SK Telecom Co. may face losses of up to 7 trillion won (US$5 billion) over the next three years due to declining revenue and the possible waiving of early termination fees following a major data breach that has shaken consumer trust, the company's chief executive officer (CEO) said Thursday.
"Since the incident, 250,000 subscribers have left. The number could soon reach 2.5 million," CEO Ryu said during a parliamentary session.
"If monthly cancellations reach as high as 5 million, we estimate losses of up to 7 trillion won for the next three years, including waived termination fees and lost revenue."
SK Telecom, South Korea's largest mobile carrier with around 25 million users, roughly half of the domestic market, has come under pressure after disclosing a large-scale leak of universal subscriber identity module (USIM) data affecting its entire user base in April.
