South Korea Telecom Market Size

South Korea Telecom Market Analysis

The South Korean telecom market is expected to grow at a CAGR of 3.23% over the next five years. South Korea is one of the leaders in telecommunication across the globe. This performance is driven by robust support from the government. The country's leading telecom players are SK Telecom Co. Ltd, LG Uplus Corp., Korea Telecommunications Authority, and Samsung Electronics Co. Ltd.

• South Korean 5G receives great accolades in terms of speed and coverage. According to data from the Ministry of Science and ICT, there are close to 24 million 5G customers in South Korea. SK Telecom, the largest cellular carrier in South Korea, came first internationally in terms of download speed for 5G networks. Meanwhile, the third-largest mobile provider in the nation, LG Uplus, came in second with 429.6 Mbps, followed by Tele2 AB of Sweden, KT Corp. of South Korea, Bulgaria's Vivacom Inc., and LG Uplus.
• The South Korean government has long been confident in becoming the global leader in 5G. Since the launch, the South Korean government's support for 5G has only increased. According to a report from Business Today, the South Korean government allocated WON 165 billion (USD 140 million) to expand 5G coverage across the nation last year. Since the initial stage of the 5G rollout, South Korea's 5G ecosystem has brought together government ministries, legislative bodies, carriers, private sector vendors, research institutes, and other players like trade unions and civil society organizations.
• In South Korea, fiber internet is practically universal, mobile penetration is high, and many companies have already embraced 5G services. Due to this, despite rising corporate demand for high-bandwidth services to assist cloud migration, the ability of operators to increase income from core communications services is constrained. However, major South Korean operators reported significant enterprise revenue growth and have high growth goals for the coming years. Telecom operators are partnering with IT experts and public cloud service providers to accomplish these aims. These developments are anticipated to drive their market share in ICT, create new services for local enterprises, and extend their operations globally.
• The COVID-19 pandemic significantly impacted the South Korean telecom sector. Lockdowns and strict social segregation laws gave businesses a task and a chance to modify their organization for remote work while developing innovation that might fulfill South Korea's quickly evolving telecommunications demands. When COVID-19 initially broke out in South Korea in early 2020, SK Telecom and other market-leading firms were in charge of the country's transition to the new generation of wireless network technology. Telecommunications remained an essential service during this period as many people sought to upgrade their services and plan to suit a transition to working and studying from home. During this time, most telecom firms in South Korea accelerated digital transformation and expected competitiveness and workforce resilience as the benefit of these transformations.