Vietnam Video Game Market Outlook to 2030

Vietnam Video Game Market Overview

• The Vietnam video game market is valued at USD 450 million. This market size is driven primarily by the increasing adoption of mobile gaming, the surge in internet penetration, and the growing popularity of esports. The rapid rise of smartphones, particularly in urban areas, has made mobile gaming the dominant form of entertainment.
• In terms of regional dominance, Ho Chi Minh City and Hanoi lead the market. These cities dominate due to their higher purchasing power, urbanization, and advanced digital infrastructure. The concentration of tech-savvy youth in these cities also contributes to the high demand for gaming content, especially in the mobile and esports segments.
• The government has invested in educational programs and tech incubators focused on game development to enhance local capabilities. By 2025, these initiatives are expected to produce a more skilled workforce, with a goal of increasing the share of locally developed games in the market.

Vietnam Video Game Market Segmentation

By Platform Type: The market is segmented by platform type into mobile games, PC/console games, browser games, and cloud games. Recently, mobile games have maintained a dominant market share in Vietnam due to the country's high smartphone penetration and affordable mobile data. Mobile games offer convenience, accessibility, and a wide variety of genres that cater to casual and hardcore gamers alike.

By Game Genre: The market is further segmented by game genre into action games, role-playing games (RPGs), strategy games, casual and puzzle games, and sports and simulation games. Action games currently dominate the market in terms of genre. Their popularity is driven by the high engagement and entertainment value they offer. Titles like Call of Duty Mobile and League of Legends attract a large audience due to their competitive nature, multiplayer features, and vibrant esports ecosystems.

Vietnam Video Game Market Competitive Landscape

The market is dominated by a mix of local and global players, with leading companies like VNG Corporation, Garena, and Appota. The market exhibits strong consolidation, as these key players continue to influence market trends, particularly in the mobile gaming and esports sectors.

Vietnam Video Game Market Analysis

Market Growth Drivers

• Expanding Mobile Gaming Sector: The number of mobile gamers driven by affordable smartphones and low-cost data plans. The rising availability of mobile phones in both urban and rural areas is expected to push the number of mobile gamers to over 50 million by 2025. With games accounting for over 60% of app downloads on mobile platforms, the sector is experiencing rapid growth, supported by increasing internet penetration of over 73 million users.
• Esports Popularity and Investments: Vietnam has a substantial esports player base, with 18 million out of 40 million gamers actively participating in esports events. By 2025, this number is forecasted to grow as investment from both domestic and foreign companies intensifies. Esports games are now among the most downloaded in the country, supported by large-scale tournaments and a growing culture of competitive gaming.
• Foreign Game Developers' Interest: Around 80% of games consumed in Vietnam come from international developers, primarily from China and Korea. Due to the country's young population and gaming culture, foreign game publishers are increasingly investing in joint ventures with local developers to expand their presence. By 2025, Vietnam is set to attract even more foreign investment, partly due to relaxed publishing regulations.

Market Challenges

• Piracy and Intellectual Property (IP) Concerns: Vietnam's game industry continues to struggle with piracy and IP violations. Around 30% of games accessed in the country are pirated, which affects both domestic and international developers. Stricter enforcement of IP laws will be crucial in the coming years to attract global developers.
• Regulatory Hurdles for Foreign Investors: Although Vietnam has relaxed some regulations, foreign companies are still required to enter joint ventures, holding no more than 49% ownership in game development businesses. This complex licensing process, particularly for G1 games, remains a challenge, affecting the pace at which new games enter the market.

Vietnam Video Game Market Future Outlook

Over the next five years, the Vietnam video game industry is expected to experience strong growth driven by increasing mobile adoption, the rise of esports, and improved internet infrastructure. The government's push to digitalize rural areas will further expand the reach of mobile gaming.

Future Market Opportunities

• Increased Investment in Cloud Gaming: By 2027, cloud gaming is expected to gain traction in Vietnam due to improved 5G infrastructure and the increasing affordability of cloud services. Major players like Microsoft and Google are likely to invest heavily in cloud gaming platforms targeting Vietnam.
• Growth of VR and AR Gaming: Vietnam's VR and AR gaming market is projected to grow rapidly over the next five years, driven by technological advancements and the declining cost of VR hardware. By 2026, Vietnamese developers are expected to contribute to this segment, with local studios producing VR content for both domestic and international audiences.