Vietnam Posts and Telecommunications (VNPT) is completing the installation of UTStarcom's IP Based PAS system in both Hanoi and Ho Chi Minh cities and expects to go into commercial service in both cities in the very near future. These systems are being deployed to provide city wide basic telephone service as well as 64kbps Internet access to parts of the population who have been experiencing long waits for traditional telephone service. The PHS service, which will be called "Urban Mobile Communication Service" will also allow users from Hanoi and Ho Chi Minh cities to access their home service while roaming in the other cities. The PAS system is an excellent solution for VNPT because it allows to the use of much of their existing infrastructure to serve many more subscribers than would be possible with a more traditional wire line implementation. It also allows them to provide advanced services, including Short Message Service and 64kbps Internet access, as part of the overall package.

A 500mW CS on the roof of one of VNPT post offices

Once the Hanoi and Ho Chi Minh systems are operating successfully, VNPT may expand the service into many more cities and is likely to include roaming between these cities as an optional service.

With a population of over 79 million and under 4 million telephone lines, Vietnam has a teledensity rate of under 5%. Deployment of PAS systems to provide basic service at very affordable prices will serve to rapidly increase the portion of the population with access to telephone service in Vietnam where the economy continues to grow at an annual rate of over 7%.