The runner-up, a student, reportedly returned from China with a digital version of the South Korean hit series stored on a hidden USB drive.
But after selling copies to several people, including fellow students, he was caught by the country's oversight services.
He will now be executed by firing squad, one of the grim methods by which even the characters in the series are killed.
Radio Free Asia reported that a student who bought a copy of the car was sentenced to life in prison, while six others who attended the show were sentenced to five years of hard labor.
Some teachers are said to have been fired or may be fired for working in remote mines as punishment.
"It all started last week when a high school student secretly bought a USB flash drive containing the South Korean drama Squid Game and saw it with one of his best friends in the classroom," said a source.
The source said the duo discussed the series with friends who became interested and bought copies of it.
The dystopian world of Squid Game, in which people with huge debts face each other in Korean children's games, with lost players being sentenced to death, clearly resonates with North Koreans living under dictatorship./ 21Media