So this is the same story that we in South Korea have been hearing for the past 2 years. There have been many many "release dates" and "release plan announcements" etc, and yet Koreans don't seem jaded yet. I sometimes wonder if the mobile service providers do it on purpose to get a laugh out of it.
Korea's got a full blown 3g (WCDMA) network. This means that if you have a 3G capable phone, you can just pop in a USIM card and go. Contrary to belief, USIM cards are pretty much identical to SIM cards. So it's technically possible for any 3g phone, including the iPhone, to work here on their networks.
I know this because I brought my iPhone 3gs here, and it logged right onto the SK Telecom network and let me roam off AT&T (at a low low price of $2.29 US/min) /sarcasm.
The problem is, Korean telecoms are terrified of foreign competition. The myth that Korean phones are years ahead of western phones is crap. They release a new phone here every month, each one supported by the celebrity of the day, but it's essentially the same phone. Buying a phone that does something as simple as playing MP3s is a pain in the ass, as you are required to convert each song (one by one, the software doesnt allow for mass conversion) to a "MelOn phone compatible format" before you are allowed to listen to it. I've yet to see a Korean phone that renders a webpage like the iPhone does. I've yet to see a Korean phone with a touch screen even remotely comparable to the iPhone, G1, etc.
If Koreans were allowed access to iPhones, blackberries, Nokias.... Samsung, LG, SKY, would lose wayyy to much business.
So the solution? Cheat, rather than innovate and beat the competition. South Korea has created an IMEI whitelist. Any phone that wasn't sold in Korea (ie. any phone that isn't Samsung, LG, SKY, etc) isn't allowed to get service in Korea. That way you can peddle the same POS phone to the masses, and claim it's the best that's out there.
When I put my SK Telecom USIM card into my unlocked iPhone, it gets connected to the SK Telecom network, gets a full 5 bars and everything, for about 10 seconds (which I assume the network is checking my IMEI). Then it kicks me off and says "no service". The same thing happens for other phones I've tried as well.
So the only thing barring Apple, or any foreign mobile phone companies from selling in Korea, are the mobile carriers here. Take a walk down any street in this land of "advanced technology", and you'll notice that there are cell phone shops every 10 meters. Literally. And in each one, is a sneaky salesman trying to rip you off for all the money they can get. It's even worse if you are a foreigner. Google for cases of these things happening if you dont believe me.
The crazy thing is, technologically aware Koreans are actually desperate for "foreign" cell phones, ones from the US, Europe, etc. A few days ago there was an "official announcement" that SK Telecom was going to allow foreign IMEIs on their network, and all you had to do was stop by and register your device. People on the internet got all excited for the umpteeth time, until they found out that it was a rumor. Funny huh? I wouldn't be surprised if higher ups at SK Telecom were actually planting rumors just for laughs. Hell, I'd laugh.
Anyway, that's the case with iPhones in Korea. Two years of naive Koreans jumping on every rumored announcement of the iPhone in Korea, and two years of equally hurtful disappointment.
And you all thought AT&T was bad.
