The system is similar to the rental model which was introduced by Apple in September of last year. Samsung will bring the service out in March in South Korea but it is also in talks with  Bright Star, which is a business that specializes in distribution of mobile in the US so it is pretty likely to be tried over the pond too.  We have not heard about it talking to any EU distributor but it is also fairly likely.

Under the deail you replace your old phone with a new phone every year if you make a two year contract and pa a year worth of installments. The company then makes a bit of dosh flogging the used phones.

The first phone to be rented will be the Galaxy S7 that happens to be being released in March. It will also have a higher resale value as a used model. 

Officially Samsung is saying nothing as the Galaxy S7 is not even in the shops yet.

Mobile telecommunication businesses such as SK Telecom, LG Uplus and others are also preparing to release similar services. This is not the first time they have had a crack at programmes likes this there were operations like Zero Club, Free Club and others in the past which operated in a similar way. It should make the introduction of the rental phone service using Apple's model a doddle.

If it takes off it could be a change in distribution model for phones. As mobile markets are saturated and as subsidies for mobiles disappear, rental phones are seen as an alternatives that will create new demand.  Much of the success however depends on the resale value of the older phones.