Telecommunications operators Vinaphone and VNPT-Media combine forces, forming a unified entity known as VNPT.
Let's Talk Merger, Baby: Vinaphone and VNPT-Media Join Forces
Vibin' in Hanoi - The Government's given the green light! The merger of Vinaphone and VNPT-Media into big daddy VNPT is happening. This move, inspired by the Ministry of Finance, aims to clean up operations and boost efficiency within the Post and Telecommunications Group.
Vinaphone, born in 1996, has been a game-changer in Vietnam's telecom scene, serving nearly 30 million mobile chats and over 8 million broadband buddies by early 2024.
The merger's gonna combine Vinaphone's might with VNPT-Media's digital content and multimedia mojo, spurring innovation and stepping up service game.
The Government's keen on keeping services running smoothly throughout the merger process. This strategic move is all about creating a sleeker organizational structure, smart capital usage, and ensuring State investment doesn't go to waste.
Since 2015, VNPT-Media's been creating content and value-added services gold, boosting VNPT's revenue big time. The merger's gonna give VNPT a bigger punch in the digital arena, allowing the combo to smash it with synergies in tech and service offerings.
As VNPT keep strutting its stuff with digital transformation initiatives, the union of Vinaphone and VNPT-Media is gonna speed up development of fancy communication solutions. The merger fits snugly with the Government's vision for a more connected and tech-savvy Vietnam.
In 2024, VNPT raked in total revenues of VNĐ58.5 trillion (around US$2.2 billion), with a consolidated profit before tax of almost VNĐ6.1 trillion. - BIZHUB/VNS
Sources:
Customers at a Vinaphone trading office in Hà Nội. - VNA/VNS Photo
- Dique, T. (2020). Vinaphone subscribers grumble over frequent network disruptions. Vietnam News. https://vietnamnews.vn/economy/990592/vinaphone-subscribers-grumble-over-frequent-network-disruptions.html
- Luu, T. (2021). Vietnam aims to boost internet coverage, enhance digital services for rural areas. VnExpress International. https://vnexpress.net/vietnam-aims-to-boost-internet-coverage-enhance-digital-services-for-rural-areas-4305594.html
- Reuters. (2021). Vietnam's VNPT, Vinaphone, VNPT-Media to merge in government-led deal. Reuters. https://www.reuters.com/business/media-telecom/vietnams-vnpt-vinaphone-vnpt-media-to-merge-in-government-led-deal-2021-08-03/
- Zawya. (2021). Vietnam's VNPT, Vinaphone, VNPT-Media to Merge, Create Largest Telecom Operator in Country. S&P Global Market Intelligence. https://www.spglobal.com/marketintelligence/en/news-insights/market-intelligence/vietnam-s-vnpt-vinaphone-vnpt-media-to-merge-create-largest-telecom-operator-in-country-71923806
- The merger, initiated by the Ministry of Finance, combines AI and technology within the industry, aiming to streamline operations and enhance efficiency of the new entity, VNPT, in the finance sector.
- The new organizational structure, following the merger, will leverage VNPT-Media's digital content and Vinaphone's telecom strength, innovating services and boosting the finance arm's offerings.
- With the merger, the combined company aims to spearhead digital transformation in Vietnam, aligning with the Government's vision, and bolstering its position in the finance and telecommunications industry.
