KTF begins HSDPA services nationwide from March 1

1 March 1896 marked the arrival of the magneto telephone in Korea. After 110 years, the era of voice-only communications has come to an end with the start of video communication, as marked by the Revolution in Communications Day. KTF will create a new story as a top telecommunications entity, as it leads the video-communications era.

KTF CEO Young-chu Cho (www.ktf.com) held a press conference on the 28th to announce the launch of KTF’s HSDPA service – a world first – reaching 99% of the population.

Construction and Building a Nationwide HSDPA Network

The KTF construction of HSDPA lines across the country involved 1 year and 5 months of concentrated work in building the lines themselves and also in quality improvement. Through these efforts, KTF was able to improve on existing CDMA standards and ensure the same quality anywhere in Korea with the uniform network possible with HSDPA.

The start of the HSDPA service is expected to bring big changes to the Korean mobile telecommunications industry and people’s everyday life. The construction of a global standard network for over 80% of subscribers to mobile telecoms around the world would mean guaranteed inter-operability globally for handsets, contents, and network equipment, thus increasing competitiveness in overseas markets. Also, with standardization of high-quality multimedia telecommunications centered on video, a revolutionary change in existing voice-centric telecommunications is expected.

HSDPA nationwide services will have a sharp effect on related-industry sectors in Korea. According to the Ministry of Information and Communication strategy announced in April, the output of expanded WCDMA/HSDPA services is predicted to reach 5.3 trillion won by 2010 and 2.7 trillion won in value-added services, an estimated 8 trillion won overall in value-creation for related industries.

Big strides forward are expected in benefits to the customer too. Economies of scale from the adoption of a global standard should lower handset prices, reduce investment costs in equipment, and increase user base, allowing for lower call plan costs. Also, video phones, high-speed wireless internet, and global automatic roaming means new, innovative services that customers have not been able to enjoy before, thus increasing the quality and range of telecommunication services to people in everyday life.

Launch of a New Concept with Leading WCDMA Brand

Using the launch of nationwide HSDPA services as a starting point, KTF has released “SHOW,” a new concept in branding for WCDMA and distinct from existing CDMA. The new brand, SHOW, represents “new and fun communication” in the lives of customers though HSDPA services that shift the emphasis from voice-based, slow data services, to video and high-speed data services, including video, high-speed data, and roaming services. An ad featuring the new brand has already been released as a teaser.

Services provided by SHOW are distinct from existing CDMA offerings with the concept of services that you can “see, feel, and enjoy.”

▲Video calls, video conferencing (multi-user video calls), video chatting rooms, live video shows, video call-back tones (call connection screens), W2P (web to phone) video calls, and other video-based communication.

▲SHOW Video (high-quality video), high-quality Doshirak (KTF’s music service brand), MMS Plus (high-quality multi-media messaging), and other high-quality multimedia services.
▲Lifestyle-adaptable services: USIM-based traffic, security, membership, credit card, and stocks services; video-based m-education, location-based search-engine services, phone messenger, and address book.

▲A new global roaming service allows customers to use their phones and phone numbers in Korea abroad, not just for calling, but also for video- and data-related communication. At present, the automatic roaming service in available in 50 countries, including in Europe and Japan, with plans to increase this to 100 countries by June.

The SBSM (Single Band Single Mode) phones that can use the diverse and extensive services of SHOW are also drawing public attention.

▲ The 3 phones are Samsung SPH-W2500, LG-KH1300, and KTFT EV-W100. 10 handset models are planned for the first half of the year including the 3 above, with customer choice to greatly increase by the end of the year with a selection of 30 handsets to choose from. There are also plans for specialized handsets, which would utilize the SHOW iPlug modem and data cards.

▲ Also, from March 5, KTF will offer up to 300,000 won in handset subsidies to reduce the cost of buying these new handsets, according to the length and type of use.

KTF has prepared 25 different types of SHOW pricing plans to make use of the new SHOW service as convenient as possible to customers. The new price plans and reduction in call costs will assist the spread and use of HSDPA services.

▲ Video call pricing plans recently saw costs for end users drop from 100 won per 10 seconds to 36 won, which saves KTF customers around 70% versus other companies on their video calls.

▲ LMS services have also decreased in cost from 50 won to 30 won for up to a 1,000 characters per message

▲ High-speed data transfer, which is used for services such as VOD, costs 0.45 won per packet (1 packet = 512 byes), approximately a 50% reduction. Customers benefit further from the 50% cut in wireless data costs during peak travel hours between 5am to 9am. KTF is also planning new, innovative price plans that are distinct from current 2G offerings.

To mark the launch of the world’s first nationwide HSDPA service, KTF has prepared a number of benefits to SHOW subscribers.

▲ Customers who subscribe for two months to the SHOW service from March 1 to the end of April will receive free 100 minutes for voice and video calls each month for 3 months.

▲ KTF will cut 5,000 won off the basic line rental for 3 months for customers subscribing to the most comprehensive data plan for the SHOW service from March 1 to the end of April.

▲ Customers subscribing to SHOW iPlug by the end of May will have their basic fee (29,000 won) waived on the month the service begins and the following month, a total of 2 months, as well as free 4GB until the end of September.

KTF has opened a SHOW website too at www.show.co.kr, which allows people to experience the SHOW service both on handsets and online, including video and UCC services. The site utilizes Web 2.0 and is designed for ease of communication with contents and services optimized for each customer. It also concentrates in providing a wired-wireless service with the same environment for both wireless and online services. SHOW subscribers receive 30 minutes free of web-to-phone video calls, amongst an array of other services and benefits.

At a press conference, KTF CEO Young-chu Cho said in a greeting speech, “The launch of the world’s first nationwide HSDPA service is an unprecedented step in the history of Korea’s IT market and comes on the back of appropriate policies, technology and investment.” He continued, “The recent progress confirms again Korea’s position as a global standard of next generation mobile communications and as a true ‘Mobile Wonderland.’ To that extent, KTF will continue to develop innovative services and diverse benefits, and so stand at the forefront as a leading corporation in raising the Korean IT industry another level.”

In addition, a KTF official said with regards to resale of 3G networks, “It has been decided to apply the price for line usage indiscriminately to all telecommunication companies, including KT. The resale price for 3G has been raised over 2G services due to consideration of the investment in the 3G network.” The official continued, “KT will promote 3G resale to raise standards in the telecommunications industry, push WDCMA forward, and stimulate the mobile market. The focus is on taking KT-PCS users to 3G services to help with the government’s policy for fair competition and to prevent over-heated competition.”

Source: KTF