After more than three years of legal dispute over network usage fees, Netflix and SK Broadband have decided to drop the lawsuit. The conflict began in April 2020 when Netflix filed a lawsuit against the internet provider, sparking a global debate on who is responsible for maintaining network quality amidst the increased traffic load from streaming services.
Putting their differences aside, Netflix, SK Telecom, and SK Broadband have now formed a partnership to provide users of the mobile carrier and the IPTV provider with Netflix membership. In addition, they plan to launch a new subscription service that will allow SK Telecom and SK Broadband users to access Netflix content. The companies will also introduce new subscription packages similar to Netflix’s ad-supported membership.
The rollout of these services is expected to take place in the first half of 2024. Tony Zameczkowski, Netflix’s vice president of Asia-Pacific partnerships, expressed the significance of the partnership, stating that it will enhance entertainment experiences for a broader Korean audience. He emphasized Netflix’s commitment to delivering the best stories to its members worldwide.
Choi Hwan-seok, head of strategic management at SK Telecom, highlighted the companies’ shared management philosophy of providing a better media service environment for their customers. The partnership signifies their dedication to improving the overall experience and meeting the expectations of their subscribers.
Sources:
- Lee Jae-lim – [[email protected]]
Definitions:
- Network usage fees: Fees charged internet providers for the usage of their network infrastructure
- IPTV: Internet Protocol Television, a digital television broadcasting protocol that is delivered using the Internet Protocol over a network infrastructure
- Subscription service: A service that allows users to pay a recurring fee to access content or services
- Ad-supported membership: A subscription package that includes advertisements in the content or interface
