Dung said the regulation had been proposed to prevent criminals from using the Internet or telecommunications networks, as well as to protect legal business activities.

 Under Article 292 of the Penal Code, online service providers will be deemed criminals if they do not have permission to conduct business online or if they do not conduct business according to the specifics of their business registration. Services governed by Article 292 include gold trading, e-commerce, multilevel marketing, payment intermediaries, online games, and other services using computer or telecommunications networks.

 The regulation has led to concerns in the startup community. Most startup firms develop new ideas and services based on information technology. They worry that the words “other services” are not well defined by the regulation, which may lead firms to accidentally commit crimes.

 The ministry will meet with relevant ministries, agencies, IT experts, representatives of the startup community, and the Viet Nam Chamber of Commerce and Industry to discuss amendments to the regulation before submitting it for approval.