the telecoms industry, introduced Long Term Evolution (LTE) smartphone-Galaxy S II LTE and LTE-dedicated price plans for the first time in Korea. Galaxy S II LTE is a smartphone by Samsung Electronics which reportedly offers a wide range of SK Telecom’s LTE services such as high-definition multimedia service, video call service and multiplayer networking games.

The company aims to offer the complete range of 4G LTE services with the addition of the Galaxy S II, in an attempt to increase the speed with which LTE will be adopted in the market. Further, as per reports, SK Telecom plans to release seven different LTE smartphone models by the end of the year.

Jang Dong-Hyun, Chief Marketing Officer (CMO) of SK Telecom has reportedly said that SK Telecom has been leading innovations in the field of LTE since it commercialized Korea’s first LTE service in July 2011. Looking ahead, SK Telecom will provide differentiated, premium LTE services based on its unmatched competitiveness in call quality, device lineup and service/content, while at the same time making strenuous efforts to further expand and enhance the LTE-based mobile ecosystem.

 

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SK Telecom outbid rival operator KT Corp to acquire licenses for the 1.8GHz spectrum in South Korea’s spectrum auction. After competing for 83 rounds with intense bidding, SK Telecom won the spectrum band at the price of $926.3 million as compared to its initial bid price of $415.1 million. The compatibility of the spectrum band with LTE equipment is what makes the band so attractive. With SK Telecom having already launched LTE services in July, it looks to further strengthen its hold in the mobile market.

Meanwhile, KT Corp successfully acquired the frequencies for the 800MHz band at a price of $242.9 million and is reportedly planning to start LTE services by November this year. Earlier, South Korea’s third largest mobile network operator, LG U+ was awarded the license for the 2.1GHz band.

 

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SK Telecom has opened its NFC-enabled retail outlet ‘Q-Store’.

The store allows shoppers to see products in a retail environment and use 2D barcodes and NFC tags of the products to get more information on the products on their phone.

As per reports, customers can then purchase the products online, via their handset. SK Telecom is planning a chain of such retail outlets and has opened its first Q-Store in Seoul. The store offers around 200 products which will be changed each month.

Products offered include luxury goods, consumer electronics products and cosmetics. The 2D barcode and NFC enable shoppers to access further information on the product and then place an order at online prices. The item will then be delivered to their home.

 

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iPass Inc., a leading provider of enterprise mobility services, today announced that SK Telecom is offering the iPass® Open Mobile client to its Android smartphone and tablet users, as well as its laptop users, as part of a new offering that provides an alternate to 3G and helps its customers avoid inter-standard roaming when they travel abroad.

With the iPass services, SK Telecom customers get a consistent, intuitive and secure connection and user experience across a breadth of mobile devices, including Android smartphones and tablets, and networks at work, at home and on the go. The new SK Telecom offer provides its customers with seamless and secure access to the iPass Open Mobile Network with more than 280,000 Wi-Fi hotspots worldwide.

“Korea has the most advanced wireless network technology and exacting users who want access to the best networks without delay,” said Kim Seon Jung, senior vice president and head of the Customer Marketing Office at SK Telecom. “As smartphone usage grows there is increasing demand for wireless data. It is important that SK Telecom offer consumers a solution that works the way it is supposed to work and also enables seamless 3G international offload at appropriate times. We’re delighted to partner with iPass and offer this SK Telecom branded Android solution to our four million Android users.”

“It was great to work with SK Telecom to develop the Android solution, as they are at the cutting edge of wireless development, are one of the early adopters of Android and have fostered an amazing Android developer community in Korea,” said Steven Wastie, senior vice president of marketing and product management at iPass. ”This relationship with SK Telecom validates the powerful capabilities of the iPass Open Mobile Platform by enabling the four million SK Telecom Android users to connect instantly to over 280,000 Wi-Fi hotspots worldwide.”

Availability

The iPass Open Mobile client for Android is available on SK Telecom T-Stores, the top application market in Korea, and has already been downloaded more than 10,000 times, and has a five star satisfaction rating from SK Telecom end users.

For more information about the iPass Open Mobile Client for Android visit:http://www3.ipass.com/mobile-employees/android

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South Korea’s KT Corp has announced that it will be selling the 2G iPad in the Asian country from the next month.

KT’s hometown rival and the country’s largest mobile carrier, SK Telecom has stated that it is actively considering offering the tablet device in the domestic market.

From April, SK Telecom will begin selling four tablet computer models, including Motorola Mobility Holdings’ Xoom, Samsung Electronics’ Galaxy Tab devices and LG Electronics’ Optimus Pad.

 

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SK Telecom (SKT) in partnership with Seogwipo City is planning to offer free internet access on buses from next month.

According to an ICT official with Seogwipo City, it is also planning to build wireless internet zones on forty buses, at six bus stops, and at two bus terminals.

 

 

 

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SK Telecom has signed a deal with with Sunnada Communication to export 55,000 units of its RFID Reader USIM product, which could help businesses better manage products such as liquor and pharmaceuticals.

RFID is a technology which communicates through radio waves to exchange data between a reader and an electronic tag attached to an object in order to identify or track it.

The technology could be used to confirm the authenticity of goods such as liquor and pharmaceuticals and improve management of the products.

The exports of the RFID reader USIM will be the first since it was developed through a project assigned by the Ministry of Knowledge Economy from July 2009-June 2010. It was commercialized in July last year.

SK Telecom started supplying RFID Reader USIM from December 2010 since the National Tax Service made it mandatory for five Korean liquor companies to attach RFID tags to their products. Along with providing RFID Reader USIM to liquor retailers, SK Telecom also developed a mobile application that provides a system to check authentication of Korean whisky to prevent distribution of fake liquor and tax evasion in the distribution process.

In addition, SK Telecom is also providing RFID Reader USIM to Hanmi Pharmaceutical to be used for real-time distribution and inventory management of its medicinal products. Furthermore, tests are underway to apply RFID Reader USIM technology to businesses in other industries.

­If reports are to be believed, the number Korean smartphone users are approaching the 10 million thresholds. According to the report, SK Telecom has registered more than 5 million smartphone subscribers. KT Corp secured 3.7 million users and LG followed with 1 million.

The combined number topped 9.7 million,  35% higher from about 7.2 million at the end of last year.

SK Telecom added that its own 5 million subscribers, nearly seven times greater than a year earlier and 20 times that of June 2009. KT also saw its number of smartphone customers surge 35 percent since late December. LG users nearly doubled over the same period.

Roughly 60% of the sales came from just two handsets – with 3.7 Apple iPhones being sold, followed by 2.6 million of Samsung’s Galaxy S.

 

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