This amendment aims to actively induce foreign investment to enhance the vitality of the domestic telecommunication market, protect users from voice phishing through prompt suspension of the use of burner phone numbers, and also revise related provisions to alleviate regulations, etc., on the approval of concurrence engagement of business.
(2) Major Provisions
A. Classify Over-The-Top (OTT) media service as a special type of value-added communications business (Article 2)
Classify OTT business as a special type of value-added telecommunications business, require the Minister of Science and ICT to notify the Minister of Culture, Sports and Tourism within 3 months upon receiving a report of new entry, transfer of business, etc., of the relevant business operator.
B. Ease restrictions on foreign indirect investment (Article 8)
A corporation, in which foreigners belonging to member states of the OECD are the largest shareholders, with ownership of 15/100 or more of the total number of issued shares, that the Minister of Science and ICT has determined that there is no risk of harming public interests as a result of an examination of public benefits shall not be considered as a foreigner despite Article 8 (2) of the Act.
C. Add grounds for imposing conditions on the results of the examination of public benefits (Article 10)
Allow the addition of necessary conditions to the results of the examination of public benefits if there is a concern that the change, etc., of the largest shareholder of a facilities-based telecommunications business operator would harm the public interest.
D. Ease regulations on the obligation to commence a facilities-based telecommunications business (Article 15)
Where a facilities-based telecommunications business operator cannot commence the business within one year from the date of registration due to natural disasters or other unavoidable reasons, allow the Minister of Science and ICT to extend the period at the request of the facilities-based communications business operator.
E. Ease regulations on the approval of concurrence engagement of business (Article 17)
Where a person intends to concurrently engage in a communication device manufacturing business, information and communication construction business, or service business, change the criteria for judgment of facilities-based telecommunications business operators, which shall obtain approval from the Minister of Science and ICT, from sales to Telecommunications Sales.
F. Clarify the spin-off of a facilities-based telecommunications business entity as the subject of approval (Article 18)
Require a corporation that is a facilities-based telecommunications business entity to obtain approval from the Minister of Science and ICT if it intends to be spun-off from its parent company.
G. Introduce the authority of order to suspend the use of burner phone numbers (Article 32-3)
If there is a request from an investigative agency for a burner phone number that is highly likely to be used for voice phishing, allow the Minister of Science and ICT to order the telecommunication company to stop providing services to that phone number.
H. Expand the range of burner phones (Article 32-4)
Regardless of providing or lending a fund, also include mobile communications terminals opened for use in illegal activities such as fraud in another person’s name in the range of burner phones.
I. Reinforce the responsibility of telecommunication companies for the fabrication and/or use of a false calling number (Article 104)
Raise the upper limit of the administrative fine imposed on telecommunication companies for violating the countermeasures against fabricating or using a false calling number pursuant to Article 84-2 (3) of the Act from 30 million won to 50 million won.
