Vietnam to liberalize telecommunications monopoly
HANOI - Vietnam's government has approved a plan for
telecommunications development that will allow new companies to compete
with the current state monopoly, state-controlled media reported Saturday.
The 10-year strategy, approved by the government on Thursday, envisions
the new companies taking a market share of 25 percent to 30 percent by
2005 from Vietnam Post and Telecommunications Corp., the Thanh Nien
(Young People) newspaper said. Their share is to rise to 40 percent to 50
percent by 2010, it said.
The government also will allow companies to invest $4 billion to $6 billion in
the sector over the next 10 years, it said.
Under the strategy, Vietnam also plans to reduce telecommunications charges
to the average level in the region, it said. Currently, Vietnam has some of the
world's highest telecommunications charges despite eight reductions over the
past few years.
The country, with a population of 79 million, has 4 million telephones,
including more than 1 million mobile phones.
In August, the government approved a major mobile phone deal with a South
Korean consortium using U.S.-developed CDMA technology.
The project, linking semi-governmental Saigon Postel Co. and South Korea's
SLD Telecom consortium, involves an investment of $230 million and is
expected to be launched by the middle of next year.
Currently there are two state-owned mobile phone operators in Vietnam,
both using the European-developed GSM standard.
The associated Press - October 20, 2001.
|