Stage X CEO Seo Sang-won [Photo by Yonhap]
Stage X, recently designated as the fourth mobile carrier in South Korea after securing the 28 gigahertz spectrum band in a recent auction, is prepping an ambitious entry into the country’s 5G market.
The company plans to invest over 600 billion won ($452 million), including frequency allocation costs, to establish a differentiated 5G service in the market.
CEO Seo Sang-won made the announcement during a press conference held on Wednesday morning at the Fairmont Ambassador Seoul in Yeouido.
With formal incorporation expected to be completed in the second quarter of 2024, Stage X aims to begin constructing base stations and launch nationwide network communication services in the first half of 2025.
Seo emphasized the company’s commitment to providing innovative pricing plans, saying, “We can offer revolutionary pricing plans by changing various fees and distribution structures.”
He pledged to reduce fees based on an online-centric distribution system and by introducing artificial intelligence technology to cut operational costs. He outlined an ambitious goal of achieving annual revenues exceeding 1 trillion won and turning a net profit within three years.
To materialize its service infrastructure, Stage X is set to invest 612.8 billion won.
“We invested 4,301 billion won in acquiring the 28 GHz frequency, as well as approximately 182.7 billion won for mandatory base station facilities at 28 GHz and core network development costs to collaborate with other companies,” Seo said.
For the frequency allocation, Stage X will pay 10 percent of the total fee for 2024 and then proceed with the remaining payments in installments over the next five years.
By Jeong Ho-jun and Minu Kim
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