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Home Vietnam: Draft Telecom Decree clarifying obligations of offshore providers of OTT communication, data centers and cloud services in Vietnam
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Vietnam: Draft Telecom Decree clarifying obligations of offshore providers of OTT communication, data centers and cloud services in Vietnam

Team EntertainerBy Team EntertainerMarch 20, 2024Updated:March 20, 2024No Comments5 Mins Read
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Vietnam: Draft Telecom Decree clarifying obligations of offshore providers of OTT communication, data centers and cloud services in Vietnam
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In short

  • The implementation of the brand new Regulation on Telecommunications (“New Telecom Regulation“), efficient on 1 July 2024, requires a decree from the federal government to supply steerage and additional particulars on numerous points.
  • On 2 February 2024, the Ministry of Data and Communications revealed a draft model of the decree guiding the New Telecom Regulation (“Draft Telecom Decree“) to gather public feedback. The deadline for public feedback is 2 April 2024.
  • The MIC expects the Draft Telecom Decree to be issued inside 2024, however has set no particular efficient or issuance date but.
  • Obligations of suppliers of fundamental telecom providers on the web (together with over-the-top (OTT) communications providers), knowledge facilities (DC), and cloud computing (“Cloud“) providers are offered underneath this draft model of the decree.
  • The Draft Telecom Decree will probably endure additional adjustments within the coming months earlier than being submitted to the federal government for its overview and issuance.

Beneath are a number of key takeaways of the Draft Telecom Decree, which can have an effect on the overseas companies offering related on-line providers in Vietnam.


1. Overview of the Draft Telecom Decree

The draft is fairly lengthy, comprising 87 articles and 29 templates, masking the next main points:

  1. Telecom enterprise licensing
  2. Telecom infrastructure
  3. Subscriber data
  4. Primary telecom providers on the web, DC, and Cloud providers — notably, obligations of the offshore firms that present these providers on a cross-border foundation to Vietnam
  5. Telecom market
  6. Provision of telecom providers, particularly on a cross-border foundation

2. OTT, DC, and Cloud providers are labeled as value-added telecoms providers

The New Telecom Regulation defines fundamental telecom providers on the Web (e.g., OTT communication providers), DC, and Cloud providers as telecom providers with particular related capabilities. Nonetheless, as telecom providers merely embrace (i) fundamental telecom providers and (ii) value-added telecom providers, underneath the Draft Telecom Decree, the MIC proposes to categorise the three new providers as value-added telecom providers, amongst different conventional providers, resembling e-mail providers, voicemail providers, value-added fax providers and web entry providers.

3. Provision of telecom providers on a cross-border foundation

The availability of telecom providers (excluding fundamental telecom providers on the Web, DC, and Cloud providers) on a cross-border foundation to customers inside the territory of Vietnam have to be performed through a industrial settlement with a related Vietnamese telecommunications firm that has duly been licensed and allowed to create a world gate, except offered in any other case by a world treaty to which Vietnam is a signatory.

The Vietnamese telecommunications firm performing because the native companion of the offshore service supplier will probably be topic to additional necessities underneath the draft.

4. Obligations of offshore suppliers of fundamental telecom service on the Web

Beneath the New Telecom Regulation, there are not any particular obligations relevant to offshore suppliers of fundamental telecom providers on the web. It seems that native lawmakers had not reached a consensus on learn how to regulate offshore suppliers by the point the legislation was handed, and therefore, solely onshore ones had been contemplated there. The obligations relevant to offshore suppliers are actually proposed underneath the Draft Telecom Decree.

Per the draft, these offshore suppliers will bear the next key obligations:

  • Notify the Vietnam Telecommunications Authority (VNTA) of the supply of the service. The notification will embrace the title of the service supplier, its incorporation doc, forms of providers being offered, and different details about the standard of the providers being offered.
  • Adjust to sure necessities underneath the New Telecom Regulation, notably:
    • Droop the service in case of riots or abuse of providers to oppose the state or violate nationwide safety upon the competent authorities’ request
    • Not disclose non-public details about the service customers, besides in sure instances
    • Acquire customers’ consent when accessing any perform on the customers’ finish gadgets
    • Announce the standard of the service being offered
  • Confirm the details about the phone variety of the customers earlier than offering the service.
  • Retailer the details about the customers (together with names of the customers and their telephone quantity) and different details about the customers’ use of service per cybersecurity legal guidelines.
  • Adjust to requests from competent authorities to make sure cybersecurity per the legislation.

5. Obligations of offshore suppliers of DC and Cloud providers

Equally, there are not any particular obligations relevant to offshore suppliers of DC and Cloud providers underneath the New Telecom Regulation. Beneath the Draft Telecom Decree, the obligations of those suppliers are clarified, that are largely just like these of the offshore suppliers of fundamental telecom providers on the Web. Nonetheless, there are a number of specialised variations, as follows:

  • Whereas there isn’t a obligation concerning entry to customers’ finish gadgets, suppliers of DC and Cloud providers should chorus from accessing, exploiting or utilizing the information of the service customers with out the customers’ consent.
  • These suppliers should additionally adjust to sure extra obligations underneath the New Telecom Regulation, resembling the next:
    • Upon request of competent authorities, take well timed measures to dam entry to data
    • Chorus from monitoring or monitoring the knowledge of service customers
  • Relating to customers’ data, DC and Cloud service suppliers should retailer some fundamental details about the person and company customers, resembling title and call particulars.

6. Provision of DC and Cloud providers to state authorities

The Draft Telecom Decree states that the information of state authorities utilizing DC or Cloud providers have to be saved in Vietnam solely. Which means that if an offshore DC and Cloud service supplier plans to grow to be a state’s contractor, they might want to arrange amenities in Vietnam to retailer the information of the related state company.

* * * * *

Do you have to want our help for this legislative progress, please contact us.



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