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Title	CHECK THE SUBSIDY DETAILS FOR NEW DEVICES CAREFULLY!
Date	2025-07-16	Read	24765
The first new device will be released following the repeal of the related law. The KCC urges caution to thoroughly review contract terms. The Korea Communications Commission (KCC, Chairperson Lee Jinsook) issued an advisory on July 11, warning of potential consumer harm caused by misleading information on mobile phone subsidies from distributors, including authorized dealers and retailers. This comes ahead of the release of Samsung Electronics’ Galaxy Z series in July 2025, the first device to be launched following the repeal of the Mobile Device Distribution Improvement Act on the 22nd. Consumer vigilance is necessary to prevent harm from false information about subsidies, particularly during the pre-order period (July 15-21) for Samsung’s Galaxy Z Fold 7 series. The advisory is to prevent consumer harm as the mobile phone distribution market is overheated after a joint public-private investigation into SK Telecom’s USIM hacking incidents, released on the 4th, concluded early termination fee exemptions. The KCC has instructed mobile carriers, authorized dealers, and retailers to provide key details to consumers, especially when contracts are changed or terminated, considering the removal of requirements to publicly announce subsidy information following the repeal of the relevant Act. In particular, authorized dealers and retailers must clearly state who is providing the subsidy, the amount of the subsidy, and detailed conditions for subsidy eligibility, including device models, rate plans, value-added services, and bundle plans. ※ Under the current Telecommunications Business Act, it is prohibited for distributors to provide false or misleading information about subsidies, force consumers to subscribe to a specific plan or service, or fail to notify important information at the time of subscrption. If consumers experience harm during a mobile device purchase or telecom service subscrption process, they can seek help from the mobile carriers’ customer service center (114), Korea Association for ICT Promotion’s Reporting Center for Unfair Mobile Practices (080-2040-119, https://www.cleanict.or.kr). Meanwhile, the KCC hosted a meeting led by the Deputy Director General of Market Investigation on the 11th with the executives from three major mobile carriers-SK Telecom, KT, and LGU+-to look into the mobile device distribution market. The KCC requested that updated progress be shared to prevent disruptions to distributors following the legal changes caused by the revocation of the Act, and to ensure that consumers are not harmed due to a failure to disclose contract terms during the pre-order period for Samsung’s new devices.
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