At a conference on October 4, organized by the Authority of Broadcasting and Electronic Information, discussions focused on the development and regulation of the broadcasting and pay-TV industry.

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Director Le Quang Tu Do shares positive insights about the pay TV service market in Vietnam. Photo: Trong Dat.

A positive market shift  

According to Le Quang Tu Do, Director of the Authority of Broadcasting and Electronic Information, the pay-TV market has shown more positive signs in 2024 compared to the previous year. The number of subscribers to OTT TV (Internet-based TV services) also saw rapid growth, rising by 33% from 5.6 million to 7.4 million subscribers.

Key performance indicators for the broadcasting industry have improved significantly, thanks to the concerted efforts of enterprises, support from the Pay-TV Association, and regulatory bodies.

However, the pay-TV industry in Vietnam still faces challenges related to pricing, copyright issues in the online space, music licensing fees, and tackling illegal advertisements for gambling and betting during sports events.

The Ministry of Information and Communications has been actively working with the Pay-TV Association and enterprises to resolve these issues and ensure a healthy, sustainable market environment.

Bui Huy Cuong, Deputy Director of the Service Management Department at Authority of Broadcasting and Electronic Information, provided a comprehensive overview of the pay-TV market in 2023, highlighting total revenue of VND 10,305 billion, a 3.8% increase compared to 2022.

Revenue from traditional pay-TV services reached VND 8,617 billion, a 3% growth, while the OTT TV sector generated VND 1,688 billion, marking an 8.3% rise. The pay-TV industry contributed about VND 1,000 billion to the state budget in 2023.

Adapting to global trends  

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An increasing number of Vietnamese users are switching to internet television services. Photo: Chi Hieu.

Experts at the Authority of Broadcasting and Electronic Information remarked that while Vietnam’s pay-TV market is moving in line with global trends, it is lagging by 5-6 years. Traditional services such as analog and digital cable, DTT, DTH, and mobile TV are seeing a decline, while IPTV and OTT TV services are on the rise.

OTT TV is expected to become the dominant force in the pay-TV sector moving forward. The PTTH&TTĐT forecasts that while pay-TV revenue will continue to grow in 2024, the pace will slow to 2.8%. However, OTT TV services are expected to grow faster than traditional pay-TV offerings.

Given this trend, pay-TV service providers in Vietnam are encouraged to embrace global shifts, offer innovative services, and adapt to changing consumer habits.

The Authority of Broadcasting and Electronic Information advises pay-TV providers to leverage technology to reduce costs, tailor content to viewer preferences, and introduce targeted advertising strategies to boost appeal and revenue. Service packages should be designed to cater to specific audience segments, particularly younger viewers.

Regulatory bodies will continue to support enterprises by refining legal frameworks and policies to foster a conducive environment for business growth. The Authority of Broadcasting and Electronic Information also plans to streamline regulatory processes, implement digital transformation in service management, and promptly address violations.

Le Chi Cong, Vice President of the Pay-TV Association in Vietnam, noted that the market has been undergoing significant shifts, with audiences increasingly migrating to more convenient platforms.

“To remain competitive, the television industry must improve service quality, develop content, and adapt to changing viewer habits,” said Cong. He emphasized that maintaining positive growth and responding flexibly to market changes will require proactive and creative solutions from both enterprises and regulatory bodies.

Trong Dat