South Korean operator SK Telecom (SKT) revealed in its annual sustainability report it could share its 3G network with a rival as demand for the service declines.
SKT stated it is reviewing a way to share its 3G network with a competitor because tariffs are lower than 5G and LTE, leading to falling ARPU and profitability despite network operating costs remaining stable.
The competitor is likely KT since LG Uplus does not run a 3G network.
SKT ended Q2 with 1.36 million 3G connections and KT 1.23 million, GSMA Intelligence data showed.
While SKT stated it is improving the efficiency of its 3G network, it expects to incur maintenance costs over the next ten years or more.
It also aims to reduce the number of subscribers on the network: “Discussions are ongoing about the need to develop the 5G industry and increase consumer convenience by terminating 3G services.”
SKT phased out its 2G service [1] in June and KT closed its network in 2011.
[1] https://www.mobileworldlive.com/asia/asia-news/sk-telecom-gets-nod-to-shut-2g-service
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