Vietnam Net — The Corporation was created on the basis of unifying subsidiaries of the Vietnam Post and Telecommunications Group (VNPT), including VinaPhone, the Vietnam Data Communication Company (VDC), the Vietnam Telecoms National Company (VTN), and VNPT International, to focus business on telecommunications services and information technology under Decision No. 888/QD-TTg from the Prime Minister on the restructuring of VNPT.
This was announced in Circular No. 15 issued by the Ministry of Information and Communications on June 15. Earlier, in Circular No. 18 that was issued in 2012, the ministry listed three telecom companies dominating the Vietnamese market, namely Viettel, Viet Nam Posts and Telecommunications Group (VNPT)’s MobiFone, and VinaPhone. According to the country’s Competition Law, an enterprise is considered to have SMP if its market share is higher than 30 per cent, or has the ability to restrict competition in the relevant market. At the moment, Viettel enjoys more than 50 per cent market share.
Vietnam has five mobile network operators including Viettel, VinaPhone, MobiFone, Vietnamobile and GMobile. The three former ones hold over 90 percent of the market share. After MobiFone’s separation from VNPT, the race in the mobile market is no longer between Viettel and VNPT. It is among Viettel, MobiFone and VinaPhone–a subsidiary of VNPT.
VietTalk is the third OTT (over-the-top) service provided by a Vietnamese enterprise after Zalo of VNG and Btalk of Bkav. It works like other OTT services in terms of calling, texting, voice and multimedia messages and group chat. Like other OTT apps, VietTalk can be installed in all smartphones connecting to mobile phone networks in the country. VietTalk users will have to pay for the service while users of other OTT apps do not pay for the app service but are still subject to 3G or GPRS charges.
Under the partnership, the Vietnamese mobile service provider hopes to benefit from Vodafone’s technology as well as its established systems to improve service quality and competitiveness. Customers will have the opportunity to enjoy useful services that have been deployed worldwide by the UK firm. “Vodafone’s seasoned customer care policy will be very helpful to enhance effectiveness of Vinaphone’s customer care service and help us meet customers’ increasing demands. The cooperation will also make the Vinaphone brand more popular around the world,” said the State-owned firm’s spokesman Doan Xuan Hop.