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Home > Industry

KT Announces Compensation Plan for Massive Cyber Breach: Termination Fee Waivers and 100GB Data Bonus

Global Economic Times Reporter / Updated : 2025-12-30 17:41:39
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CEO Kim Young-shub Issues Public Apology as Government Investigation Reveals Critical Security Lapses Across 94 Servers

(C) KT Enterprise


KT Corporation, one of South Korea’s leading telecommunications giants, officially announced a comprehensive compensation package on Tuesday following a severe network intrusion that compromised its systems. The plan includes waiving contract termination fees for departing customers and providing massive data bonuses to its existing user base.

Public Apology and Immediate Measures
During a press briefing held at KT’s Gwanghwamun headquarters in Seoul, CEO Kim Young-shub bowed in apology, stating, "I offer my deepest apologies to our customers who have suffered due to this security incident. We take the findings of the joint public-private investigation team very seriously and will do our utmost to minimize customer inconvenience."

The announcement follows the Ministry of Science and ICT’s final investigation report released on the 29th. The probe revealed that out of 33,000 KT servers, 94 were infected with 103 types of malicious code, including "BPFDoor," rootkits, and DDoS-enabling scripts. Experts noted that the scope of this breach is significantly broader than the recent hacking incident at rival carrier SK Telecom.

Details of the Compensation Package
According to the company, the following measures will be implemented to address customer grievances:

Waiver of Termination Fees: From December 31, 2025, to January 13, 2026, mobile customers wishing to terminate their contracts will have their penalty fees waived. This policy will be applied retroactively to customers who left between September and December 2025.
Refund Process: Impacted individuals can apply for fee refunds between January 14 and January 31, 2026, through the KT website, customer service centers, or physical retail stores.
Data Compensation: To alleviate the burden of communication costs, KT will provide an additional 100GB of mobile data per month for six months starting in February 2026. This will be automatically credited to most subscribers, excluding prepaid and IoT lines.
Exclusions: The fee waiver does not apply to users who newly joined, upgraded devices, or renewed contracts after September 1, 2025, nor does it cover MVNO (budget phone) or IoT customers.

Regulatory Pressure
The decision to waive termination fees came under direct pressure from the Ministry of Science and ICT. The Ministry criticized KT for "grossly inadequate security measures" and demanded that the carrier allow dissatisfied customers to leave without financial penalty.

Despite these measures, some consumer advocacy groups have pointed out that the plan lacks direct monthly subscription fee discounts, which were highly anticipated by the public. KT’s leadership indicated that the company is now focusing on a complete overhaul of its security infrastructure to prevent future recurrences of such a high-magnitude breach.

[Copyright (c) Global Economic Times. All Rights Reserved.]

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