South Korea’s KT Corp. to Invest $1.5-Billion in IPTV Network by 2012

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South Korea’s KT Corp. to Invest $1.5-Billion in IPTV Network by 2012

8:00 am on September 20, 2008 | Category: Business, Telecom Services, Television

South Korea’s leading fixed-line telephone and high-speed internet provider, KT Corp., announced Thursday that it would invest $1.5 billion into a new IPTV division over the next four years, with the intention of breaking even as early as 2011.

Like Verizon Communications, Telus Corp., and numerous other telecom incumbents around the world, KT is hoping to open up a new revenue sources using interactive, internet-based television technology. Such services became legal in South Korea last December, after a lengthy debate among broadcasters, telecom providers, and regulatory authorities.

KT expects to make its “MegaTV” service commercially available by October, and is aiming to secure 300,000 TV subscribers by the end of this year, increasing to 3 million in 2012.

KT is already South Korea’s leading broadband provider with 6.7 million subscribers, and intends to market its TV service to this existing customer base.