Faced with the mixed responses from the various players working for the production and delivery of music contents, SKT (SK Telecom) has to build the strategic position in the on-line music service market. While the leading music publishers consider the sheer size and the financing capacity of the cellular service providers big threat for their position in the value chain, some of the artists and production houses are embarking on the strategic alliances with the cellular service providers. In addition to the controversy over the unique business model of SKT (closed DRM standard and the flat monthly rate), the dominant market power of SKT has called up further resistance from the opposing parties. As of October 2005, the SKT management has to identify the conflict of interest regarding the on-line music service, and design a strategy to deal with the resistance.