Samsung Galaxy S8 price drops to $177 in South Korea because of illegal discounts

Samsung Galaxy S8 price drops to $177 in South Korea because of illegal discounts
The hot new smartphone flagships usually debut on the market with different discounts, promotional initiatives and subsidies that help the carriers expand their customer base. Last month, Sprint, for example, offered the opportunity to lease two Samsung Galaxy S8 phones for the price of one with each new line activation. But this is nothing at the background of the price drop noticed recently on the South Korea market. There, the price of the Galaxy S8 has dropped to the hard to believe point of about $177, ET News reports. 

The reason is that the smartphone sellers in South Korea have opened an uncontrolled price war for new customers by offering illegal discounts on the latest Samsung flagship smartphone, thus sending its price below 200,000 won ($177). Why illegal? Because legally, smartphone sellers in the East-Asian country are allowed to provide up to 15 percent in additional subsidies – a government controlled measure aimed to prevent cut throat competition among the telecom companies. This means that the price of the Galaxy S8 phone can only be reduced by 23,700 won (~$21), so the final tag can be about 753,000 won (~$662), at the lowest. 


But in the last few days, some South Korean online and offline stores started to offer huge discounts of 500,000 to 600,000 won ($440 to $527). According to the source, the companies just took advantage of the fact that the Korea Communications Commission temporarily halted its monitoring of new subscriptions on April 30, just before the unofficial holiday period in the country, lasting between Labor Day (May 1) and the presidential election next Tuesday. Worsening the situation is the fact that the KCC chairman’s term has ended last month and a new chairman isn’t expected to be appointed until after the presidential election.

Of course, the lack of official monitoring is hardly the only circumstance that can be blamed for the situation. But when a certain seller comes up with a huge discount, others have no choice but to follow the trend, if they don’t want to lose their existing customers.

source: ET News (translated) via Android Authority

Related phones

Galaxy S8
  • Display 5.8" 1440 x 2960 pixels
  • Camera 12 MP / 8 MP front
  • Processor Qualcomm Snapdragon 835, Octa-core, 2350 MHz
  • Storage 64 GB + microSDXC
  • Battery 3000 mAh(30h talk time)

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23 Comments

1. toukale

Posts: 631; Member since: Jun 10, 2015

Like the LG G6, the S8 will quickly fall to between $500/600 soon. How else will they be able to move the numbers to beat the S7? If history teaches us anything is that the first week or two Samsung tells the whole world that they are moving records number of ex.. S5, S6 and S7 only to see a huge price cup a few weeks to a month later to help move inventory. It happens every year, that's why I don't pay attention to their lip service the first few weeks.

2. HansP

Posts: 542; Member since: Oct 16, 2011

You don't pay attention to their lip service, yet you've been spamming the exact same nonsense, week in and week out, for a decade. When will you admit to yourself that you're a loser, toukale? :)

4. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

@Toukale You didn't even understand the article. The S8 did not drop to $177. The retailers and carriers are taking advantage of a lapse in price monitoring by their Gov't, and they are offering incentives to get more business. Once this lapse is done, the prices will go back to normal. You are an ignorant loser, because not only can you not read; you don't even understand. The G6 was dropped in price because the S8 is getting all the sales. The G6 was overpriced to begin with because it using last years chipset. Why pay LG $650 for the G6, when you can get a Galaxy S7 with the exact same hardware for $480~$550? You are stupid! But at least you're not alone. There are plenty of people here to keep you company.

5. toukale

Posts: 631; Member since: Jun 10, 2015

Someone is butthurt about facts. Samsung PR: Samsung buoyed by ‘huge’ Galaxy S6 preorders Reality: Samsung will cut Galaxy S6 prices to boost demand, improve sales Samsung PR: Galaxy S7 and S7 Edge pre-orders have been stronger than Samsung expected Reality: Galaxy S7 fails to edge past the iPhone Samsung PR: Pre-Orders For Galaxy Note 7 Exceed Expectations Reality: A few weeks later they have 2for1 sales. This certainly help explain why their ASP is about $200 compare to $700 for the iPhone.

8. dazed1

Posts: 799; Member since: Jul 28, 2015

Why do you compare to the iPhone, 1 phone running ios vs billions of android phones? iFanatics are the worst.

9. John-Knotts

Posts: 380; Member since: Feb 28, 2015

Forever Apple's ass boy I see. lol

11. Rampage_Taco

Posts: 1060; Member since: Jan 17, 2017

Did you just ignore what was stated by Techie and the article? The Sales were done by the carriers taking advantage of a lapse in gov't monitoring their sales. It's being done in KOREA where Samsungs only competition is LG, not Apple. So why even bring iPhone into the situation? Also those Note 7 BOGO sales aren't through Samsung, it's done by the carriers. They only did BOGO with a new line because they bring in new customers.

12. maherk

Posts: 6876; Member since: Feb 10, 2012

It seems that you don't even know the definition of facts is, as you just ignored all the facts mentioned in the article and Techie's comment as well.

13. Finalflash

Posts: 4063; Member since: Jul 23, 2013

So what you're saying is that people buying Android phones are the real winners by getting cutting edge phones for less than 200 while iFans are absolute idiots for buying a phone with half as much functionality for 4x the cost?

19. dangchitrung

Posts: 89; Member since: Apr 04, 2012

If you dont have money to buy it, just leave it, man! Simple as that!

21. ColinW

Posts: 412; Member since: Jun 04, 2014

Was it not Apple products including the iPhone and Apple watch being discounted heavily over the festive quarter to make up sale? Even then they had to add an extra weeks sales to make the quarter look good.

23. Nathillien

Posts: 11; Member since: Feb 17, 2017

Cherry-picking much? But if you like to be milked so much, for a sub-par product on a yearly basis - stick with your fruit logo.

7. dazed1

Posts: 799; Member since: Jul 28, 2015

Pure BS.

3. TechieXP1969

Posts: 14967; Member since: Sep 25, 2013

Seems like business as usual. They are taking advantage of a lapse, to bring a heavy discount to bring more sales. I don't see anything wrong with it. It's equal to Corporations using tax loopholes to be able to not pay taxes on off-shore money. More sales for them and Samsung. Am sure Samsung isn't gonna say anything. After all they aren't for or against this practice. In a country where the vast majority of the population can't afford the phone, this is a very nice move to make the phone affordable. And allow buyers to get a Flagship for the price of a cheapo.

6. Mreveryphone

Posts: 1821; Member since: Apr 22, 2014

What's the deal with the immersive bundle?

10. Plasticsh1t

Posts: 3106; Member since: Sep 01, 2014

Samsung and "illegal" are best buddies. No surprise.

14. Cyberchum

Posts: 1066; Member since: Oct 24, 2012

Yeah, same way you and common sense are best foes.

16. RebelwithoutaClue unregistered

And if you would have read the article, you would have known this is not Samsung but smartphone sellers.

15. omnitech

Posts: 1131; Member since: Sep 28, 2016

The carriers have to pay Samsung regardless. So carriers lose money, Samsung doesn't, and the consumer saves money. Seems like a pretty positive outcome.

17. trojan_horse

Posts: 5868; Member since: May 06, 2016

Korean Carriers taking advantage of a lapse, I see.

18. HomerS

Posts: 419; Member since: Sep 19, 2014

@toukale: Read the article, then read it again, understand the article, then think about it, then write a post.

20. btbotimtim

Posts: 272; Member since: Dec 08, 2010

young people utilized those promotions before but old people used to pay full. that is why the govt stepped in and made those promos illegal. all people should get the same price on the same cell phones. that sounds pretty bs but it was the govts excuse.

22. Trex95

Posts: 2381; Member since: Mar 03, 2013

It will drop even more after couple of month from now for many reasons and the most important reason Samsung going to bring back note 7 and call it note 7r people still prefer physical home buttons.

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