The Korea Communications Commission will slash mobile phone costs for low-income households.

Welfare recipients will receive a basic subscription fee waiver and a 50 percent discount on call charges. They currently get a 35 percent discount on basic fee and call charges.

Those in the lowest-income bracket will receive a 35 percent discount.

Procedures for claiming such benefits will also be simplified.

The commission expects three-point-seven million people to enjoy the new discounts, a sharp rise from the current 73-thousand. The discounted amount will likely grow from an annual five-point-nine billion won to 500 billion won, or about 486 million U.S. dollars.