Maintaining Growth Rate of Internet in Vietnam

Maintaining Growth Rate of Internet in Vietnam

We are witnessing fast development of Internet in Vietnam. After each ten months, the number of Internet users increases by 1.5 times over the previous period, the international connection capacity increases by 2.2 times with 5 websites entering the list of 10,000 global websites. The rate of Internet users over the Vietnamese population has nearly reached the average rate for Asia.

Within 12 months (from June of 2003 to May of 2004), the number of Internet users went up by 2.5 times, from 1.9 million to 4.7 million. This was the period with the record growth rate. The number of Internet subscribers has been also increased at the respective rate (2.5 times) from 466,000 to 1.2 million. By May of 2005, the number of Internet users continued to increase by over 1.5 times to 7.2 million and the number of subscribers increased by 2.1 times to 2.6 million. Therefore, compared to 2000, currently, the number of Internet users and subscribers has increased by 14 and more than 32 times, respectively.

Presently, the whole country has 6 IXP, 16 ISP and 13 OSP. Of which, Vietnam Post and Telecommunication makes up 48.3 per cent of the market share, the Technology Development Investment Company - FPT accounts for 29.2 per cent, the Military Telecommunication Joint Stock Company - Viettel:  10.56 per cent. The other suppliers making up a insignificant market share include Netnam: 5 per cent, Sai Gon Post and Telecommunication - SPT: 5.3 per cent, One-Connection Internet (OCI):  0.13 per cent, Hanoi Telecom: 0.14 per cent and Electric and Electronic Trade and Production Company of the 10^th District, Ho Chi Minh City - Tienet: 0.33 per cent. In comparison to the same period of 2004, the market division has some small changes. Of which, Viettel has exceeded SPT. The international connection capacity has been significantly increased.  By the end of the first quarter of 2005, the total international connection capacity of Vietnam was 2.301 Mbps, including VNPT: 78 per cent, FPT: 13 per cent and Viettel: 9 per cent. Expectedly, by the year end, each month, Vietnam Post and Telecommunication will have an increase of 155 Mbps.

In addition to the increase in Internet users, more and more websites in Vietnamese were set up becoming useful information provision tools. Apart from websites belonging to enterprises, many newly-established electronic newspapers supplying quick and timely information have attracted the access of large number of Vietnamese users at home and abroad. This table displays the ranking on the 28^th of June 2004.

Currently, the important telecommunication indicators in Vietnam are still lower than the average world indicators. Compared to the average indicators of Africa, Vietnam has higher indicators on the number of fixed telephones and Internet users, but lower indicators on mobile phones and number of used computers. “It is not easy to reach the average figures of the world. However, if Vietnam maintains its recent Internet growth rate, it can achieve the objective of averaging Asian Internet users after 1-2 years”, Mr. Hoang Cat Hai, Deputy Director of the Vietnam Data Transmission Centre No2 - VDC2 affirmed.

For the network of VNN, in addition to increasing private subscribers, the Vietnam Post and Telecommunication is trying to develop the network of public Internet services. This is a channel that has a great capacity for satisfying the demands on information and recreation of many people as well as facilitating those who have no computers to gain access to Internet services. In the last five years, VNN has developed more than 2,200 agents registered to provide public Internet services with about 1,500 operating agents. After launching VNN’s new Mege service with high-speed ADSL (in July 2003), the development rate of Internet agents was very fast. In particular the number of users going to Internet agents increased significantly. Many Internet agents are always full of clients. Up to now, there are 1,100 agents using the ADSL transmission line.

It is not simply enough to develop a network of Internet agents operating with high business efficiency, practical social effect for contributing to supplying useful information and enhancing the knowledge level as well as satisfy sound recreational demands, especially, in a complicated and excited environment like Ho Chi Minh City. Mr. Hoang Minh, Director of the Netsoft, an Internet Services trading unit of Ho Chi Minh City Post Office said that, there are many management solutions supporting Internet agents from timely provision of State policies and regulations on Internet activities to strengthened management and controlling activities over the operation of Internet agents. In 2005, the authorities carry out at least two checks over each agent. There are regular training courses for introducing the techniques and services for Internet agents. At the same time, the technique support channels for clients in general and for Internet agents in particular through website, emails, direct forums and telephone consultancy have been opened.

In a recent VNN customer’s conference, Mr. Ha Huy Hao - Director of Juniper Company complained that more than 40 per cent of the transmission lines have been used for negative purposes. He has suggested the security solution and equipment of NS - 6GT for controlling and stopping negative websites or viruses right at the service suppliers. The Internet agents will update this programme hourly to destroy viruses and detect people accessing bad websites. The solution of recording identity cards and storing information for 30 days according to the Decision No71/2004 of the Ministry of Police has appeared impractical and cannot stop the behaviour of violators.                

• Song Phuong