VietNamNet Bridge – Vietnam is expected to have one smart phone user in every four citizens, increasing the number of smartphones in use in the local market to 20 million units next year, according to market research and consulting company Spire.

A promoter shows off a Q-Mobile smartphone. Vietnam is expected to have one smart phone user in every four citizens next year.

Aditya Teja Laksana, a senior cell phone and mobile device expert of Spire, said that the local cell phone market will reach double-digit growth thanks to strong consumption of smartphones.

Consumers have strongly shifted from normal cell phones to smartphones. At present, normal phone users account for 77% of the total, compared to 23% of smartphone users. However, the ratio will increase fast, Aditya insists.

Spire estimates that there will be one smartphone user per four citizens in 2014. Smartphones now contribute around 77% of the total revenue of the market and the figure will rise to 82% in 2014 and 2015.

Earlier, market research company GfK expected that Vietnam would consume around 17 million mobile phones this year, including around seven million smartphones.

Explaining the strong growth, Spire said consumers have shifted to using smartphones to connect to social networks, access the Internet and digital entertainment. In addition, smartphone prices have also fallen considerably.

Budget smartphones are priced at less than US$250 each and mid-segment products are from US$251-400 each. Smartphone prices will fall next year and the mid-segment will witness the toughest competition.

Source: SGT