South Korean Telecom SK Broadband and Netflix Form Partnership

South Korean telecom SK Broadband and Netflix have reached a resolution in their dispute over the payment of network usage fees. SK Broadband had filed a legal action against Netflix, claiming that the streaming service should cover the costs incurred by the high volume of video content transmitted over its network. The telco argued that Netflix owed $24 million in network usage fees for 2020. However, Netflix contended that it should not be responsible for additional fees, citing the effectiveness of its content delivery network in reducing network traffic.

Despite their previous disagreement, SK Broadband and Netflix have put aside their differences and formed a partnership. In an official statement, SK Broadband’s parent company, SK Telecom, announced that both parties had decided to collaborate as partners going forward. The partnership will focus on jointly releasing products and exploring the use of artificial intelligence (AI). They aim to simplify access and payment options for customers through Netflix, SK Broadband’s IPTV, and SK Telecom’s T Universe, offering bundled packages.

Although Netflix has recently shown interest in using AI to create digital versions of human extras, this collaboration with SK Broadband will initially focus on more accessible technology. SK Telecom’s conversational user experience and personalization tech will be targeted in the partnership. SK Telecom has expressed its commitment to becoming an AI company and working with various players both domestically and internationally.

The resolution of the dispute and the formation of this partnership will benefit both SK Broadband and Netflix, allowing them to prioritize their customers and explore new opportunities together.