|
Forecast Period
|
2026-2030
|
|
Market Size
(2024)
|
USD 822 Million
|
|
Market Size
(2030)
|
USD 2.1 Billion
|
|
CAGR
(2025-2030)
|
17.1%
|
|
Fastest Growing
Segment
|
Small Cell
|
|
Largest Market
|
Southern Vietnam
|
Market Overview
Vietnam 5G Infrastructure Market was valued at USD 822 Million in 2024 and is expected to reach USD 2.1 Billion in 2030 and project robust growth
in the forecast period with a CAGR of 17.1% through 2030. Vietnam's 5G
infrastructure market is experiencing significant growth, driven by several key
factors. The country's rapidly expanding digital economy, coupled with the
rising demand for high-speed connectivity and advanced telecommunications
services, has fueled investment in 5G infrastructure. Government initiatives
aimed at promoting digital transformation and enhancing technological
capabilities further support the development of 5G networks across Vietnam.
Telecom operators are aggressively deploying 5G infrastructure to meet the
increasing bandwidth requirements of consumers and businesses, driving
competition and innovation in the market. Moreover, partnerships between
domestic and international technology companies are facilitating the rollout of
5G networks, leveraging expertise and resources to accelerate deployment. As a
result, Vietnam's 5G infrastructure market presents lucrative opportunities for
stakeholders across the telecommunications ecosystem, poised to reshape the
country's digital landscape and support its economic growth trajectory.
Key Market Drivers
Rapid Digital
Transformation
Vietnam's 5G
infrastructure market is being propelled by the nation's rapid digital
transformation. As Vietnam transitions towards becoming a digital economy,
there is an increasing demand for high-speed connectivity and advanced
telecommunications services. This transformation is driven by various factors,
including the proliferation of smartphones, rising internet penetration rates,
and the growing adoption of digital technologies across industries. Businesses
are increasingly relying on digital platforms for operations, communication,
and customer engagement, creating a pressing need for robust and efficient
telecommunications infrastructure. 5G technology promises to revolutionize
connectivity by offering significantly higher speeds, lower latency, and
greater capacity compared to previous generations of wireless networks. As
organizations embrace digitalization to stay competitive in the global market,
the demand for 5G infrastructure in Vietnam continues to surge. As of January 2024, Vietnam had approximately 78.44 million internet users, representing an internet penetration rate of 79.1% of the total population.
Government
Initiatives and Policies
Government
initiatives and policies play a crucial role in driving the growth of Vietnam's
5G infrastructure market. Recognizing the strategic importance of 5G technology
for economic development, the Vietnamese government has been actively promoting
its deployment through various measures. These include the formulation of
policies to support the development of telecommunications infrastructure,
spectrum allocation for 5G deployment, and the establishment of regulatory
frameworks to facilitate investment in the sector. Additionally, the government
has launched initiatives to promote digital transformation across key sectors
such as manufacturing, agriculture, healthcare, and education, all of which
require robust 5G infrastructure to realize their full potential. By providing
a conducive regulatory environment and incentives for investment, the
government is paving the way for accelerated growth of the 5G infrastructure
market in Vietnam. Vietnam's digital economy accounted for over 12% of the national gross domestic product (GDP) in 2023, placing it in a similar range as Thailand and behind only Singapore and Malaysia within the ASEAN region.
Increasing
Bandwidth Requirements
Another
significant driver of the Vietnam 5G infrastructure market is the escalating
demand for bandwidth. With the proliferation of data-intensive applications
such as streaming services, cloud computing, virtual reality, and Internet of
Things (IoT) devices, traditional networks are struggling to keep pace with the
growing bandwidth requirements. 5G technology addresses this challenge by
offering significantly higher data speeds and capacity, making it well-suited
to support the burgeoning demand for bandwidth-intensive applications and
services. As businesses and consumers increasingly rely on data-heavy
applications for work, entertainment, and communication, the need for
high-speed, low-latency connectivity provided by 5G infrastructure becomes more
pronounced, driving investment in the market. In 2024, the Vietnamese government allocated approximately USD 500 million to upgrade telecommunications networks, focusing on 5G infrastructure development.
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Key Market Challenges
Infrastructure
Investment
The Vietnam 5G
infrastructure market is the need for substantial investment in infrastructure.
Deploying a nationwide 5G network requires significant capital expenditure,
including investments in building new base stations, upgrading existing
infrastructure, acquiring spectrum licenses, and deploying backhaul networks.
However, the high upfront costs associated with 5G deployment pose a challenge
for telecom operators, especially in a market where ARPU (Average Revenue Per
User) is relatively low. Additionally, the return on investment for 5G
infrastructure may not be immediate, further complicating investment decisions.
Moreover, Vietnam's geographical diversity, with densely populated urban areas
and remote rural regions, presents logistical challenges for infrastructure
deployment, requiring tailored solutions to ensure comprehensive coverage
across the country. Overcoming the challenge of infrastructure investment will
require collaboration between telecom operators, government bodies, and other
stakeholders to develop sustainable financing models, streamline regulatory
processes, and prioritize infrastructure development in underserved areas.
Spectrum
Availability and Allocation
The Vietnam 5G
infrastructure market is spectrum availability and allocation. Spectrum is a
finite resource, and the allocation of suitable frequency bands is essential
for the deployment of 5G networks. However, spectrum allocation in Vietnam is
subject to regulatory constraints, including limited availability of suitable
frequency bands and competition for spectrum resources from other industries
and services. Moreover, the process of spectrum allocation can be complex and
time-consuming, further delaying 5G rollout plans. Addressing the challenge of
spectrum availability and allocation requires proactive government policies to
identify and allocate spectrum bands suitable for 5G deployment, as well as
collaboration between telecom operators to optimize spectrum usage and mitigate
interference issues.
Regulatory
Environment
The regulatory
environment presents another significant challenge for the Vietnam 5G
infrastructure market. Regulatory frameworks govern various aspects of 5G
deployment, including spectrum allocation, infrastructure sharing, licensing
requirements, and data privacy regulations. However, regulatory uncertainty and
inconsistency can hinder investment and deployment efforts, as telecom
operators navigate complex legal and regulatory landscapes. Additionally,
stringent regulations or bureaucratic red tape may slow down the pace of
infrastructure deployment, delaying the rollout of 5G networks and hindering
market growth. To address this challenge, policymakers need to create a clear
and conducive regulatory environment that promotes investment, innovation, and
competition in the 5G infrastructure market while ensuring compliance with
relevant laws and regulations.
Security
Concerns
Security
concerns represent a critical challenge for the Vietnam 5G infrastructure
market. As 5G networks become increasingly interconnected and support a wide
range of critical applications and services, they also become more vulnerable
to cyber threats and attacks. The inherent complexity of 5G networks, coupled
with the proliferation of connected devices and the sheer volume of data
transmitted over these networks, creates new avenues for cyber attackers to
exploit vulnerabilities and compromise network security. Moreover, the
involvement of multiple stakeholders, including equipment vendors, telecom
operators, and government agencies, further complicates the security landscape,
requiring coordinated efforts to address potential risks and vulnerabilities.
To mitigate security concerns, stakeholders need to prioritize cybersecurity
measures, including implementing robust encryption protocols, conducting
regular security audits and assessments, and fostering collaboration between
industry players and cybersecurity experts to identify and address emerging
threats.
Key Market Trends
IoT Integration
A prominent trend shaping the Vietnam 5G
infrastructure market is the integration of Internet of Things (IoT) devices
and applications. As 5G technology offers significantly higher data speeds,
lower latency, and greater capacity compared to previous generations of
wireless networks, it enables seamless connectivity for a vast array of IoT
devices, ranging from smart sensors and wearables to connected vehicles and
industrial machinery. This trend is driving demand for 5G infrastructure
capable of supporting massive machine-type communications (mMTC) and
ultra-reliable low-latency communications (URLLC), essential for powering IoT
applications in diverse sectors such as smart cities, agriculture, healthcare,
manufacturing, and transportation. With Vietnam's increasing emphasis on
digitalization and smart technology adoption, the integration of IoT devices
and applications into 5G networks is expected to accelerate, driving market
growth and innovation in the coming years. As of January 2025, Vietnam Posts and Telecommunications Group (VNPT) extended 5G coverage to 63 provinces and major airports, serving around 3 million users.
Edge Computing
Another significant trend in the Vietnam
5G infrastructure market is the adoption of edge computing technologies. Edge
computing involves processing data closer to the source of generation, reducing
latency and bandwidth requirements by offloading processing tasks from
centralized data centers to edge devices located closer to the end-users. With
the proliferation of data-intensive applications and the increasing demand for
real-time processing and analytics, edge computing is becoming increasingly
important in 5G networks. By leveraging edge computing capabilities, telecom
operators and service providers can deliver low-latency, high-bandwidth
services such as augmented reality (AR), virtual reality (VR), gaming, and
video streaming over 5G networks. This trend not only enhances user experience
but also enables new use cases and applications that require ultra-low latency
and high reliability, driving demand for edge-enabled 5G infrastructure in
Vietnam.
Network Slicing
Network slicing is emerging as a key
trend shaping the Vietnam 5G infrastructure market. Network slicing involves
partitioning a single physical network into multiple virtual networks, each
tailored to specific use cases, applications, or customer requirements. This
allows network operators to allocate network resources dynamically, optimizing
performance, and quality of service for different services and applications. In
the context of 5G networks, network slicing enables operators to offer
customized services with varying performance characteristics, such as enhanced
mobile broadband (eMBB), massive machine-type communications (mMTC), and
ultra-reliable low-latency communications (URLLC). This trend is driving demand
for flexible and scalable 5G infrastructure capable of supporting network
slicing capabilities, enabling operators to meet the diverse needs of their
customers and efficiently monetize their network assets in Vietnam's dynamic
telecommunications market.
Industry Collaboration
Industry collaboration is becoming
increasingly prevalent in the Vietnam 5G infrastructure market. As the
deployment of 5G networks requires substantial investment, expertise, and
resources, telecom operators, equipment vendors, government agencies, and other
stakeholders are forming strategic partnerships and alliances to accelerate
network rollout and drive innovation. Collaborative initiatives may include
joint R&D projects, technology trials, infrastructure sharing agreements,
and ecosystem partnerships aimed at developing and commercializing 5G-enabled
services and applications. By leveraging the complementary strengths and
resources of multiple stakeholders, industry collaboration can help overcome
common challenges such as infrastructure investment, spectrum allocation, and
regulatory compliance, fostering a more vibrant and competitive 5G ecosystem in
Vietnam.
Vertical Industry Adoption
Vertical industry adoption of 5G
technology is gaining momentum in Vietnam. As the benefits of 5G networks
become increasingly apparent, vertical industries such as manufacturing,
healthcare, education, transportation, and agriculture are exploring ways to
leverage 5G technology to improve operational efficiency, enhance customer
experiences, and drive innovation. For example, manufacturing companies may
deploy 5G-enabled IoT devices and real-time monitoring systems to optimize
production processes and enable predictive maintenance, while healthcare
providers may use 5G networks to deliver remote patient monitoring,
telemedicine, and surgical assistance services. This trend is driving demand
for tailored 5G solutions and industry-specific applications, spurring
collaboration between telecom operators, technology vendors, and vertical
industry players to develop and deploy innovative use cases that address the
unique requirements of different sectors. As vertical industry adoption of 5G
technology continues to grow, it is expected to drive significant demand for 5G
infrastructure in Vietnam, fueling market expansion and diversification.
Segmental Insights
Core
Network Technology Insights
Mobile Edge Computing (MEC) emerged as the dominant
core network technology segment in the Vietnam 5G infrastructure market, and it
is expected to maintain its dominance during the forecast period. MEC plays a
crucial role in 5G networks by bringing computational resources closer to the
edge of the network, enabling low-latency and high-bandwidth applications and
services. With MEC, data processing and storage tasks are offloaded from
centralized data centers to edge servers located closer to end-users, reducing
latency and enhancing user experience for real-time applications such as
augmented reality (AR), virtual reality (VR), gaming, and video streaming. As
Vietnam embraces digital transformation and the adoption of 5G technology
accelerates, the demand for low-latency, high-bandwidth applications is
expected to surge, driving the dominance of MEC in the 5G infrastructure
market. Additionally, MEC enables innovative use cases and services in various
industries, including smart cities, autonomous vehicles, healthcare, and
industrial automation, further solidifying its position as the leading core
network technology segment in Vietnam's 5G infrastructure market. As the
deployment of 5G networks continues to expand and demand for edge computing
capabilities grows, MEC is poised to remain at the forefront of Vietnam's 5G
infrastructure landscape, driving innovation, and powering the country's
digital economy.
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Regional Insights
Largest Region
Southern Vietnam as the dominant
region in the Vietnam 5G infrastructure market, and it is expected to maintain
its dominance during the forecast period. Several factors contribute to the
dominance of Southern Vietnam in the 5G infrastructure market. Firstly,
Southern Vietnam, particularly Ho Chi Minh City, serves as the economic and
technological hub of the country, attracting significant investments in
infrastructure development, including telecommunications. As a result, telecom
operators have prioritized the deployment of 5G networks in urban centers and
metropolitan areas in Southern Vietnam to cater to the high population density
and growing demand for high-speed connectivity. Moreover, Southern Vietnam is
home to key industries such as manufacturing, finance, and technology, which
are early adopters of 5G technology for applications such as industrial
automation, smart cities, and financial services. Additionally, Southern
Vietnam benefits from strong government support and regulatory incentives aimed
at promoting digital transformation and infrastructure development in the
region. As 5G adoption continues to expand and demand for advanced connectivity
solutions grows, Southern Vietnam is expected to maintain its leadership
position in driving the growth and adoption of 5G infrastructure, further
solidifying its dominance in the Vietnam 5G infrastructure market.
Emerging Region
In 2024, Northern Vietnam emerging as a key growth region in the Vietnam 5G Infrastructure Market in 2024 due to a combination of economic development, strategic government initiatives, and rapid urbanization. The region, which includes the capital city Hanoi, has become a hub for industrial expansion, smart city projects, and technological innovation. Government-backed infrastructure programs and favorable policies have accelerated 5G rollout in key northern provinces to support digital transformation and attract foreign investment, particularly in high-tech zones and manufacturing clusters. Hanoi, being the political and economic center, has seen significant 5G trials and commercial deployments, driven by the need for advanced connectivity in public services, transportation, and education. The presence of leading telecom operators and technology firms in the region has further propelled the expansion of 5G infrastructure, including base station installations, fiber backhaul development, and spectrum allocation. Northern Vietnam's growing ecosystem of smart factories, logistics hubs, and innovation centers relies heavily on ultra-low latency and high-bandwidth 5G connectivity, boosting demand for robust and scalable network solutions. Additionally, increased adoption of technologies such as IoT, AI, and automation in the manufacturing and services sectors is fueling the need for Mobile Edge Computing and private 5G networks. With Hanoi positioned as a pilot area for national digital transformation, public-private partnerships are accelerating the region’s readiness for 5G-enabled applications, including smart traffic management, healthcare solutions, and remote education platforms. Educational institutions and R&D centers in Northern Vietnam are also contributing to the region’s 5G growth by fostering innovation and talent development in telecommunications and related fields. The region's expanding middle class and tech-savvy population further support consumer demand for enhanced mobile services, streaming, and immersive digital experiences. As Northern Vietnam continues to lead in 5G infrastructure development and application integration, it is expected to maintain its momentum throughout the forecast period, establishing itself as a vital contributor to Vietnam’s digital economy and 5G ecosystem.
Recent Developments
- In February 2023, Nokia announced the
extension of its partnership with IT infrastructure firm Kyndryl for an
additional three years. The joint statement issued by both companies
highlighted their commitment to collaborating on the development and provision
of LTE, 5G private wireless services, and Industry 4.0 solutions to clients.
This extension underscores the continued dedication of Nokia and Kyndryl to
delivering advanced telecommunications and digital transformation solutions to
meet the evolving needs of their customers.
- In March 2024, Vietnam has commenced its highly anticipated 5G spectrum auction, open to all telecom operators. The initial auction, held on March 7, featured the B1 2500-2600 MHz band, with additional auctions for other bands forthcoming. This strategic initiative aims to accelerate the digital transformation across Vietnam's industries, ushering in an era of enhanced productivity and efficiency.
- In Feb 2024, Cisco and TELUS have partnered to deploy a 5G standalone (SA) network, aiming to transform connected vehicle experiences and unlock new revenue opportunities for car manufacturers. The advanced 5G SA infrastructure enables ultra-low latency, enhanced security, and greater network reliability—crucial for next-generation automotive applications. This collaboration marks a significant step toward enabling real-time data processing, vehicle-to-everything (V2X) communication, and autonomous driving innovations, reinforcing both companies’ commitment to accelerating digital transformation in the automotive sector.
- In Nov 2024, Cisco and NTT DATA have announced a strategic partnership to deliver simplified, secure 5G connectivity to the global mobile workforce. By integrating Cisco’s cloud-managed private 5G technology with NTT DATA’s managed services and global reach, the collaboration aims to enhance workforce productivity, mobility, and secure access to business-critical applications. This joint solution supports enterprise digital transformation by enabling seamless, scalable 5G access across industries, reinforcing both companies’ commitment to innovation and customer-centric connectivity solutions worldwide.
- In March 2025, Fujitsu has unveiled a groundbreaking 5G network technology that significantly reduces power consumption and enhances operational efficiency. Developed in collaboration with telecom operators, the solution leverages advanced AI and virtualization to optimize network performance and sustainability. By intelligently controlling network resources, Fujitsu aims to support greener 5G deployments while meeting growing data demands. This innovation underscores Fujitsu’s commitment to environmental responsibility and technological advancement in the global telecommunications landscape, aligning with broader goals for carbon neutrality and digital transformation.
Key Market Players
- Huawei Technologies Co., Ltd.
- Nokia Corporation
- Ericsson AB
- Samsung Electronics Co., Ltd.
- ZTE Corporation
- Cisco Systems, Inc.
- Qualcomm Technologies, Inc.
- Intel Corporation
- Fujitsu Limited
- Verizon Communications Inc.
|
By Communication Infrastructure
|
By Core Network Technology
|
By Application
|
By Region
|
- Small Cell
- Macro Cell
- Radio Access Network (RAN)
- Distributed Antenna System (DAS)
|
- Software-Defined Networking (SDN)
- Network Function Virtualization (NFV)
- Mobile Edge Computing (MEC)
- Fog Computing (FC)
|
- Automotive
- Healthcare
- Energy &
Utilities
- Retail
- Others
|
- Southern Vietnam
- Northern Vietnam
- Central Vietnam
|
Report Scope:
In this report, the Vietnam
5G Infrastructure Market has been segmented into the following categories,
in addition to the industry trends which have also been detailed below:
- Vietnam
5G Infrastructure Market, By Communication Infrastructure:
o Small Cell
o
Macro
Cell
o
Radio
Access Network (RAN)
o
Distributed
Antenna System (DAS)
- Vietnam
5G Infrastructure Market, By Core Network Technology:
o Software-Defined Networking (SDN)
o Network Function Virtualization (NFV)
o Mobile Edge Computing (MEC)
o Fog Computing (FC)
- Vietnam
5G Infrastructure Market, By Application:
o Automotive
o Healthcare
o Energy & Utilities
o Retail
o Others
- Vietnam
5G Infrastructure Market, By Region:
o Southern Vietnam
o Northern Vietnam
o Central Vietnam
Competitive Landscape
Company Profiles: Detailed analysis of the major companies
present in the Vietnam 5G Infrastructure Market.
Available Customizations:
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the given market data, Tech Sci Research offers customizations according to a
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Company Information
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profiling of additional market players (up to five).
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