Major mobile networks do not have 5G spectrum yet
Vietnam currently has 10 mobile telecommunications networks, of which 5 enterprises own infrastructure and frequency bands, and 5 units operate under the mobile virtual network model (MVNO) - a form of wholesale purchase of traffic from infrastructure units and retail to users. However, only three major networks are dominating the market share: Viettel, VinaPhone and MobiFone.
MobiFone is just waiting to own the 5G band to commercialize the service.
The event of Viettel and VinaPhone successfully auctioning the right to use the B1 (2,500 - 2,600 MHz) frequency block for VND 7,533 billion and C2 (3,700 - 3,800 MHz) for VND 2,581 billion last March made MobiFone the only major network operator in this group that has not yet owned the frequency band to serve commercial 5G broadcasting. In March 2024, there were 3 5G frequency band auctions, but one on the 14th was not held due to insufficient number of participants as prescribed.
By the afternoon of April 15, the Ministry of Information and Communications had granted licenses to establish a public terrestrial mobile telecommunications network using 5G technology to two network operators, Viettel and VinaPhone. Previously, both units affirmed that they were ready and would deploy 5G commercially to users in 2024.
VNPT representative said that it will prioritize the development of 5G network infrastructure towards improving user experience, providing high speed, large capacity, lowest latency while still optimizing the cost of State investment capital, increasing business efficiency. In the immediate future, the unit will focus on deploying 5G in areas requiring high interaction, real-time network communication, areas such as high-tech zones, urban areas, universities, etc.
Excluding virtual mobile networks, the remaining two carriers, Vietnamobile and Gtel Mobile, although having infrastructure, have not made any moves towards 5G at this time. Gtel Mobile has long been absent from the market, while Vietnamobile - the fourth largest mobile telecommunications company in the market, said that although it is eligible to auction 5G spectrum, it has decided not to participate. This carrier is currently deploying 4G services in Vietnam.
4G is still the most used mobile network technology in the next few years.
4G network is still popular
Although 5G has been talked about a lot recently, this technology is not likely to be popularized to end users anytime soon. Instead, 4G will be the dominant technology in the next few years.
At the recent Q1/2024 briefing of the Ministry of Information and Communications, Minister Nguyen Manh Hung stated that 2024 will be the year of 5G commercialization nationwide, but at the same time requested network operators to continue investing in 4G because this is still an important infrastructure for "at least the next 5 years".
The latest statistics (as of the end of 2023) from the Ministry of Information and Communications show that Vietnam currently has 4G coverage of up to 99.8% of the population, a rate much higher than that of many developed countries. The Information and Communications Infrastructure Planning for the 2021-2030 period, with a vision to 2050, sets a goal of 5G coverage to 99% of the country's population by 2030 and reaching a minimum speed of 100 Mbps.
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