Vietnam’s Imminent 2G Sunset: A Telecom Evolution

September 16, 2024, marks a significant turning point for Vietnam’s telecommunications industry as the 2G system officially ceases to serve subscribers relying on 2G-only mobile phones. This initiates the countdown to the sunset of 2G technology, as announced by the Ministry of Information and Communications on July 5, 2024.

This decision aligns with the government’s strategy to advance telecommunications infrastructure and promote smartphone adoption. The ultimate goal is to boost 4G/5G mobile services and ensure every citizen owns a smartphone by 2030. Consequently, telecom businesses and consumers must adapt and upgrade their devices to avoid communication disruptions.

Anticipating a Boom in 4G-Enabled “Brick” Phone Sales

On the eve of the 2G shutdown, the market for basic 4G-enabled phones is experiencing unprecedented excitement.

According to predictions by the Hoang Ha Mobile system, sales of 4G-capable “brick” phones are expected to surge, especially in the coming days. “We anticipate a 120% increase in feature phone 4G and affordable smartphone sales in August. In September, we project a staggering 450% spike following the 2G discontinuation,” shared Ms. Hoang Tam, Hoang Ha Mobile’s Marketing Director.

An elderly customer inquiring about 4G phones at Hoang Ha Mobile

CellphoneS, another prominent system, reported similar growth in sales. Their representative revealed that sales of button phones priced below 1.5 million VND have quadrupled or quintupled compared to the previous month.

This indicates a strong demand for device upgrades, particularly among the elderly or consumers in rural areas, where basic phones remain a prevalent choice.

Retailers Offer Incentives to Encourage 4G Phone Upgrades

Despite the surge in demand, Hoang Ha Mobile’s representative assured that prices for basic 4G phones remain stable without significant fluctuations. In fact, to assist citizens in the transition from 2G to 4G phones, many retailers have introduced additional incentives and subsidies.

For instance, Hoang Ha Mobile has launched a trade-in program, offering discounts to customers who exchange their old 2G devices for 4G ones. Individuals can now acquire a 4G phone for as little as 369,000 VND. Notably, even non-functional 2G phones will be accepted and properly recycled to protect the environment.

Basic 4G phones on display at Viettel Store

Viettel Store is also offering various promotions, including free upgrades from old to new devices, subsidies of up to 1,000,000 VND, and free 4G data for six months. Meanwhile, The Gioi Di Dong provides shopping vouchers for 4G SIM purchases, 0% installment plans, and more…

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