KT announces merger with its IPTV subsidiary Olleh TV
KT, the No. 2 mobile carrier in Korea, said it is merging with a wholly owned subsidiary, KT Media Hub, to improve operating efficiency.
KT Media Hub is the operator of the nation’s largest IPTV called Olleh TV, which has 5.8 million subscribers. It separated from KT in December 2012.
However, KT has been criticized for having a complicated IPTV system compared to those of SK Broadband and LG U+, which are directly managed by those mobile carriers.
“Because we run the IPTV business separately, the efficiency was lacking more than we expected,” said a spokesman for KT. “We decided on a merger in order to further grow KT’s IPTV business.”
The merger will take effect March 31.
KT has been restructuring its businesses since Chairman Hwang Chang-gyu took the helm last January.