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SK Telecom seeks leadership in mobile navigation business

South Korea’s leading network operator SK Telecom vowed to become an uncontested leader in the local mobile navigation business by making its flagship car navigation app T-map free for everyone starting from Tuesday.

By freeing up T-map -- which non-SKT subscribers previously had to pay 4,000 won ($3.50) per month to use -- SKT is looking enhance the app’s competitiveness by securing more users.

A model holds up a smartphone with SKT's flagship mobile navigation T-map in operation. From Tuesday, T-map became free for any user beyond those subscribed to SKT. (SKT)
A model holds up a smartphone with SKT's flagship mobile navigation T-map in operation. From Tuesday, T-map became free for any user beyond those subscribed to SKT. (SKT)

In doing so, the company said it aims to fulfill its long-term vision to expand its presence in emerging businesses utilizing GPS and navigational services, including connected car solutions and Internet of Things technologies.

Boasting more than 18 million subscribers and some 2.2 million daily users on weekends, T-map is currently the country’s leading mobile navigation service, with many users touting it as the most accurate and convenient car navigation service in Korea.

Now available free of charge, T-map is set to newly appeal to some 230 million mobile users subscribed to the network services of KT, LG Uplus and other budget network operators.

By bringing more users to T-map, SKT is looking to enhance the app’s real-time traffic data and overall services. In doing so, the firm is preparing to become a key platform provider of a range of new connected automotive technologies to be launched in the future.

The telecom company said it has already joined hands with local and foreign automakers such as Kia Motors, Jaguar and Land Rover to launch “T-map for Car,” a built-in navigation system for cars based on T-map’s database.

SKT has also launched additional services of its own based on T-map, including a taxi hailing app and an app that provides real-time public transit information, with plans to unveil other navigation-based services in the future.

Industry watchers say SKT’s decision to make T-map free is also geared at fending off encroaching competition from similar navigation apps offered free by its rivals Kakao, KT and LG Uplus.

Kakao, which owns Korea’s top mobile messenger KakaoTalk, acquired Kimgisa from local start-up Loc&All for 60 billion won in 2014 and launched KakaoNavi in February this year.

KakaoNavi offers real-time traffic data, similar to that of T-map, and an easy-to-use user interface which have helped the app continually attract more users.

Boasting some 6.8 million registered users, KakaoNavi has seen the number of its active users and driving direction queries jump by 50 percent in just four months since its launch, Kakao said.

“KakaoNavi will continue to build on its existing strengths such as road analysis and traffic forecast services and develop new exclusive services to quickly cater to the needs of our customers,” Kakao spokesperson Lim Sun-young said.

Rival network operators KT and LG Uplus each service their own navigation apps as well, using GPS data from navigation service developer Thinkware’s navigation service iNavi. The three companies currently share traffic data in real-time to improve their service accuracy.

Local and global Internet giants have jumped into the navigation business as well. Korean Internet giant Naver added a navigation function to its flagship GPS-based map service Naver Map last December while Google, which is currently unable to fully offer its map and navigation services in Korea due to local regulations, recently began taking fresh action to obtain government clearance.

By Sohn Ji-young (jys@heraldcorp.com)
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