According to statistics, there has been a great gap in market share between big and small carriers. Viettel, Vinaphone and MobiFone account for 95% and the rest share the remaining 5%. Notably, 3 leading carriers are wholly state-owned enterprises. As a result, small mobile providers can’t compete, they have no choice but merge or more likely face the risk of bankruptcy.
Pham Hong Hai, Director of Telecommunications Authority said that the restructuring paves the way for the future sustainable development of Vietnam telecoms market. VNPT restructuring including Mobifone spinoff from VNPT will help them compete successfully.
According to Le Ngoc Minh, Mobifone Chairman, after Mobifone divorce from VNPT, Mobifone equitisation will be speeded up and planned to complete in 2 years.
Director Pham Hong Hai believes that after the market restructuring other carriers which are capable of taking advantage of opportunities can survive and grow up. They can merge with partners or provide innovative new services based on their existing networks. The outstanding example is the merging between Viettel and EVN Telecom.
