Timely diffusion of IT products is critical to the success of technology companies. However, many IT products fail to attain the critical mass required for profitability. Although several studies have identified perceived usefulness as the primary factor in IT adoption, statistics indicate that some Korean consumers avoid IT products despite understanding their utility. This study empirically examines the effects of perceived risks and switching barriers on Korean non-adopters’ intention to use smartphones. The results indicate that the intention to use smartphones is generally influenced by perceived usefulness, financial risk, and cost effectiveness. Those who choose to avoid smartphones despite perceiving their usefulness have additional concerns regarding the perceived non-attractiveness of other service providers. This study samples non-adopters and analytically compares individuals with high levels of smartphone utility perception and varying levels of smartphone usage intention, thereby providing insights to organizations for customizing products and marketing approaches to tap into this market niche.