1. • Launched LTE-A (150Mbps) (World’s first) 13 12 • VoLTE (World’s first) • World’s first full HD streaming • Launched Wideband LTE (150Mbps) • Launched LTE (75Mbps) service 11 • LTE subscribers: 12.3 M (45.1%) 14 • LTE subscribers: 7.5 M (27.9%) • LTE subscribers: 634 K (2.4%) 10MHz (850MHz) + 10MHz (1.8GHz) 10MHz (850MHz) 1 2 3 4 5 6 1 2 3 4 5 6 7 8 9 10 11 12 8 10 11 12 7 8 9 10 11 12 SK Telecom LG U+ KT • Scheduled to offer Wideband LTE-A (225 Mbps) • Scheduled to offer Wideband LTE-A (225 Mbps) • Scheduled to offer Wideband LTE-A (225 Mbps) 1 2 3 4 • Launched unlimited LTE data plan • LTE subscribers: 13.5 M (49.3%) LTE/LTE-A Commercialization by South Korea’s Big 3 Operators as of April 2014 • Expanded Wideband LTE to metropolitan cities • MWC 2014 Demonstration - 3-Band CA (20+20+20MHz, 450Mbps) - LTE-A CA Femtocell - FDD-TDD LTE CA • MWC 2013 Demonstration - CA (10+10MHz, 150Mbps) LTE LTE-A Wideband LTE Wideband LTE-A 10MHz 10+10MHz 20MHz 20+10MHz Max 75Mbps Max 150Mbps Max 150Mbps Max 225Mbps Wideband LTE-A Wideband LTE-A 20+10+10MHz 20+20+20MHz Max 300Mbps Max 450Mbps x1 x2 x2 x3 x4 x6 • Wideband LTE-A (20+10MHz, 225Mbps) demonstration Commercialized (by SK TELECOM/LG U+ in 2011 and by KT in 2012) Commercialized (by all 3 in 2013) Commercialized (by all 3 in 2013) To be commercialized (by all 3 in July) To be commercialized (by LG U+, etc. in 2H) To be commercialized (in 2015 or later) LTE in Korea UPDATE May 1, 2014NETMANIAS Report • LTE subscribers: 14.9 M (53.1%) 7 7 9 • LTE subscribers: 1.8 M (6.7%) 20MHz (1.8GHz) • Launched LTE-A (150Mbps) (World’s second) • Multi-Carrier (World’s first) • World’s first 4 CH multi-view • Launched Wideband LTE (150Mbps) • LTE subscribers: 6.5 M (61.1%) • LTE subscribers: 4.1 M (43.1%) • LTE subscribers: 557 K (5.9%) 10MHz (850MHz) • Launched LTE (75Mbps) service • VoLTE (World’s first) • Launched unlimited LTE data plan • LTE subscribers: 7.1 M (65.2%) • Expanded Wideband LTE to metropolitan cities • MWC 2014 Demonstration - 3-Band CA (20+20+20MHz, 450Mbps) - Uplink CoMP - LTE + Giga Wi-Fi Femtocell • LTE subscribers: 7.5 M (68.6%) • LTE subscribers: 1.8 M (15.5%) 10MHz (850MHz) + 10MHz (2.1GHz) 20MHz (2.6GHz) • HD 4Mbps streaming • Multi-Carrier • Launched LTE-A (150Mbps) (World’s third) • LTE subscribers: 6.8 M (41.8%) • LTE subscribers: 3.9 M (23.6%) • Launched LTE (75Mbps) service • VoLTE • Launched Wideband LTE (150Mbps) • Launched eMBMS (World’s first) • Launched unlimited LTE data plan • LTE subscribers: 7.9 M (47.9%) • Expanded Wideband LTE to metropolitan cities • MWC 2014 Demonstration - 3-Band CA (20+20+20MHz, 450Mbps) - LTE-A CA Femtocell - FDD-TDD LTE CA - LTE-A + Giga Wi-Fi • MWC 2013 Demonstration - eMBMS (KT+Samsung+Quacomm) • LTE subscribers: 8.6 M (52.4%) 10MHz (1.8GHz) • LTE subscribers: 351 K (2.1%) 10MHz (1.8GHz) + 10MHz (900MHz) 20MHz (1.8GHz) • Multi-Carrier (World’s first) Wideband LTE Spectrum Auction © 2014 Netmanias • www.netmanias.com 1 2 3 4 5 6 1 2 3 4 5 6 7 8 9 10 11 12 8 10 11 12 7 8 9 10 11 12 1 2 3 4 7 7 9 13 12 11 14 As of May 1, 2014
2. LTE/LTE-A Commercialization in Korea: 2014 April 2014 850 MHz 900 MHz 1800 MHz 2100 MHz 2600 MHz Band 5 Band 8 Band 3 Band 1 Band 7 1745 1755 KT 1920 1930 LG U+ 1725 17351715 SK TELECOM KT 2520 2530 2540 LG U+ MHz MHz MHz SK TELECOM 1840 1850 905 915 KT 950 960 KT 839 849 LG U+ 829 SK TELECOM (UL) 1810 18301820 SK TELECOM MHz 2110 MHz 2640 2650 2660 LG U+ SK TELECOM Nation Nation Other MajorMajor Metropolitan Metropolitan Major Major 884 894874 Wideband LTE Wideband LTE Wideband LTE MetropolitanMetropolitan 100 150 100 150 100 150 Category 6 2-Band 30 MHz: [B3]20 + [B5]10 30 MHz: [B3]20 + [B8]10 30 MHz: [B7]20 + [B5]10 [B7]20 + [B1]10 Category 4 2-Band 20 MHz: [B1]10 + [B5]10LG U+Category 3 Category 4 150 Mbps 225 Mbps 100 Mbps (Wideband LTE) 150 Mbps (Wideband LTE, 20 MHz) 150 Mbps (LTE-A, 2-band CA, 10+10 MHz) Nation 2120 Downlink The Big 3: ㆍ have expanded Wideband LTE service to 6 metropolitan cities since March 2014 ㆍ plan to expand Wideband LTE service nationwide in July 2014 ㆍ plan to launch Wideband LTE-A service using 2-band CA in July 2014, offering max. 225 Mbps (20+10 MHz) LG U+, etc.: ㆍ plans to launch Wideband LTE-A service using 3-band CA in 2H 2014, offering max. 300 Mbps (20+10+10 MHz) UE Category UE Categoty CA Type BW: CA CombinationOperatorMax. Speed UE LTE Frequency Commercialization Status (as of April 30, 2014) Carrier Aggregation (CA) Metropolital Cities 150 Mbps SK TELECOM KT Metropolital Cities B1-B5 10 MHz 20 MHz 10 MHz 10 MHz Max. 75 Mbps Max. 100 Mbps 10 MHz 20 MHz Max. 75 Mbps Max. 150 Mbps Max. 75 Mbps Max. 150 Mbps Max. 150 Mbps Max. 150 Mbps Max. 225 Mbps (July) LTELTE-A LTE Wideband LTE LTE-A Wideband LTE-A July 2014, 2H 2014 10 MHz 20 MHz 10 MHz Current Status Planned Max. 300 Mbps (2H) Category 3 100 Mbps Category 4 150 Mbps Category 6 300 Mbps UE Categoty & Max. Data Rate (DL) planned 2-band CA 3-band CA 2-band CA Uplink Categoty 6 225 Mbps (Wideband LTE-A, 2-band CA, 20+10 MHz) 300 Mbps (Wideband LTE-A, 3-band CA, 20+10+10 MHz) Category 6 3-Band 40 MHz: [B7]20 + [B5]10 + [B1]10 300 Mbps 150 Mbps 300 Mbps LG U+ 225 Mbps 225 Mbps LG U+ etc. planned planned LG U+ Nation Max. Speed 150 150 Mbps 150 Mbps SK TELECOM KT LG U+ 225 Mbps B7-B5 B7-B1 B3-B5 B3-B8 B7-B5-B1 225 Mbps Nation: Nationwide Major: Major Cities Metropolitan: Metropolitan Cities to be nationwide in July 2014 © 2014 Netmanias • www.netmanias.com 10 MHz 10 MHz 20 MHz 10 MHz 20 MHz 10 MHz LTE in Korea UPDATE May 1, 2014NETMANIAS Report
3. LTE Subscribers in Korea © 2014 Netmanias • www.netmanias.com LTE subscribers As of April, 2014, the total number of mobile subscribers in Korea hit 55.2 million. This indicates that Korea has a penetration rate of 109.7%, considering its population, 50.3 million. Korea has 31.2 million LTE subscribers, which account for 56.6% of the total mobile subscribers. 1 3 5 7 9 11 1 3 5 7 9 11 1 3 2012 2013 2014 4G(LTE) 3G(WCDMA) 66.6 [PB] 9.7 3 21 40.5 18.6 Mobile data usage in Korea [PB/Month] As of the end of March 2014, the LTE traffic reached 66.6 PB, which is 6.9 times higher than 3G traffic. Monthly LTE Traffic grew By 164% from 40.5 PB to 66.6 PB over the last one year. 4G smartphone, 3G smartphone and 2G/3G feature phone users generate 2.263 GB, 1.13 GB and 3 MB of traffic on average per month. Mobile subscribers - Split per device type As of the end of April 2014, 38.6M subscribers, which is 69.6% of the total 55.2M mobile subscribers, are smartphone users. 1 6 1 6 1 4 2012 2013 20142011 Smarthpone Feature Phone Smart Pad 52.5M 55.2M 38.4M (69.6%) 16.1M (29.2%) 0.65M (1.2%) 21.3M (40.8%) 30.5M (58.3%) 0.48M (0.9%) 0 5 10 15 20 25 30 35 40 45 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 2007 2008 2009 2010 2011 2012 20132014 2G 3G 4G [Million] * Source: Ministry of Science, ICT and Future Planning LTE in Korea UPDATE May 1, 2014NETMANIAS Report 0 10 20 30 40 50 60 7 9 11 1 3 5 7 9 11 1 3 5 7 9 11 1 3 2012 2013 2014 2G & 3G 4G LTE [Million] 55.2M 24.0M 31.2MLaunch LTE services (July, 2011) 2011 April 2014 31.2M (56.6%) 24.0M (43.4%)
4. LTE Deployment Status by Operator in Korea (April 30, 2014) © 2014 Netmanias • www.netmanias.com LTE subscribers growth by operator LTE subscription rate South Korea’s top 3 operators have LTE subscription rates that are higher than any of its global competitors who launched the same service before them, especially LG U+ with the seemingly unbeatable 68.8% as of the end of March 2014. Mobile subscribers trace – Split per network (November 2011 – April 2014) 68.8% 53.2% 52.4% 49.3% 34.8% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2011 2012 2013 2014 LG U+(Korea) SK Telecom (Korea) KT (Korea) Verizon (US) Docomo (Japan) SK Telecom has 14.8M LTE subscribers, which account for 47% of the total LTE subscribers in Korea. 0 2 4 6 8 10 12 14 16 8 10 12 2 4 6 8 10 12 2 4 6 8 10 12 2 4 2011 2012 2013 2014 SK Telecom KT LG U+ [Million] 14.8M 8.7M 7.7M 3. LG U+ 1 6 1 6 1 4 2012 2013 20142011 11.0M 9.3M 4G (LTE) 2G (CDMA) 3.4M (30.5%) 7.7M (69.5%) 9.0M (96.6%) 0.3M (3.4%) 1 6 1 6 1 4 2012 2013 20142011 26.5M 27.7M 4G (LTE) 3G (WCDMA) 2G (CDMA) 14.8M (53.4%) 9.1M (32.9%) 3.8M (13.7%) 0.4M (1.4%) 19.0M (71.8%) 7.1M (26.7%) 1. SK Telecom 4G (LTE) 3G (WCDMA) 7.7M (47.0%) 8.7M (53.0%) 16.4M (99.1%) 16.5M 16.4M 1 6 1 6 1 4 2012 2013 20142011 2. KT LTE in Korea UPDATE May 1, 2014NETMANIAS Report SK Telecom KT LG U+ 27.7M (50.1%) 16.5M (29.8%) 11.0M (20.0%) 55.2M Mobile subscribers in Korea April 2014