Network operators need to invest 1,500 billion VND to deploy 5G in the first 3 years

According to Mr. Tran Tuan Anh, Head of Service Technology Department of the Department of Telecommunications (Ministry of Information and Communications), for a network operator to be licensed for 5G, many conditions are required, for example, investment capital in the first 3 years from 1,500 - 2,500 billion VND, conditions for accessing infrastructure, wide coverage (nationwide...).

"This is a prerequisite that businesses must do," Mr. Tuan Anh shared at the seminar "Commercializing 5G, building digital infrastructure for Vietnam" held on December 26 in Hanoi .

5G infrastructure is also different from 3G, 4G. In particular, 3G, 4G network businesses can create internet access, voice, and messaging services to serve customers. However, 5G has a digital infrastructure similar to open infrastructure, with many developers to exploit practical applications on that infrastructure, so if businesses do not hit the band, they still have opportunities from 5G.

Ông Trần Tuấn Anh cho biết — Mr. Tran Tuan Anh said that many conditions are needed for network operators to be licensed for 5G.

Also at the event, Ms. Vu Thu Hien - Head of Frequency Policy and Planning Department (Radio Frequency Department) said that it is expected that in January 2024, the Ministry of Information and Communications will announce the plan to organize the 5G frequency auction for businesses to grasp and participate.

Commenting on the practical development of 5G in Vietnam, former Permanent Deputy Minister of the Ministry of Posts and Telecommunications (now the Ministry of Information and Communications) - Mr. Mai Liem Truc said that 5G development not only brings opportunities but also challenges. 5G investment requires large capital and is related to investment mechanisms as well as business operations. Therefore, he said that implementation is not only a matter of whether the technology is ready or not, but also lies in the business problem, how to effectively manage the 5G system.

"By 2024, the market will be relatively ready for 5G, at least for business customers in the fields of healthcare , oil and gas, transportation, smart cities...", Mr. Mai Liem Truc assessed.

Since 2020, Vietnam has been one of the first countries to pilot and deploy 5G mobile networks. Up to now, 5G network testing has taken place in many places across the country. Under the impact of the Covid-19 pandemic, the opportunity to commercialize 5G technology is closer than ever as Vietnam carries out a deep and strong digital transformation in many fields.

Currently, 4G and the upcoming 5G are considered the mainstream of technology in the coming years. In which, the usage rate of 4G will decrease and 5G will gradually increase. The trend of countries in the region is to eliminate 2G and 3G to give frequency bands to 4G and 5G.

Up to now, Vietnam has tested 5G in 55 provinces and cities, while promoting companies to research and produce 5G connection terminals, piloting in high-tech zones, universities, research institutes...

It is forecasted that by 2030, 5G will bring Vietnamese operators a revenue of 1.5 billion USD. By 2025, this network technology is likely to contribute to Vietnam's GDP growth from 7.3% to 7.4% thanks to improving labor productivity and business performance. In addition, 5G also contributes to the social development and digital skills of Vietnamese people, thereby creating jobs related to science , technology, environment, and production.

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