Green Technology

December 12, 2018, 6:32 pm

Unhealthy competition spoils digital signature market, service providers say

(11:41:53 AM 11/08/2014)
( - Digital signature service providers are trying every possible way to attract more clients, creating an unhealthy competition in an increasingly saturated market.

The competition in the digital signature service market has become more fierce due to oversupply.
More than 10 firms provide the service, while there are only 500,000 businesses that are potential clients. At least 348,000 businesses already use the service.
Large information technology (IT) firms complained that many service providers “play tricks” to scramble for clients and improve their profits.
According to Tran The Hien, CEO of FSE FPT, said in many cases, the service providers send false notices to clients, asking to change services, or posing themselves as state management agencies, send emails to clients, informing that their digital signatures are not compatible with the software being used by state agencies (e-taxation, e-customs, or e-social insurance system).
Nguyen Hong Hai, deputy director of VDC, said the unhealthy competition can be seen most clearly in the signature service for online tax declarations.
Under the current regulation set by the Ministry of Information and Communication (MIC), the validity of digital signatures is five years, or 60 months, at maximum. However, some service providers promise validity of 63 months.
Hai also said that many VDC’s clients complained that they have been usually bothered by calls from other service providers who suggest choosing other suppliers or extending the validity.
“While large firms have to strictly follow the procedures set up by the watchdog agency in providing signatures to protect their prestige, small firms do not care about that. This has created an unhealthy competition in the market,” Hai said.
Ngo Tuan Anh, vice president of BKAV, an internet security firm, confirmed that there exists an unhealthy competition in the market.
“This is because the service providers try to scramble for clients at any costs,” Anh noted.
Hien said he advised his clients many times to be cautious when choosing service providers and contact the providers to check the information after receiving requests to try the services from other service providers.
However, he said the market needs intervention from the state management agency to become healthier.
“MIC needs to take regular inspection tours to be sure that service providers strictly follow the rules,” he said.
“It is also necessary to rank services in accordance with service quality, so that clients can have reliable information to choose the service providers most suitable to them,” he added.
Meanwhile, Anh of BKAV has asked to keep stricter control over the operation of service providers, especially digital signature agents, to ensure the security of the signature services and the clients’ benefits.
Deputy Director of Nacencomm Phung Huy Tam commented that the market has become overcrowded with many service providers. They have no other choice than upgrading service quality and diversifying added value services.
Buu Dien

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