VietNamNet Bridge – Vietnam’s largest mobile networks are trying to become the pioneer in third generation (3G) services.

Ministry announced four winners of 3G licenses

3G technology seen usher in new telecom era

EVN, Ha Noi telecoms join forces on 3G

Early this year, the Ministry of Information and Communications granted four 3G-network development licences to five mobile operators (one was awarded to joint bidders).

Three of the licences went to Viettel, VinaPhone and MobiFone, the largest operators in Vietnam which together commanded approximately 85 per cent of the mobile-phone market as of late 2008. The last licence was given to EVN Telecom and Hanoi Telecom, which jointly applied for 3G spectrum.

It is expected that 3G technology will be introduced in Vietnam this year. With 3G technology, mobile providers in the country will be able to provide more value-added services for their mobile users such as videophone, on-line video streaming and high-speed Internet and music download.

The five operators are in a fierce race to become the providers of the first 3G services.

MobiFone recently introduced a location searching service by text message, which has been called a “pre-3G” service.

SMS Locator provides the addresses of ATMs, banks, hospitals, cafes, restaurants, hotels, box offices, supermarkets and filling stations. To search for the nearest ATM, bank, restaurant, etc, mobile users can send a text message to 9249, at the charge of 2000 dong/message. For example, to find the nearest ATM, the user can type ATM and send to 9249. The service is available in Hanoi, HCM City, Hai Phong, Quang Ninh, Da Nang and Can Tho.

MobiFone also launched FastMail service, which enables subscribers to check email everywhere.

Meanwhile, VinaPhone has released its 3G development plan. This operator said that its 3G network will initially cover big cities and provinces and then all 63 provinces and cities in Vietnam by the end of 2009.

Viettel and EVN-Telecom – Hanoi Telecom stated that they will supply the first 3G services in late 2009 or early 2010. Viettel announced it would invest up to US$800 million in the 3G network in the first three years while EVN Telecom and Hanoi Telecom will invest 6 trillion dong (over $333 million).

Viettel on July 20 announced that Nokia Siemens Networks won the bid to supply Flexi station for Viettel’s 3G network development project.

The two sides refused to disclose the contract's value but said that Nokia Siemens Networks will begin providing equipment for Viettel as of August 2009 and finalise the contract in January 2010.

“Nokia Siemens Networks, with leading solutions, on-the-spot support and global experience in implementing 3G network will be our partner to ensure the success of our future services,” said Viettel’s vice head Nguyen Manh Hung.

Research works prove that turnover and profit of value-added services on mobile phones is increasing very fast. While the gap of mobile charges among mobile operators in Vietnam is being narrowed, mobile operators can show their advantages through utility services. Hand phone manufacturers like Nokia, Samsung, Sony Ericsson and LG are also ready to support 3G network by launching new modern models of mobile phones.

The Ministry of Information and Communications reported that the country has nearly 80 million mobile subscribers, of which Viettel accounts for 26 million, Mobifone 26 million and Vinaphone 20 million. The industry has seen 30% annual growth in recent years.

VietNamNet/ICTNews