SK Tel aims for $723 mn in subscription service transaction volume

SK Telecom Co. plans to reach 1 trillion won ($723 million) in transaction volume for subscription services such as its new T Universe. 

The South Korean telecom giant unveiled the target during an earnings call on Thursday. 

“As of the end of the third quarter, the number of T Universe users exceeded 1.4 million,” the head of SK Telecom’s subscription marketing team Yoon Jae-woong said. “It is worth noting that 48% of the channel subscriptions were made online, especially among the younger demographic.” 

Yoon added that the transaction volume is forecast to surpass 550 billion won by year’s end. 

T Universe membership includes the services of SK Telecom’s business partners such as food delivery service provider Woowa Brother Corp.’s Baedal Minjok (Baemin) platform. The membership also comes with free delivery for goods ordered on Amazon.com.

The company also plans to expand its artificial intelligence (AI) business. 

“We are focusing on innovating the user experience with AI,” a strategist with SK Telecom explained. 

Earlier this week, the company revealed it is aiming to quadruple its corporate value by 2026 through digital transformation and to become the country’s top AI firm by 2026.

SK Telecom’s third-quarter sales rose 3.1% year-on-year to 4.34 trillion won ($3.1 billion). Operating profit for the July-September period surged 18.5% on-year to 465.6 billion won ($337.6 million).

Write to Sang-Eun Lee at selee@hankyung.com
Jee Abbey Lee edited this article.