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Title “New Smartphone for Free!” Beware of Deceptive Sales Tactics
Date 2025-02-10 Read 9144
Caution is advised against consumer harm caused by false, exaggerated, and deceptive advertisements when purchasing new smartphone devices.

With the release of Samsung Electronics’ new smartphone device, consumers need to be vigilant against false, exaggerated, and deceptive advertisements and inflated subsidies consumers losses may increase.

The Korea Communications Commission (KCC, Acting Chairperson Kim Tae-kyu) urged consumers to be vigilant against deceptive mobile phone sales practices on the 23rd, ahead of the pre-order period (Jan 24 - Feb 3) for Samsung Electronics’ new smartphone device (Galaxy S25), which will be officially released on the 7th of next month.

This warning is based on concerns over a potential increase in illegal and deceptive sales practices by illegal mobile phone vendors who secretly operate through sales channels such as online platforms and social media before and after the release of the new device, claiming to offer new smartphones at low+ prices.

Major fraudulent cases include sales involving false, exaggerated, and deceptive advertisement phrases such as “free” and “zero-cost”; explanations that may mislead consumers into perceiving discounts unrelated to sales as subsidies; failure to fulfill promises of providing unofficial subsidies such as payback; and forcing consumers to sign up for certain high-priced plans or additional services.

To prevent consumer harm caused by such deceptive sales practices, consumers must thoroughly check the conditions for discounts and remaining installments and ask for further explanations if any details are unclear when offered mobile phones at unrealistically low prices.

Consumers who experience losses during the process of purchasing a device or signing up for mobile services can seek assistance from mobile carriers’ customer service centers (dial 114), and the Korea Association for ICT Promotion’s Unfair Mobile Phone Sales Report Center (dial 080-2040-119, https://www.cleanict.or.kr), and other services.

On the same day, the KCC held a meeting with executives of mobile carriers and manufacturers led by the Deputy Director General of Market Investigation to discuss follow-up measures related to the abolition of the Mobile Device Distribution Improvement Act.

At the meeting, participants shared the necessary measures for consumer protection and fair competition after the abolition of the Act, including improvements in self-monitoring of the market, policies for a healthy mobile device distribution environment, and plans for government-industry cooperation to prepare detailed solutions.

Acting Chairperson Kim Tae-kyu stated, “The KCC will implement follow-up measures to ensure that the impact of the abolition is felt by the market and to revitalize subsidy competition among mobile carriers.” He added, “The KCC also plans to protect consumers by strengthening market monitoring during new device release periods and back-to-school season.

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The Korea Communications Commission
File 250123 (보도자료) “「신규 스마트폰 공짜!」 속임수 판매 유의하세요”.hwpx 250123 (보도자료) “「신규 스마트폰 공짜!」 속임수 판매 유의하세요”.hwpx
20250203_News_Release_Deceptive Sales Tactics.docx 20250203_News_Release_Deceptive Sales Tactics.docx
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