According to the Ministry of Information and Communications, based on Decree No. 63/2023/ND-CP of the Government detailing a number of articles of the Law on Radio Frequencies, the Minister of Information and Communications has issued a plan to organize auctions of radio frequency usage rights for the 2,500 - 2,600 MHz band and the 3,700 - 3,900 MHz band.
5G network will contribute positively to digital transformation in Vietnam
In this auction, the Ministry of Information and Communications auctioned 3 frequency blocks with a width of 100 MHz for 5G, each enterprise can win a maximum of 1 block.
The starting price of the 2,500 - 2,600 MHz band is nearly VND4,000 billion. The starting price of the 3,700 - 3,800 MHz band and the 3,800 - 3,900 MHz band is nearly VND2,000 billion.
The winning bidder will be granted a license to use the frequency band for a period of 15 years. The winning bidder for the 2,500 - 2,600 MHz frequency band can use it to deploy additional 4G.
The auction order is 2,500 - 2,600 MHz band block first, then 3,800 MHz - 3,900 MHz band block and finally 3,700 MHz - 3,800 MHz band block.
The Ministry of Information and Communications publicly announces the plan to organize the auction of radio frequency usage rights for the 2,500 - 2,600 MHz band and the 3,700 - 3,900 MHz band so that relevant units and businesses can know and implement it.
Within 30 days from the date the Ministry of Information and Communications publicly announces the auction plan, organizations wishing to participate in the auction of radio frequency usage rights for the 2,500 - 2,600 MHz band and the 3,700 - 3,900 MHz band must submit a request for confirmation of meeting the conditions for participating in the auction to the Department of Telecommunications (Ministry of Information and Communications) via the online public service system or by post or in person.
Applications not submitted within the above deadline will not be accepted and processed.
According to the Radio Frequency Department (Ministry of Information and Communications), the goal of this auction is for Vietnam to soon have 5G frequency band to allow businesses to provide mobile broadband services to people, helping to develop Vietnam's digital infrastructure.
Licensing by auction ensures the competitiveness of the auction, while ensuring the creation of a harmonious, competitive and sustainable mobile telecommunications market.
The Ministry of Information and Communications hopes the auction will be successful and end by the end of February or early March.
Up to now, Vietnam has tested 5G in 55 provinces and cities. Vietnam wants to promote companies to research and produce 5G connection terminals; at the same time, it will pilot 5G in high-tech zones, universities, research institutes...
Experts predict that by 2025, 5G is likely to contribute to Vietnam's GDP growth of 7.3 - 7.4% because this technology can improve labor productivity and business performance.
Previously, at the regular November press conference of the Ministry of Information and Communications, Director of the Radio Frequency Department Le Van Tuan said that not only the 2,600 - 2,700 MHz and 3,700 MHz bands will be auctioned and licensed to businesses for 5G, but other bands will also continue to be researched, planned and granted to businesses.
It is forecasted that by 2030, mobile businesses in Vietnam will need a total of 1,700 - 2,200MHz in the 1 - 7 GHz frequency band to deploy services.
In November 2023, the State Capital Management Committee at Enterprises sent an official dispatch to the Ministry of Information and Communications on the plan to organize a spectrum auction. According to the State Capital Management Committee at Enterprises, international experience shows that countries often auction and license many 5G spectrum blocks to many network operators to deploy 5G together, creating equal competition opportunities for businesses, bringing benefits to people and promoting businesses to develop together.
Therefore, the State Capital Management Committee proposed that the Ministry of Information and Communications soon organize simultaneous auctions of many frequency bands for 5G (3-4 frequency bands), creating conditions for businesses to compete equally to participate in building 5G networks to serve the national digital transformation, providing advanced technology services to people and businesses.
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