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Conference Paper
Why are Unlimited Data Usage Plans Launched in the Korean LTE Ecosystem?: Some Clues from the Mobile Data Traffic in Korea
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- Authors
- Hyeongjik Lee
- Issue Date
- 2015-07
- Citation
- Conference on Interdisciplinary Business and Economics Research 2015, pp.1-8
- Language
- English
- Type
- Conference Paper
- Abstract
- The launch of the unlimited data usage plans for LTE in Korea seems to be contradictory to the general belief that usage plans might be financially unsustainable considering the mobile data traffic explosion. This paper attempts to logically explain this unique case in Korea using the mobile traffic data. The results presented that the growth of the mobile data traffic in Korea might not be excessively high enough to use the term “mobile data traffic explosion”. This paper also confirmed graphically that the launch of the unlimited data usage plans artificially induce the growth of the total LTE traffic, using the concept of the event study approach. These results imply that there might be no mobile data traffic explosion in Korea before April 2014, thus the Korea mobile carriers could launch the unlimited data usage plans for LTE. Therefore, this paper suggests that the existence of the mobile data traffic explosion and its effect on the mobile ecosystem should be comprehensively investigated for policy makers in Korea.
- KSP Keywords
- Mobile data traffic, Mobile traffic, data traffic explosion, data usage, event study, mobile ecosystem, traffic data