“Mobile communication is a robustly growing industry and tremendously benefits socioeconomic development. The Ministry of Information and Communications attaches great importance to developing next-generation broadband mobile communication to have a modern telecommunications infrastructure to serve as the foundation for digital economic development, contributing to change the growth structure, and improve national competitiveness.”
This was affirmed by Deputy Minister of Information and Communications Phan Tam at the 4G LTE International Conference 2016, themed: “Leveraging 4G Potentials in the Age of Internet of Things” in Hanoi. The event was held by the Vietnam Internet Association in collaboration with IDG Vietnam Group.
Deputy Minister Phan Tam said that 4G networks and mobile services open up great opportunities for Vietnam. Specifically, enterprises, especially small and medium ones, will have opportunities to develop their business in the digital environment anytime, anywhere with a minimal cost, facilitate the seamless connectivity of production values of goods and services, domestic and international distribution, and e-government development.
According to a report by the Global mobile Suppliers Association (GSA), 4G LTE subscribers reached 1.29 billion at the end of the first quarter of 2016 and an average of 2 million subscribers a day were activated by mobile networks. Currently, the world has 503 4G LTE commercial networks in 167 countries as of May 2016 (according to GSA).
Deputy Minister Phan Tam said VinaPhone was the first carrier in Vietnam to launch 3G services in 2009. To date, major mobile networks have expanded 3G services coverage nationwide. The Ministry of Information and Communications also allowed telecom firms in Vietnam to pilot next generation 4G LTE mobile networks.
In early 2016, the national broadband development programme to 2020 was approved by the Prime Minister and issued with the key task of building broadband infrastructure to expand the 3G/4G coverage to 95 per cent of population in 2020. In response to the government’s preparations, carriers are quickly building development strategies to 2020 with the focus on 4G LTE.
He added that three major telecom firms, namely Vietnam Posts and Telecommunications Group (VNPT), Vietnam Military Telecommunications Group (Viettel) and MobiFone Corporation, are assessing pilot results and completing procedures for the official launch of 4G commercial mobile communication systems based on LTE/LTE-Adv technology at 1800MHz band. 4G LTE is expected to be officially licensed by the end of 2016 after pilot result assessments are completed by network operators.
Mr Tran Tuan Anh, Director of the Policy and Strategy Department under the Ministry of Information and Communications, stressed that after deploying 4G services, telecom firms must stimulate users and supply service contents in cooperation with social partners. Investments for 4G networks must meet broadband needs of the society, while ensuring investment efficiency and service quality. 2016 is the right time to bring the new 4G technology to the universal market.
Remarking on opportunities from 4G LTE, Mr Mantosh Malhotra, Regional Head of Southeast Asia, Qualcomm Technologies Inc., said, 4G broadband mobile networks and services open tremendous opportunities, helping enhance national competitiveness, and serve the community like environmental surveillance and protection, smart-home construction, smart-city construction and health care.
He noted that, like any other new technology, apart from new opportunities, 4G will also come with many challenges that Vietnam needs to face, such as coverage, security, network capacity, service quality assurance and equipment pricing. To overcome these challenges, there is a dire need for consistent coordination of administration policies and strong commitments from network operators.
Mr Le Nam Thang, Former Deputy Minister of Information and Communications
Currently, Vietnam’s telecom market demands are on the rise while 3G networks and speeds have reached limits and will likely fail to meet demands in major cities. Therefore, users need a new mobile network standard with higher speeds to meet user requirements.
The launch of 4G LTE networks will help speed up broadband infrastructure development as, according to a report by the World Bank (WB), when a country has 10 per cent of people using broadband, its GDP will be added 1 per cent. We need to accelerate broadband infrastructure development, especially 4G networks in the coming time.
However, the late or early launch of 4G LTE networks depends on State policies and providers’ readiness. But, 2016 is a good time to deploy 4G networks.
Mr Vu Hoang Lien, Chairman of the Vietnam Internet Association
4G will open up great opportunities for Vietnamese companies to meet domestic consumer needs and raise Vietnam’s roles in the world market.
But, network operators and authorities should pay attention not only to network infrastructure, but also to how 4G is brought to life and serves consumers.
Mr Eugene Lee, Business Development Manager - Swissqual (Rohde & Schwarz)
At present, the biggest challenges to the 4G network deployment are the slowing growth of new subscribers, due to the high rate of subscribers to population, and the how the emergence of new applications such as OTT will affect average revenue per user (ARPU).
Besides, with the boom of 4G subscribers in the world and the presence of bandwidth-demanding applications such as video streaming, online games and data downloads using VoLTE, ViLTE and eMBMS technologies, network quality and service quality must be top priority.
Mr Thieu Phuong Nam, General Director of Qualcomm Vietnam, Cambodia and Laos
Qualcomm has engaged in technical solution support and 4G roadmap planning for the commercial launch of three major carriers, VinaPhone, Mobifone and Viettel, in late 2015. Initial results showed good speed and customer satisfaction. Currently, carriers are ready with both infrastructure and device ecosystems.
This is the right time to deploy 4G in Vietnam but the deployment roadmap may take 3-5 years. The first phase should be deployed in major cities before reaching nationwide.
As for made-in-Vietnam product support strategy, Qualcomm is looking for Vietnamese manufacturers to support phone designing and manufacturing. Qualcomm has partnered with universities to bring mobile product designing contents to training programmes and thus help raise the overall capacity of mobile device designing in Vietnam.
Ha Vu
Vietnamese
