Vietnam Might Cancel Licenses for S-Fone and EVN

Dismayed by the dull performance of two operators, the Ministry of Information and Communications in Vietnam is planning to withdraw license from S-Fone and EVN Telecom mobile carriers, primarily because of their fading operations in the country.

It is important to note that EVN Telecom uses 450 MHz bandwidth spectrum while, Sfone uses 850MHz, both of which were allocated by the ministry since the two companies began operations in Vietnam. EVN Telecom had been taken over by Viettel in the early 2012 and on the other hand, Korean-invested S-Fone nearly postponed its operation due to falling subscriber base for its operations.

Having started its operations in Vietnam in the year 2003 as the third mobile operator of the country after MobiFone and Vina-phone, S-Fone was formed as a joint venture between the Korean telecom major SK Telecom and Vietnam’s Sai Gon Postel (SPT).

While the company became the first mobile operator in Vietnam to implement the advanced CDMA (Code Division Multiple Access) technology, experts close to the industry believe that it could not move well with the customer demands because of a lack of choice on CDMA terminals.

In the recent times, new mobile additions in Vietnam have skyrocketed, reaching  98 million in 2009 and by the end of 2013, there were 134 million recorded subscribers in the country of Vietnam.

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