Log in
Business

Mobile network operators try to develop OTT apps of their own

Mobile network operators, having lost patience in their efforts to join forces with OTT (over-the-top) app developers, are now trying to develop OTT apps on their own.

BKAV, known in Vietnam as the leading Internet security firm, has officially joined the OTT market with its launch of Btalk, an app that allows users to make calls and send messages free of charge.
 
 
The quality of Btalk is still uncertain. However, Nguyen Tu Hoang, Vice President of BKAV, said Btalk’s mission is to replace Viber, a very popular app among Vietnamese at present. Hoang hopes to make Btalk succeed in Vietnam, and then reach out to the world.
Viber reportedly has 10 million users in Vietnam.
Hoang, at the service launching ceremony held in mid-April, said Btalk can avoid many of the problems of prevailing OTT apps. Its advantages will help Btalk become the major piece of software, one that Vietnamese smartphone users will rely on daily.
Starting from April 16, users can access Google Play to install Btalk for Android-based devices. Meanwhile, the versions for iOS and Windows Phone will be available by the third quarter of the year.
Nguyen Dinh Chien, Deputy General Director of MobiFone, one of the three biggest mobile network operators in Vietnam, said MobiFone has reported to the watchdog agency about its plan to develop OTT apps.However, Chien declined to give further details about the apps, saying that they are still experimental.
Seeing the mobile service trend in the future, Vietnamese mobile network operators are now thinking of writing OTT apps which would serve as the platforms for them to design specific service packages.
Viettel’s General Director Nguyen Manh Hung also said the military telecom group is considering developing OTT and shifting to data services. However, he also declined to elaborate on this.
VinaPhone, the third of the three biggest network operators, has also said it is experimenting with OTT apps, because mobile networks will not be able to survive if mobile network operators don’t have their own OTT apps, or their apps cannot exist.
The Deputy Minister of Information and Communication has also predicted that data services, not voice communication services, will be the main source of income for mobile network operators in the next five years.
Network operators have been advised to cooperate with OTT apps developers for mutual benefit.
Teltra, Verizon and AT&T, the big goups in the world, have successfully cooperated with OTT apps developers to provide suitable data service packages which, experts believe, has helped their ARPU (average revenue per user) improve significantly. Teltra’s index, for example, has increased from $20 to $40.
However, no successful cooperation deals have been reported so far [in Vietnam]. The representative of a mobile network operator said his company tried to contact OTT app developers, but the negotiations failed because the developers set overly high requirements.
It is understandable why mobile network operators have gotten impatient. According to Google, 21 million smartphones are used in Vietnam. If every subscriber sends one message and makes one 1-minute call everyday with an OTT app, this means a loss of VND27.3 billion to network operators. Over the course of a year, the lost revenue works out to VND1 trillion.
Reactions:
Share:
Trending
Most Viewed
Inclusive innovation must give everyone equal voice, experts say at TECHFEST Vietnam 2025

Inclusive innovation must give everyone equal voice, experts say at TECHFEST Vietnam 2025

Open innovation is becoming a cornerstone of Vietnam’s development strategy, as policymakers, experts and international partners emphasize people-centered collaboration to tackle inequality, climate change and urbanization through inclusive, technology-driven solutions showcased at TECHFEST Vietnam 2025.

Vietnam attracts $400 million in venture capital as tech startups surge

Vietnam attracts $400 million in venture capital as tech startups surge

Vietnam’s startup ecosystem continues to expand rapidly, with strong venture capital inflows and fast growth in digital, AI and green technologies, reinforcing the country’s appeal to global investors.

Vietnamese policymakers push for early launch of gold exchange

Vietnamese policymakers push for early launch of gold exchange

A transparent gold exchange would not only offer a safe investment channel for the public but also provide a foundation for Vietnam to become a regional hub for jewelry manufacturing and exports.

Rosatom commits to advanced-technology Ninh Thuan 1 nuclear plant in Vietnam

Rosatom commits to advanced-technology Ninh Thuan 1 nuclear plant in Vietnam

Rosatom will transfer technology, localize nuclear products in Vietnam and support the development of the country’s nuclear science and industry for peaceful purposes.

Hanoi accelerates innovation reforms to become favorite destinations for investors, technology talents

Hanoi accelerates innovation reforms to become favorite destinations for investors, technology talents

Hanoi is pushing forward a wide range of innovation-driven reforms and investment initiatives as it works to become one of the world’s most attractive destinations for high-tech and strategic investors.

Vietnam mulls sharp rise in casino entry fee for locals

Vietnam mulls sharp rise in casino entry fee for locals

Such higher rates are intended to discourage individuals without adequate financial capacity from entering casinos.

Vietnam’s export strength in 2025 builds solid momentum for 2026 growth

Vietnam’s export strength in 2025 builds solid momentum for 2026 growth

With trade turnover nearing the US$900-billion mark, Vietnam enters 2026 with renewed confidence despite global volatility, rising trade barriers and shifting supply chains. Deputy Director of the Import–Export Department Tran Thanh Hai has outlined the drivers of this growth and the priorities for sustaining momentum next year.

Vietnam sets new trade record as import–export turnover nears $840 billion

Vietnam sets new trade record as import–export turnover nears $840 billion

Vietnam recorded its highest-ever trade performance in January-November as import–export turnover surged, driven by strong export growth and a continued trade surplus.