Add to balance / Manage account | User: | Log out |
Prospect News home > News index > List of issuers S > Headlines for SK Telecom Co., Ltd. > News item |
Moody's: Korean telecoms benefit from cap
Moody's Investors Service said that new marketing cap guidance from the Korean Communications Commission is unlikely to have an immediate rating impact on the Korean telecom operators.
In the wake of a substantial increase in competition stemming from the deregulation of handset subsidies, the commission recently announced that telecom operators should cap their marketing spending at 22% of annual revenue in 2010, Moody's said.
The agency said this cap will likely help large-scale operators such as SK Telecom and KT Corp. protect their superior market positions from smaller operators, LG Telecom and SK Broadband.
The commission said telecom operators will be able to save about KRW 1.9 trillion in 2010 and KRW 2.4 trillion to KRW 2.5 trillion in 2011 if they comply.
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.