HÀ NỘI — The Vietnamese Government has approved the merger of Vinaphone and VNPT-Media into the latter's parent company, VNPT. This decision, stemming from a proposal by the Ministry of Finance, aims to streamline operations and enhance efficiency within the Vietnam Post and Telecommunications Group.

Vinaphone, established in 1996, has played a critical role in diversifying the telecommunications landscape in Việt Nam, serving nearly 30 million mobile subscribers and over eight million fixed broadband customers by early 2024. 

The merger is expected to consolidate Vinaphone’s strengths with VNPT-Media's expertise in digital content and multimedia services, fostering innovation and improving service delivery.

The Government's directive emphasises the importance of maintaining operational continuity throughout the merger process. This strategic alignment is not only intended to create a leaner organisational structure, but also to ensure effective capital utilisation, particularly in light of State investment.

VNPT-Media, founded in 2015 from a restructuring of various entities, has focused on content development and value-added services, contributing significantly to VNPT's overall revenue. The merger is poised to enhance VNPT's market position, allowing the combined entity to leverage synergies in technology and service offerings.

As VNPT continues to expand its digital transformation initiatives, the integration of Vinaphone and VNPT-Media is expected to accelerate the development of advanced telecommunications solutions. This merger aligns with the Government’s vision for a more connected and technologically advanced Việt Nam.

In 2024, VNPT reported total revenues of VNĐ58.5 trillion (US$2.2 billion), with a consolidated profit before tax of nearly VNĐ6.1 trillion. — BIZHUB/VNS