Telecom Firms Urged to Find AI Revenue Ahead of 6G Shift
South Korean telecom firms must develop new AI services to boost revenue before 6G commercialization, according to experts at a Korea University seminar. Lee Jong-kwan of Shin & Kim noted that physical AI occupies networks for extended periods, requiring specialized services. KAIST Professor Kim Min-ki suggested moving beyond subscriber-based pricing to account for new economic actors like AI agents. KT executive Suh Eun-il stressed the need for innovation to sustain digital infrastructure investment.
The core issue for South Korean telcos is not just 6G transition; it is deteriorating profitability from rising traffic that does not translate to higher revenue. Carriers must move beyond line- and subscriber-based pricing models. Ultra-low-latency physical AI services, like those for smart factories, are a specific opportunity. These require differentiated offerings by speed, latency, and quality.
This points to a shift for major players like KT, SK Telecom, and LG Uplus. They must become AI transformation providers, not just network operators. Combining local networks with security infrastructure for finance, hospitals, and smart cities offers a clear path. This is a regional test case for how telcos can avoid becoming mere infrastructure pipes in the AI era.
The thing to watch is how quickly these carriers can roll out genuinely differentiated AI services. Merely repackaging existing connectivity as "AI-ready" will not solve the profitability problem. Success hinges on specific, high-value offerings that command premium pricing, moving beyond the current traffic-based revenue stagnation.
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