Licences to set up and provide 3G telecom services were granted, on August 13, to four major firms - Viettel, MobiFone, VinaPhone, and the joint venture between the EVN and the Hanoi Telecom.

Announcing the move, Le Doan Hop, Minister of Information and Communications which issued the licences, described it as the banner event for the telecom sector this year, adding that the enterprises in question would contribute to elevating the sector to a world-class level.

The Minister also told the enterprises to ensure quality and suitable prices, but serve the public interest, especially in terms of mountainous regions, islands, and other isolated areas.

Representatives of the telecom networks pledged to continue providing high-quality, affordable service, now and long into the future.

VinaPhone 3G Committee Director Nguyen Van Yen said that VinaPhone will officially launch their 3G service in October in major cities, including Hanoi, Da Nang and Ho Chi Minh city, and then expand to other localities.

Meanwhile, MobiFone affirmed it will have coverage for all the populous urban areas in the country three months after receiving the licence.

For its part, Viettel, with a strategy to invest nearly 12.8 trillion VND (711.1 million USD) in the next three years, committed to providing 3G service to 86 percent of the population by April 2010 and 100 percent by August 2012.

There are over 90 million mobile phone subscribers in the country with the largest number using the Viettel network, followed by MobiFone and then VinaPhone.

Mobile phone service providers are in a heated competition for their market share and the introduction of the 3G service is forecast to heat things up even more in the coming time./.