MobiFone partners with NSN for network capacity upgrade

29 May 2012 | Kavit Majithia


Vietnamese operator VMS MobiFone has struck an infrastructure partnership deal with vendor Nokia Siemens Networks to upgrade its packet core network.

MobiFone expects the development will result in a 50% increase in network capacity for the company and address the rapid boom for high-speed mobile access in the country.

As an extension, NSN will also be contracted to modernise MobiFone’s GSM and 3G radio network in southern and central Vietnam.

With Vietnam’s booming mobile penetration reaching 180% last year, according to research company BuddeComm, both companies cited a growing need for additional network capacity to cope with increasing traffic as a reason for the partnership. “The high capacity core network will help us service more subscribers, while the modernised radio network will enable us to offer high-speed data services to our growing number of smartphone subscribers,” said Nguyen Dang Nguyen, deputy general direction of MobiFone.

Tanat Techatanabaht, country director at NSN Vietnam believes it is growing competition in the Vietnamese market that encourages companies to make more investments in mobile infrastructure. “Rapid adoption of smartphones is driving a mobile internet boom in the Vietnam market, also characterised by growing competition amongst telecoms operators,” he said. “These upgrade projects will help MobiFone gain an even stronger foothold in the market, and generate new revenue streams by offering value-added services.”

The upgraded packet core and radio networks have been deployed and are already in commercial use.

Capacity magazine’s cover story in June looks at accessing the Indo China market through neighbouring countries including Vietnam and Malaysia.