2 Million Won for a Smartphone: Will iPhone 16 Spark a Revolution in Short-Term Service Plans
iPhone 16 Launch: Enthusiasm Dampened by Delayed AI Features and High Prices
Apple’s latest product, the iPhone 16, was released today, but the enthusiasm in Korea was not as strong as expected.
One reason for this is the delayed installation of AI functions, which will not be available in Korea until next year.
Another reason is the high price of the iPhone 16, with the factory price of the cheapest model starting at 1.25 million won and the largest model supporting 1 terabyte of memory costing up to 2.5 million won.
Even with the largest publicly announced subsidy of 450,000 won, the price of the iPhone 16 remains high, with a minimum cost of over 2 million won.
Single Connection Law Under Scrutiny
The high prices of smartphones have led to discussions about abolishing the Single Connection Law, also known as the Act on Improving the Distribution Structure of Mobile Communications Terminal Devices and the Mobile Communications Act.
This law was introduced in 2014 to solve the problem of illegal subsidies and reduce price discrimination among consumers.
However, since its implementation, the combined profits of the three telecommunications companies have increased significantly, from 2 trillion won to 4 trillion won last year.
The political world is pushing for the abolition of the Single Tong Act and is looking for ways to reduce the burden on consumers, but this is not an easy task.
Telecommunications Operators and Manufacturers at Odds
Telecommunications operators point to terminal manufacturers, such as Apple and Samsung, which have tripled smartphone prices in 10 years.
Manufacturers, on the other hand, argue that maintaining quality costs money and that they have limited financial resources.
The National Assembly intends to discuss the repeal of the Single Tong Act and subsequent legislation soon, but it does not seem easy to find a solution for consumers due to the great difference in opinion.
This is Jeong Dong-wook from MBC News.
Video reporting: Lee Sang-yong / Video editing: Lee Sang-min