What's Happening?
VNPT, a Vietnamese telecommunications company, has secured the 700 MHz frequency band for VND 1.99 trillion ($82.9 million) in Vietnam's latest auction. This acquisition is expected to enhance 4G and 5G coverage, particularly in rural and hard-to-reach regions. The 700 MHz band, previously used for analog TV broadcasting, has been reassigned to mobile telecommunications following Vietnam's transition to digital terrestrial television. The expanded spectrum holdings place Vietnam fourth in ASEAN for available mobile frequencies.
Why It's Important?
The acquisition of the 700 MHz spectrum by VNPT is a significant step in expanding Vietnam's telecommunications infrastructure, particularly in underserved areas. The enhanced coverage will support digital transformation efforts, improving connectivity and access to services such as IoT applications. This development aligns with Vietnam's goal of increasing population coverage and supporting technological innovation. The expanded spectrum holdings strengthen Vietnam's position in the ASEAN region, potentially attracting further investment in the telecom sector.
What's Next?
VNPT plans to utilize the newly acquired spectrum to support both 4G and 5G connectivity, including IoT applications such as smart cities and intelligent transportation systems. The company aims to deploy over 20,000 5G base stations during 2025, contributing to its goal of reaching 99% population coverage by 2030. Stakeholders will monitor the impact of these efforts on Vietnam's digital landscape and economic growth.
Beyond the Headlines
The reassignment of the 700 MHz band from analog TV broadcasting to mobile telecommunications reflects broader trends in spectrum management, where governments repurpose frequencies to support technological advancements. This shift highlights the importance of strategic spectrum allocation in driving digital transformation and economic development.
