Technology firms have suggested that Vietnam should prep for 5G mobile services when it comes to developing the digital economy and catching up with the fourth industrial revolution.

A customer is seen watching videos online

Vietnam is known to have licensed the supply of 4G services later than other countries. To reach the goals of building a smart city, smart traffic, smart education and smart health, Vietnam should deploy and provide 5G telecom services with much higher speeds than 4G and 3G and make use of the benefits of the IoT (Internet of Things).

Denis Brunetti, president of Ericsson Vietnam, Myanmar, Cambodia and Laos and co-chairman of the European Chamber of Commerce in Vietnam, said 5G networks play a vital role in the development of a smart city, the fourth industrial revolution and a digital economy.

Pioneers in 5G technology, which helps enhance the country’s sectors, will gain competitive advantages in the global market. Industrial sectors capable of utilizing 5G’s high speed, low latency and better capacity to boost efficiency and production are expected to benefit from the 5G network the most.

“The 5G network will be provided across the world in 2018, positively changing people’s lives and fostering industrial sectors,” Denis Brunetti said, adding that a report on the potential of 5G technology, released by Ericsson, shows that enterprises in Vietnam will earn an additional US$3.17 billion when using it in their business.

Ericsson noted that Southeast Asia’s data consumption is estimated to increase ninefold each month, so the 5G service would meet this heavy demand.

It is forecast that the 5G service will supply some 20% of global data in 2023. The figure is estimated at 1.5 times higher than the sum of 4G, 3G and 2G today.

Ericsson is currently teaming up with multiple partners to test the 5G network by end-2018. In Vietnam, the 5G technology will help Vietnam develop by 2021 if it is deployed quickly.

Thieu Phuong Nam, general director of Qualcomm Vietnam, Laos and Cambodia, suggested that Vietnam should finish mapping out a plan on policies, technology and the 5G ecosystem, and that it is necessary for the country to start using the new technology at the same time as other countries.

Nguyen Kim Dung, general director of Nokia Vietnam, hailed the benefit of 5G in helping the carriers obtain a new revenue source. Vietnam should be fully prepared to test the 5G service in 2020, Dung added.

Vietnam needs the 5G deployment due to rising data consumption for watching videos, Dung stressed, hoping the 5G service would be introduced by end-2018, with a boom in usage by 2020.

“In Vietnam, the 4G network, introduced in 2017, will continue spreading in 2018 and 2019,” Dung noted, adding that Vietnam may start testing the 5G network by 2020 and applying the network to commercial activities and services for users in 2021 and 2022.

SGT