Special notes of resale of telecommunication services for FDI company in Vietnam

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According to the Article No. 12 of Decree No. 25/2011/ND-CP of the Government dated April 6th, 2011 on detailing and guiding some articles of Telecommunication Law, before the resale of fixed telecommunication services to users in a location that have specified address and ranges for which the legal usage right is transfer, organizations or individuals are obliged to register their business and sign the contract for telecommunication agency with telecommunication enterprises.

Before the resale of fixed telecom services in two locations or more with the addresses, or area being specified to transfer the lawful usage, before reselling mobile telecommunication services, enterprises are required to possess a license of providing telecommunication services.

Resale of telecommunication services is not classified to basic telecommunication services or value added services on telecommunication network. Then, it is not subject to foreign ownership restriction.

We also would like to note that under Vietnam WTO-Commitment and Asean Framework Agreement Services, Vietnam Government does not commit open its market to foreign investor for conducting resale of telecommunication service. Then, license for a foreign invested company to conduct this business shall very much depend on direction of Vietnam Government.

SB Law is grateful to act for the very first Foreign Invested Company in Vietnam to obtain the license for resale of telecommunication service. Our experience in such case shall very much help us to support you for obtaining same license from the competent authority.