Although
the military-run Viettel lagged behind Vietnam Post and Telecommunication Group
(VNPT) in the VND100 trillion (US$5.14 billion) revenue race in 2010, it has
deserved as the winner in terms of real capacity and achievements.

VNPT has
estimated to have gained around VND101.569 trillion in revenues, a year-on-year
rise of 22 percent, while the rival Viettel has expected to reach VND91.134
trillion in revenues, surging 50 percent over 2009, according to the Ministry of
Information and Communications.

Eventually,
VNPT won the race, but real business quality of Viettel made it become the
winner.

Average
annual labor productivity of Viettel reached over VND4 billion a person and
average monthly income was estimated at VND11.7 million per person a month. The
equivalent figures from VNPT are unknown, but VNPT has more employees than
Viettel, 90,000 compare to 24,500.

This
year, the group has developed 46.3 million new mobile subscribers and 1.17
million 3G subscribers, bringing total subscriber number in the whole network
to 49.9 million.

The win
of VNPT is absolute and easily comprehensive because its revenues came from two
big mobile providers MobiFone and VinaPhone. Moreover, VNPT had gained
“monopoly” 20 years ahead of Viettel.

So,
compared to the later-established Viettel, VNPT owns some advantages in
experience and market share.

But
Viettel has proven its capacity through “big leaps” in recent years. After
almost 10 years, Viettel has become the big rival of VNPT.

No one
believed that it took only four years for Viettel to surpass VNPT’s two mobile
networks in terms of subscriber volume in Vietnam. While Viettel was
accelerating, VNPT networks moved slowly.

Thus,
Viettel has gained certain achievements and expanded overseas. And the revenues
of 91.134 trillion dong were the successful sign of the group.

Analysts
predicted it was inevitable Viettel could obtain the top position of VNPT in
the near future.

The race
was set in the beginning of 2010 by the two state-run giants. According to the
initial plans, VNPT targeted to earn VND94 trillion, up 20 percent whilst
Viettel set VND96 trillion, jumping 60 percent against one year earlier.

However,
right after Viettel announced its 2010 revenue target, VNPT decided to adjust
its targets up by VND6 trillion, showing its determination to keep its top
position by gaining revenues of VND100 trillion for the first time.

The
ambitious goal came along with the targeted VND15-16 trillion in minimal profit
and VND8.5-8.6 trillion in tax payments.

Similarly,
then Nguyen Manh Hung-Deputy general director of Viettel also confirmed Viettel
modified its revenue target to more than VND100 trillion.

Experts
said that VNPT had the major revenue source from two mobile networks VinaPhone
and MobiFone with a combined market share of 55.41 percent in Vietnam.

In
addition, the firm has another revenue source from postal, broadband internet,
fixed telephone services.

For
Viettel, its 60 percent revenues come from mobile information services and
others from real estate, handset distribution, post and internet.

After big
non-tired efforts, VNPT reported obtaining more than VND43 trillion in
revenues, meeting 42 percent of the year’s target during first half. Likewise,
Viettel announced to go through a half of its revenue way.

The race
was overheated in the second half when Viettel tried to place VNPT behind.

With the
current revenue structure, the win or failure of VNPT on the way to over VND100
trillion was burdened on MobiFone and VinaPhone.

Following
a 10-15 percent reduction in service charges in August, VNPT then launched 100
percent promotional programs for both old and new subscribers from September to
the end of 2010 and attracted a number of new customers.

Differently,
VNPT both offered promotion programs such as presenting additional 100 percent
of scratch card value or expanding mobile business to regional countries like Laos, Cambodia
and Bangladesh
and launching new strategies.

The
company holds stakes in Vinaconex, Military Bank, and earns revenues from
export import, real estate.

Source: DDDN/Tuoi Tre