VMS MobiFone has launched an upgraded broadband network with the support of European firm Nokia Siemens Networks (NSN).
The Vietnamese operator signed two agreements with NSN to boost its packet core and radio networks.
NSN increased the capacity of MobiFone's packet core network by 50% using its Flexi Intelligent Service Node (Flexi ISN).
The Flexi ISN product is designed to simplify the management of data and improve charging functionality.
Under the terms of the deal, NSN also revamped MobiFone's GSM and 3G radio network in southern and central Vietnam and optimised its IP backbone to help the system handle growing amounts of data.
NSN Vietnam country director Tanat Techatanabaht said MobiFone is facing a huge increase in demand for mobile internet due to the growing popularity of smartphones. This has also led to more competition among telecoms operators, he added.
"As MobiFone's long-standing partner and its sole packet core vendor, we were familiar with the operator's core and radio network upgrade requirements and understood their expectations completely," Mr Techatanabaht said.