KakaoTalk’s free calls put fear in mobile providers

KakaoTalk’s free calls put fear in mobile providers

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KakaoTalk’s free calls put fear in mobile providers

KakaoTalk's trial launch Monday of a free phone call service generated heated attention from Korea's smartphone users yesterday, while mobile carriers howled in protest, knowing their profits could erode and wash away.The service is called Voice Talk, and the top search phrase on the nation's largest portal site Naver was "KakaoTalk free phone call". Web communities were flooded with questions and answers about how current Kakao users could upgrade their apps to get it.Voice Talk works on both the Android and iOS operating systems, and it works through 3G phone service and over Wi-Fi. SK Telecom and KT, the two largest mobile service operators, complained that Voice Talk is "free riding" their Internet networks using the mobile voice over Internet Protocol (mVoIP). They urged the Korea Communications Commission to restrict the service, and warned that its use could boomerang on subscribers by forcing the providers to raise phone bills. Charges for phone calls are the main source of revenues for mobile phone service operators."The spread of mVoIP will harm industry progress, cause convenience to users and harm the national interest", said SK Telecom in a release. "It will drag down mobile service operators' profitability, which will in the long run result in a deterioration of service quality from monthly charge hikes and reduced investment in infrastructure".The telecommunication arm of SK Group proposed that the government come up with countermeasures as soon as possible. "If immediate government-level measures can't be devised, market-level measures should be enforced", it said. As an example of a market-level measure, the company cited a hike in the base rate for using providers' services. Free call services are not new. Skype has been around since the dawn of smartphones, and Daum Communication's MyPeople application launched an mVoIP service in February 2011.But KakaoTalk is much more of a threat. Its instant message service has 35 million domestic users, almost 70 percent of the Korean populace.In fact, mobile service providers are already limiting mVoIP. KT, for example, allows only 3G subscribers paying 54,000 won ($46) or more in basic monthly fees to use mVoIP. It restricts the data usage for free calls to 750 megabytes per month. Given that one megabyte corresponds to one minute of a phone call on a 3G network, users could make more than 12 hours of free phone calls monthly. The more expensive monthly fees become, the more mVoIP hours allowed. Both KT and SK Telecom have engineered their networks to prevent free Internet phone calls for subscribers paying less than the designated amount monthly and restrict the amount for others. LG U+, a third-tier player, bans mVoIP entirely.The carriers say their billing systems will have to be revised because they didn't anticipate the strong emergence of mVoIP. The KCC is in an odd position, having to consider both consumers and the mobile carriers. "We are discussing a variety of measures concerning Kakao's free calls", said an official with the KCC's Competition Policy Department. "But we are not in a situation to instantly reach a conclusion and take action".Meanwhile, Lee Sir-goo, CEO of Kakao, told the JoongAng Ilbo yesterday that mobile carriers are "making an excuse for elevating phone charges with KakaoTalk's free calls. Voice Talk cannot replace mobile voice calls. It's disconnected frequently while the user moves. It's not an alternative but a complementary method for making mobile calls."By Seo Ji-eun

FNC Entertainment"s CEO show his infatuation for AOA"s Jimin

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FNC Entertainment"s CEO show his infatuation for AOA"s Jimin

On this week”s episode of “Same Bed, Different Dreams,” CEO of FNC Entertainment and AOA“s Jimin guested on the show where Jimin talked about her struggles during youth as well as Han Seung Ho“s thoughts on Jimin.. ... Read more

Survey: Noodle dish Jjambbong contains highest in sodium

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Survey: Noodle dish Jjambbong contains highest in sodium

A recent survey shows that jjambbong, spicy soup noodle with seafood, contains the highest amount of sodium among dishes served at diners in Korea.

According to the survey carried out by the Ministry of Food and Drug Safety on 315 kinds of Korean food served at restaurants and diners, jjambbong is the highest in sodium with 4,000 mg per serving (1,000 grams). This amount is two times higher than the recommended sodium intake per day (2,000 mg) by the World Health Organization. Also included in the top 5 were Chinese white noodle udon (3,396 mg), yeolmu naengmyeon or cold buckwheat noodles with young summer radish kimchi (3,152 mg) and kimchi udon (2,875 mg). . ... Read more

An island escape for the independent

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An island escape for the independent
The scenic views of Ulleung Island”s seaside roads and the island”s jade waters are available from Namseo Sunset Observatory. By Ahn Sung-sik Ulleung Island on the east Sea has recently grabbed many tourists” attention. ... Read more

A magazine aims at the obsessed

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A magazine aims at the obsessed

Won Jong-un, editor of the magazine Deokjideokji, smiles in front of a cafe in Jongno District, central Seoul. The first issue of her magazine is ready and will be available beginning this month. By Hong Sang-ji . ... Read more

Kaesong items prove a hit in Seoul

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Kaesong items prove a hit in Seoul
Despite the fact that personal exchanges between North and South Koreans are rare, products made by North Korean laborers can easily be found here in the capital area.Kaesong Joint Industrial Complex Cooperatives, which sells men”s clothing and textiles produced at industrial facilities in the North, opened a branch June 17 in Jongno District, central Seoul, with donations from 12 companies, at the inter-Korean venture park. ... Read more