~ Le Viêt Nam, aujourd'hui. ~
The Vietnam News

[Year 1997]
[Year 1998]
[Year 1999]
[Year 2000]
[Year 2001]

Vietnam to open up Internet to private service providers

HANOI - Communist Vietnam is to open up the Internet to privately-owned service providers in the government's first overhaul of its regulatory framework since the Worldwide Web was introduced here in 1997, officials said Monday. By the end of the year, as many as 10 new service providers are expected to take advantage of the new regulations which come into force September 7, industry sources told AFP.

"The big change the decree brings in is that now non-government businesses and organisations can also become Internet service providers," said Chu Thanh Ha, deputy general director of FPT Internet, one of Vietnam's five existing state-owned service providers. "This will put an end to the monopoly of state-run companies and will certainly work for the benefit of users," she said. Competition will only be allowed to go so far though -- the government will retain control over pricing.

The new decree will also tighten control over the relay of Internet services by subcontractors such as Internet cafes which will be obliged to sign agreements with service providers and be liable to tax. Infringements will be punishable by a fine of up to 330 dollars. Vietnam still has just 120,000 Internet subscribers in a population of 79 million and the government is keen to expand the market as part of plans to develop an information technology industry here. Low telephone ownership has been the main barrier to development of the web -- there are still just 3.2 lines per 100 people here and personal computer ownership is lower still.

Vietnam currently has five Internet service providers but all are run by state organizations and the authorities continue to operate firewalls which block access to websites they find objectionable such as those of the emigre opposition as well as pornographic sites. The firewalls are estimated to block out as much as 30 percent of the Internet's total capacity.

State-owned utility Vietnam Post and Telecommunications Corporationis still the biggest service provider with some 60 percent of the market, while Financing and Promoting Technology (FPT) under the science and technology ministry has captured around 30 percent. Saigon Post and Telecommunications Service Corp has around five percent while Netnam, which launched Vietnam's own internal web three years before the November 1997 introduction of the Internet, has just three percent. A fifth service provider, the army-run Vietnam Telecommunication Company (Vitel), was only granted its operating licence last year.

The new decree also makes hacking, virus attacks on computers and use of the Internet to spread pornography specific offences for the first time. They will be punishable by fines of between 700 and 1,300 dollars.

Agence France Presse - August 26, 2001.


Vietnam keeps lock on net access

HANOI - Vietnam's communist government has allowed all businesses, including foreign firms, to supply Internet service but will retain its monopoly in the Internet access provision, an industry official said on Monday. An official from the Directorate General of Posts and Telecommunications (DGPT) said firms of all economic sectors could become Internet Service Providers (ISPs), once they obtained a DGPT license, following a government decree issued last week. The decree would come into effect early next month.

The official told Reuters that DGPT, which is responsible for Internet management in Vietnam, was working out licensing procedures including conditions to license ISPs. The official said foreign-invested firms wishing to provide Internet service should follow certain steps specified by the decree and the law on foreign investment. They also needed to get approval from the Planning and Investment Ministry. However, the decree retains state control in Internet access, allowing only state-run companies or businesses in which the state holds a majority of shares to be Internet Access Providers (IAP), or Internet Exchange Service Providers (IXP).

"Only state-owned firms are allowed to be IAPs, and that (decision) has taken into account the Internet development in Vietnam," the DGPT official said. Vietnam hooked up to the Internet in 1997, but so far only about 200,000 people have subscribed because of the high fees and slow connections. The official said it would be illegal for subscribers to resell their Internet access. This would include owners of coffee shops where customers -- a majority of them foreign tourists -- could receive and send e-mails and surf the Internet, he said. These shops would have to register with the authority to provide such businesses, he added.

The state-run Saigon Times Daily newspaper said on Monday that 10 firms would be licensed by the end of this year to become ISPs. Vietnam has five ISPs, four of them state-run firms and one a semi-state firm. All have to lease gateways from the sole IAP, the state-owned Vietnam Data Communications Co. Last month the state-run Vietnam Investment Review newspaper said a second IAP could be licensed in the next few months.

Vietnam's strictly controlled official media has said anti-state forces were using the Internet to slander the country, to exaggerate conflicts and to fan religious tensions. The decree listed ranges of violations and fines. The spread of pornographic images, use or dissemination of passwords, and private data of individuals and organizations would incur fines of up to 20 million dong ($1,336), the Saigon Times Daily said. Creation and spread of viruses could incur fines of up to 50 million dong ($3,340), it said.

Reuters - August 27, 2001.