HÀ NỘI — Deputy Prime Minister Nguyễn Chí Dũng has signed a decision approving a controlled pilot programme to deploy telecommunications services using low Earth orbit satellite technology, to be carried out by the US’s Space Exploration Technologies Corporation (SpaceX).

This pilot programme will not impose any restrictions on foreign investors regarding ownership percentages or capital contributions, according to the recently signed Decision No. 659/QD-TTg.

Specifically, the programme includes a controlled pilot investment in telecommunications services involving satellite network infrastructure using low Earth orbit technology in Việt Nam.

The programme will adhere to national security and defence principles, with no restrictions on foreign ownership, in line with Resolution No. 193/2025/QH15 passed by the National Assembly on February 19 regarding pilot mechanisms and policies that foster breakthroughs in science, technology, innovation and the national digital transformation.

The issuance of permits for the use of radio frequencies and equipment to telecom service providers using low Earth orbit satellite technology will also be piloted, replacing the previous method of granting permits for individual terminal device users as specified in Resolution No. 193/2025/QH15.

The decision clarifies that the pilot phase for providing telecommunications services using low Earth orbit satellite technology will last five years, starting from the date the pilot organisation's company is established in Việt Nam and receives its business licence. This trial period must conclude by January 1, 2031.

Under the decision, both the pilot organisation and the company established in Việt Nam must ensure compliance with all requirements and conditions for implementing the trial. This includes stipulations regarding the types of services offered, the scope of deployment, the maximum number of subscriptions, frequency usage and crucially, national defence and security considerations.

The services to be piloted nationwide will include fixed satellite services such as internet access and leased channels for mobile station transmission, as well as mobile satellite services like internet access at sea and on aircraft.

The maximum number of subscriptions permitted for the pilot phase will be 600,000, which includes the total number of subscribers for the services provided by the Việt Nam-based company and those reselling the services through local telecom providers.

The Ministry of Public Security and the Ministry of Defence will be responsible for monitoring the pilot service to ensure national security and defence.

A pilot programme allowing foreign-owned low Earth orbit (LEO) satellite internet services with up to 100 per cent foreign capital during the 2025-30 period is one of the policies introduced in Resolution 193, which was passed by the National Assembly on February 19 this year.

The drafting committee of Decree 193 stated that the goal of this policy is to expand broadband internet coverage, particularly in remote, isolated and island areas where terrestrial telecommunications infrastructure remains limited, ensuring that all citizens have access to internet services.

Statistics show that while Việt Nam's mobile network covers 99.8 per cent of the population, it only reaches about 58 per cent of the land area and 14.5 per cent of the national territory when including maritime zones. Additionally, 83 per cent of households have access to fibre-optic services, but 17 per cent remain without, most of which are in remote areas.

LEO satellite technology is primarily developed and deployed by a small number of foreign enterprises worldwide. Therefore, allowing foreign companies to provide LEO satellite telecommunications services in Việt Nam is necessary. This initiative will enhance Việt Nam's global image and attract further investment from major technology corporations.

Currently, many countries around the world have adopted and used LEO satellite telecommunications services provided by foreign enterprises. For example, as of August 2024, SpaceX’s LEO satellite service had been deployed in over 110 countries and territories worldwide, with approximately four million subscribers. Within the ASEAN region, Malaysia, the Philippines and Indonesia have permitted SpaceX to invest and operate telecommunications services with 100 per cent foreign ownership.

Last year, during a meeting with Party leader Tô Lâm in New York, SpaceX Senior Vice President for Global Business and Government Affairs Tim Hughes said the group aims to inject US$1.5 billion into the country in the near future. — VNS