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Telcos instructed to work alongside OTT firms

The Ministry of Information and Communications (MIC) has asked telecoms companies to cooperate with businesses providing over-the-top (OTT) services to allow free phone calls and messages for users.
The Ministry of Information and Communications (MIC) has asked telecomscompanies to cooperate with businesses providing over-the-top (OTT)services to allow free phone calls and messages for users.

The request was included in Instruction N°75 on telecoms issued on October 30 and signed by Minister Nguyen Bac Son.

Telecom companies are required to submit their internet fees formobile phones and OTT services for approval with the Department ofTelecommunications.

The ministry also asked thedepartment to investigate new services and technology developments, andto provide recommendations that reduce the negative impact onbusinesses.

The instruction was released amid arapid rise in the number of Vietnamese users subscribing to OTTservices, including the US's Viber and Vietnam's Zalo. The surge is saidto be the main cause of recent losses reported by telecom giantsMobiFone, Viettel and VinaPhone.

Although leaders ofthe telecom companies said their latest 3G fee increase did not applyto OTT services, users believed they were related.

Quality standards

Speaking with online newspaper Vietnamplus on November 4, DeputyMinister of Information and Communications Le Nam Thang said thatwhen 3G networks were introduced in Vietnam, suitable quality standardshad not been determined for the country.

He also said that Vietnam could not use foreign standards due to differences in network scale and technology.

Agencies under the ministry were compliant with the quality standardsfor 3G and the ministry was reviewing them prior to public release, hesaid.

"Whether 3G fees are adjusted or not, the service quality must be ensured," Thang said.

Pham Hong Hai, head of the Department of Telecommunications, said theincrease had a legitimate legal basis and did not violate pricingregulations or threaten fair competition in the market.

Thang asked the department to cooperate with enterprises and theMinistry of Industry and Trade's Vietnam Competition Authority tofinalise reports for submission to the government soon.

"We will try to complete them this week. Figures on the cost, regionalprices, supply and demand and others will be publicised," he said.-VNA

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