Vietnam's telecom to launch low-cost cell phone service
HANOI - The Vietnam Posts and Telecommunications Corporation (VNPT) is set to launch a low-cost mobile phone service this month as part of its strategy to increase its share in the mobile phone market to 80 percent. The new project will mainly target individuals with low incomes, youths, students and government officials who rarely leave their localities.
Under the project, the state-owned telecommunications company will cooperate with the California-based UTStarcom Inc to apply the local mobile phone service (IPAS) initially in Hanoi and Ho Chi Minh city. The monthly subscription fee for the service, which allows users to make local calls only, is just VND45,000 and the connection charge is VND500 per minute. The UTStarcom will supply mobile phones priced at US$100 and $140 each for the service. The new service is expected to provide low income earners with easier access to mobile phone services and, therefore, will increase the overall number of VNPT mobile phone users in the market. In the first 10 months of this year, the VNPT installed 936,050 new telephone connections bringing in a total of 5.1 million new users for the company.
Of the new telephone connections, which represent 80 percent of the corporation's yearly target, 44.8 percent service mobile phones. Meanwhile, the number of Internet subscribers have also increased substantially, with the company installing an additional 110,712 new connections. Another telecommunications project is being prepared for launching by several Vietnamese and American companies who plan to offer the telephone service using Voice over Internet Protocol (VoIP) technology. The service, which allows long-distance calls between the US and Vietnam, will be developed under a business cooperation contract between the American Universal Telecom Services Inc, Vietnam Maritime Informatics and Electronics of Hai Phong city and the Binh Minh Trading Company of Hai Duong province.
Under the contract, the US company will supply equipment and finance, worth $2.25 million, as well as technical training assistance. Meanwhile, Vietnam Maritime Informatics and Electronics will be responsible for delivering the service while Binh Minh will contribute US$250,000 worth of equipment. The VoIP project has received a six-year license from the MPI and expects to contribute to expanding the country's international VoIP market.
IRNA (.ir) - December 11, 2002
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