According to an official from the Authority of Radio Frequency Management, MIC will hold an auction for frequencies in the 2300-2400 MHz waveband, which will enable network operators to advance their 4G and 5G technologies. The starting price for this waveband is VND 12.88 billion (US$ 548,481) per MHz per annum, and each company will have the opportunity to bid for 30 MHz. The companies will be allowed to use the wavebands for 15 years for 4G and 5G purposes. The representative added that the agency will accept applications until 19 April, to determine the companies that fulfil the prerequisites to participate in the frequencies auction.
If they meet the requirements, both mobile service providers and other telecommunication companies will be able to participate in the auction. This means that new players using 4G and 5G technologies will enter the mobile market. Companies that do not currently possess licenses for telecom services are also permitted to submit applications to the MIC for consideration and evaluation of their eligibility to participate in the auction.
Upon successfully winning the auction and paying the fees in full and on time, the businesses will be awarded licenses to use frequencies and offer telecommunication services. Companies that partake in the auction for the right to use radio frequencies in the 2300-2400 MHz waveband will be able to establish networks and provide telecommunication services that use IMT-Advanced (4G) or IMT-2020 (5G) technologies.
Earlier, the MIC had issued licenses to telecommunication carriers, permitting them to conduct 5G trials in 40 centrally-administered cities and provinces. In 2022, the MIC advised telcos to continue experimenting with 5G applications, evaluating the demand and developing technical solutions to devise the best business plans to acquire licenses.
Telecommunication equipment suppliers worldwide affirm that 5G is the future of digital infrastructure. This infrastructure will facilitate connections not only between individuals but also between individuals and machines, and machines with each other. Such connections will provide the foundation for automation and transformation across industries. Nonetheless, experts highlight the importance of 4G for Vietnam, even with the emergence of 5G. In the next few years, 4G will remain a widely used network, while 5G is expected to see rapid growth from 2025.
5G technology offers several benefits that can transform communication, work, and life overall. With its faster data transmission speeds, lower latency, and higher network capacity, 5G can provide seamless connectivity for a wide range of applications, from virtual and augmented reality to autonomous vehicles and smart cities. The increased bandwidth and lower latency also allow for smoother and more reliable streaming of high-quality video and audio content. Additionally, 5G networks can handle a larger number of connected devices, making it possible for more devices to be connected to the Internet of Things (IoT) and enabling greater automation and control.
Digital infrastructure is among the government’s top priorities. Vietnam has set a target to be among the top 30 nations with the most advanced and robust digital infrastructure by 2025. Vietnam’s next wave of socio-economic development will come from innovation, science, and technology, driven by the digital economy.
