Viettel successfully bid for the right to use the 2500-2600 MHz frequency band for its 5G network.

Viettel has officially successfully bid for the right to use radio frequencies in the 2500-2600 MHz band for the next 15 years.

On the evening of March 8th, the Vietnam Military Telecommunications Group (Viettel) announced that it had successfully bid for the right to use radio frequencies in the 2500-2600 MHz band for the next 15 years at a price of over 7.533 billion VND. The auction, organized by the Ministry of Information and Communications, took place on the afternoon of March 8th, with the participation of four telecommunications companies.

The 2500-2600 MHz frequency band is planned by the Ministry of Information and Communications for the deployment of mobile communication systems according to 5G, 4G, and subsequent technologies. In mid-January 2024, the Minister of Information and Communications approved the plan to auction the right to use radio frequencies for three frequency bands for 5G. Specifically, the starting price for the 2500-2600 MHz band for 15 years of use is nearly 4,000 billion VND; the starting price for the 3700-3800 MHz band for 15 years of use is nearly 2,000 billion VND; and the starting price for the 3800-3900 MHz band for 15 years of use is also nearly 2,000 billion VND. The 2500-2600 MHz frequency band is considered the "golden band" for the deployment of both 5G and 4G services, with lower investment costs, hence the significantly higher starting price compared to the other two frequency bands. Following the auction on the afternoon of March 8th, there will be two more auctions for the remaining two frequency bands in the near future.

Over the past period, Viettel has installed and provided trial 5G services in many localities across the country.

According to Viettel Group leaders, the 2500-2600 MHz frequency band is of particular importance because it is the most efficient band for Viettel to simultaneously deploy both 4G and 5G mobile networks, thereby improving the quality of current 4G services and officially providing 5G services. This band also optimizes coverage with a radius 1.3 times larger than the C band (3500 MHz).

Viettel's successful bid for the right to use radio frequencies to deploy its 5G mobile network is a necessary condition for Viettel to keep pace with the global trend in telecommunications technology, continue developing its 4G network, and transition to 5G technology. Furthermore, this is a roadmap to promote the development of national digital infrastructure and the digital service ecosystem, creating new impetus for economic growth and increased labor productivity. Currently, 5G equipment researched and manufactured by Viettel is ready for deployment on the 2500-2600 MHz frequency band. Viettel plans to launch its 5G network nationwide as soon as possible.

On January 11, 2024, the Prime Minister approved the Vietnam Information and Communication Infrastructure Development Plan for the period 2021-2030, with a vision to 2050. The plan sets a target of a minimum average download speed of 100 Mbps for 5G networks by 2025, and 5G coverage for 99% of the population by 2030. To realize these goals, 2024 is the opportune time to license commercial 5G frequency bands. The Ministry of Information and Communications has set a direction for 2024 to be the year of digital infrastructure popularization. Vietnam's digital infrastructure must have ultra-large capacity, ultra-wide bandwidth, be widespread, sustainable, green, smart, open, and secure. This infrastructure must be prioritized for investment, modernization, and be one step ahead to promote national digital transformation, the development of the digital economy, and the digital society.

TRAN BINH

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