HCM City DIC justifies Yahoo
Source: 02-AUG-2008 Intellasia | Saigon Times Daily page 1
Aug 2, 2008 - 7:00:04 AM The HCM City Department of Information and Communication has written to the Ministry of Information and Communication supplying proof that justifies the commercial presence of Yahoo in Vietnam.

This move comes shortly after the Vietnam Software Association complained about Yahoo's commercial digital content supply operations in Vietnam without permission.

The association claimed Yahoo Vietnam is not yet licensed to run websites in Vietnam and that it operates as an online services provider (OSP) without any license issued by the Ministry of Information and Communication.

Yahoo, according to the association, has been running a website in Vietnamese using a dot-vn domain name without a license from the ministry. The US internet service provider is also alleged to infringe a government decree that requires enterprises to secure a license to provide internet services such as chat, email and blogging.

But the HCM City Department of Information and Communication says in the document sent to the ministry on Monday that Yahoo does not violate Vietnamese regulations on website establishment and online services.

According to the department, Decision 27/2005/QD-BBCVT issued by the Ministry of Post and Telecommunications, the present-day Ministry of Information and Communication, allows local and foreign organisations and individuals to register dot-vn domain names.

Only enterprises operating in Vietnam must ask the ministry for permission to act as an internet Content Provider (ICP) or an OSP to supply information, online advertising, and other internet applications for dot-vn and other domain names.

The department says the prevailing regulations do not govern foreign enterprises with websites registered and servers located abroad.

Le Manh Ha, director of the department, told the Daily on the phone that Yahoo had not broken any Vietnamese regulations since Yahoo's activities in Vietnam were done by Yahoo Southeast Asia Pte. Ltd

"That is a foreign enterprise operating outside Vietnam and having its server located in a foreign country. Thus, it is not affected by Vietnamese law," he said.

Yahoo has set up a website at www.yahoo.com.vn by purchasing the dot-vn domain name from the Vietnam internet Network Information Centre (VNNIC). When internet users access this site, they will be diverted to another foreign -registered site at www.vn.yahoo.com, the Vietnamese version that provides information about Vietnam. This is where Yahoo sells advertising space to Vietnamese advertisers, supplies free email and chat services.

Thereby, Ha said Vinasa had no evidence of Yahoo's violations of Vietnam law.

He asked the ministry to deal with the Yahoo row and issue guidelines for foreign enterprises to run websites in Vietnam but host them in a foreign country. The ministry had sent no reply to the department by Wednesday.

Some local digital content and game providers, which asked to remain anonymous, told the Daily that they did not throw support behind the Department of Information and Communication's move.

A source from one of the leading digital and game online enterprises in the country said they were waiting for what the ministry would do to resolve the issue. If the ministry advocates the department's stance, they would consider hosting their websites abroad.

"We can do the same as Yahoo did by setting up a company in a foreign country, hosting our websites there and then opening a representative office in Vietnam. We will not have to pay any taxes," the source said.

Vu Minh Tri, general director of Yahoo Vietnam, has shrugged off Vinasa's complaint, saying the company had not infringed Vietnam law.