As of Summer 2007, the SK Telecom management attempts to introduce the ‘Network Discount Program’ to meet the rising public pressure against the current service rates. According to this program, SK Telecom charges a discounted rate to the voice calls between the SK Telecom subscribers. With the unprecedentedly wide diffusion of mobile communication services (often coupled with the various data communication services), the rising share of telecommunication expense has led to the criticism against the market behaviors of the mobile communication service providers and the regulatory stance of the government authorities. Regardless of the validity of the critical arguments raised by the civil organizations and the media, the discussion evolved into the public pressure through the political process. Through the ‘Network Discount Program’, the SK Telecom management intends to meet the public pressure while taking advantage of the strong competitive position. However, with the smaller subscriber bases, KTF and LG Telecom (competing with SK Telecom in the mobile telecommunication service market) are raising concerns about the market imbalance caused by this program. This case explores the competitive strategies (especially pricing strategies) of the market leader when there is a asymmetric regulatory treatment by the government. Through the class discussions about the network externality effect and the market-making efforts by the government, the readers are expected to understand the delicate strategic interaction between the market leader and the regulatory authorities under the public pressure.