Vietnam's Thriving Telecoms Industry: Key Insights from 2023-2030 Report

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Nov 07, 2023, 17:30 ET

DUBLIN, Nov. 7, 2023 /PRNewswire/ -- The "Vietnam Telecoms Industry Report - 2023-2030" has been added to ResearchAndMarkets.com's offering.

Vietnam's telecommunications industry is currently experiencing significant growth, offering lucrative opportunities for both local and international investors. Despite facing a competitive landscape, the country's economic prospects are promising, with an anticipated average GDP growth rate of 10% between 2023 and 2030. This growth is driven by factors such as robust mobile phone penetration and the increasing adoption of fixed broadband services in households. These trends suggest continued expansion, even in the face of an aging population over the long term.

Key Highlights:

1. Mobile Subscriptions and Broadband Adoption: The report predicts a continuous increase in mobile subscriptions (+1.1%) and a rise in fixed broadband subscribers (+3.4%) and household penetration during the period from 2023 to 2030. Mobile revenue is growing at an even faster rate due to the transition from 2G and 3G to 4G mobile data services.

2. Capital Expenditure Stability: Investment in capital expenditure (Capex) has remained stable and is expected to continue until 2030. Major telecom companies like Viettel, Vinaphone, and Mobifone are strategically aligning their investments with revenue growth, maintaining a consistent Capex to Sales Ratio.

3. Mobile Market: In early 2020, the balance shifted, with 3G and 4G subscribers surpassing 2G mobile subscriptions for the first time. The report projects that 5G mobile subscribers could reach around 66% of all connections by 2030, amounting to roughly 90 million subscribers. The shutdown of 2G is scheduled for 2025, followed by a potential 3G shutdown by 2026 or earlier.

4. Broadband Market: The fixed broadband market is witnessing rapid growth, driven by key players such as VNPT, Viettel, and FPT, who are investing in full-fibre networks. This transition is encouraging the migration to faster and more reliable broadband connections, with opportunities for services like IPTV and e-commerce.

5. Telecom Infrastructure and Investments: Infrastructure funds, pension funds, and government funds are placing high valuations on telecommunications infrastructure assets such as mobile towers, data centers, submarine cables, and fiber networks. The report includes real-world examples of how investors perceive and assess these investments.

6. Market Dynamics and Consolidation: Despite significant government influence, with three major players controlling over 90% of the market, corporate activity is limited. However, smaller operators like Gmobile, Hanoi Telecom, Saigon Post Tel, and SCTV could potentially merge or consolidate due to intensified competition. In the medium term, the government might reduce its stake in VNPT and Mobifone by up to 50%, introducing private investments and enhancing transparency in the market.

7. 5G and Future Transformations: The report explores the potential of 5G to revolutionize connectivity, enabling virtual experiences (augmented or virtual reality) and real-world applications (autonomous vehicles). It also discusses the uncertainties surrounding the outcomes, business models, required investments, and timelines of 5G's benefits.

Why You Should Buy the Vietnam Industry Telecoms Report:

Target business opportunities and risks in the telecoms sector through our reviews of the latest industry trends, regulatory changes, and major deals, projects, and investments.
Understand the threats to your operations and investments and protect your company against future risks.
Gain insight into emerging trends that could support, strengthen, or disrupt your activities in the market.
Get a full view of the competitive landscape to assess your market position.
Utilize forecasts as a key input for successful budgeting and strategic business planning in the telecoms market.
Assess the activities, strategy, and market position of your competitors, partners, and clients.

The "Vietnam Telecoms Industry Report - 2023-2030" provides a comprehensive review of the Vietnamese market dynamics, market sizing, market forecasts, analysis, insights, and key trends.

For more information about this report visit https://www.researchandmarkets.com/r/b17el1

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SOURCE Research and Markets