Vietnam's telecommunications market is in stature of saturation
Vietnam’s telecommunications market has reached a saturation point and will find it hard to attract new subscribers.
This could result in increasingly fierce competition among telecom providers for their revenue and market share.
Nguyen Thanh Hung, Deputy Minister of Information and Communications (MIC) told an international conference on tariffs and competition management held in Hanoi recently that competition has been mostly seen in terms of prices and promotional programmes. In addition, local telecom providers increasingly face competition from social networks.
“The country’s telecoms market has developed broadly and rapidly over the last decade. The market now has 70 operating telecoms companies. Of which, 37 firms were granted licences to establish network infrastructure while the remainder provide telecommunications services,” Hung said.
By the end of June 2017, subscriber density reached 124 subscribers per 100 people, that of mobile broadband was 50 subscribers per 100 people and fixed broadband was 11 subscribers per 100 households.
Over the past 10 years, telecom services have improved. The revenue of local telecom businesses has seen stable growth thanks to an increasing number of new subscribers despite continuously decreasing tariffs. The total revenue in the country’s telecom sector in 2016 rose 7.5 percent over the previous year.
He said the ministry has always supported firms in their production, trade and the creation of applications and advanced technologies for the sector’s development and the economy as a whole.
Ashish Narayan, the International Telecommunication Union (ITU) in Asia – Pacific region’s representative said the competition among telecoms companies has no longer issues over tariffs but others such as transmission lines and creativity of services to attract customers. He added that experiences from Europe and the Republic of Korea have been applied for better competition.
The State management agencies should adjust regulations and management mechanisms to facilitate the development of telecoms businesses and the market. Cory Brader Leuchten from the US Department of Justice said in terms of competition, the anti-monopoly factor should be given top priority to create healthy development for the market and ensure benefits to customers.
18:41, 2024/12/05
Hanoi honors outstanding faces in innovation, digital transformation
The Final Round of the Capital's Innovation and Digital Transformation Products Competition 2024 aims to honor exemplary figures in innovation and digital transformation.
16:32, 2024/11/16
Land deed digitization accelerated in Hanoi
Hanoi's digital environment has been driven by a synchronized information technology infrastructure for management in the making.
18:33, 2024/10/30
Vietnam's capital boosts iHanoi usage by citizens
Hanoi will further improve the iHanoi app by adding more features to make it more user-friendly for citizens and businesses.
22:28, 2024/10/22
Technology, innovation identified as key drivers for Hanoi's growth
Hanoi is a hub for scientific and technological cooperation among many provinces and cities in Vietnam, as well as research institutions around the world.
19:10, 2024/10/17
Hanoi intensifies efforts to achieve its digital goals by 2025
In Hanoi, digital transformation is always a top priority to support management and resolution procedures for people and businesses.
22:44, 2024/09/18
Second Hanoi Technical Innovation Contest launched
The competition aims to promote the creative work in science and technology.