Why North Korea’s Haeyang 701 Smartphone Combines Payment Features with Internet Restrictions

The Haeyang 701 smartphone taken out of North Korea was introduced as having payment, money transfer, and taxi-hailing features.

However, the device could not connect to the external internet, and restrictions were also found on the words entered and records of screen use.

It is a case showing that it is difficult to determine the scope of information available to users based only on the number of smartphone features.

3-Line Summary
1. The Haeyang 701 has payment and money transfer features
2. It connects only to an internal network instead of the external internet
3. Convenient features alone cannot establish that its use is free

A 2023 Model with Payment and Taxi-Hailing Features

The US Wall Street Journal (WSJ) released a video analyzing the North Korean smartphone Haeyang 701 on August 28, 2026, local time. According to several South Korean reports, the Haeyang 701 is a mid-range device produced in 2023, and it can be used for voice calls, text messages, and various applications.

It was equipped with QR-code payment and money transfer features, and taxis could also be hailed through a financial application. The transfer screen distinguished between domestic currency and foreign currency. Applications for games and document writing were also identified.

At first glance, it resembles a smartphone that brings together everyday services. However, the key characteristic of this device lies less in what it can do than in what connections and records it permits.

External Internet Does Not Connect Even Though There Is a Wi-Fi Button

According to reports by Hankyoreh and Segye Ilbo, the Haeyang 701 has a Wi-Fi function, but even when it was turned on, it did not connect to external wireless internet. Its use was limited to an internal intranet operated by the North Korean authorities.

An automatic conversion function was also identified during text input. When “Republic of Korea” was entered, it changed to “(banned word),” and the name of Kim Jong Un, chairman of the State Affairs Commission of North Korea, was automatically displayed in bold. The South Korean expression “namchin” was converted to “boyfriend.”

These functions mean that the device operates within its own rules from the moment a user selects a word. Blocking internet access limits the channel for external information, while automatic word conversion changes the expression itself within the device.

The Screen Is Saved, but the Saving Time Was Not Disclosed

The Haeyang 701 was also found to have a function that automatically captures the screen in use and saves it in a folder called “Screen History.” Reports on the analysis stated that the device was designed to make it difficult for users to turn off this function or delete the saved files.

However, it was not confirmed exactly when the screen was saved or how the saved files were used. This point should not be stated definitively. The confirmed facts are the screen-recording function and the deletion restriction; even those facts alone show how difficult it is for users to manage their own usage traces.

What is noteworthy in the case of the Haeyang 701 is that convenience features and control features do not exist only at opposite ends. Even when there are features that assist daily life, such as payment, money transfer, and taxi hailing, the smartphone experience differs from that of a typical internet-connected device if the scope of the information network it connects to and the records it leaves behind are restricted.

References

Tags #Smartphone #NorthKoreanSmartphone #Haeyang701 #NorthKorea #InternetRestrictions #Intranet #QRPayment #SmartphoneCensorship #ScreenHistory #WordCensorship #KimJongUn #NorthKoreanInformationControl