Demand for 3G remains quiet

Hanoi (VNA) – Contrary to predictions, demand for third-generation network
services (3G) has remained quiet despite 3G providers releasing new products.

At present, about 100 3G service compatible mobile phone models are on the market;
with prices of handsets varying from 2 million VND to 20 million (110-1,100 USD).

However, most consumers currently are only interested in the quality of service
coverage, sound quality for music and camera quality for video and photography;
rather than advanced 3G features such as data card (USB) and computer-3G
compatibility.

“Potential 3G mobile phone clients are mostly young people, even teenagers, but
they don’t have enough money to buy 3G enabled handsets and services, while
money earners are not particularly interested in mobile phones with 3G
technology,” said a trader.

MobileFone offers 3G services including Video Call, Mobile Internet, Mobile TV and
Fast Connect integrated with 3G technology.

“Apart from introducing 3G services, we hope to stimulate 3G demand in urban
areas,” said MobiFone representative Dinh Viet Hung.

Ngo Vinh Phuc, a businessman, said that the 3G mobile phones had not attracted
consumer interest in many features, and concerns included low memory capacity,
sound and image quality. This was part of the reason why 3G mobile phones have not
been widely adopted.

Hoang Ngoc Vy, general director of A Telecommunications, said he believed that the
3G mobile phone market share would increase, but for the moment, consumers remained
sceptical about the quality of 3G services.

Apart from the mobile phone 3G technology integration, the market also features 3G
laptop and 3G data cards (USB). However, these products are also new to many
consumers.

The main clients the two products targets are information technology experts.

There are two kinds of USB integrated with 3G. One possesses an interest access
speed of 3.6Mbps (Megabit per second) and the other 7.2Mbps, and cost from 1 million
VND to 1.5 million (55 to 83 USD).

Laptops with compatibility with the third – generation technology have also
appeared in Vietnam . However, laptops with 3G cards are 6 percent more
expensive a normal computer, according to a trader.
Lenovo, Dell and Acer plan to launch 3G laptops in the Asian market in the coming
period to coincide with the Lunar New Year.

The Ministry of Information and Communications has granted licences to operate 3G
services to domestic mobile phone operators, including MobiFone, Viettel, VinaPhone,
G-tel, EVN Telecom and Vietnamobile.-Enditem