Traditional Pay TV services are experiencing a downward trend, despite the rising popularity of Over-the-Top (OTT) content providers.

Vietnam's traditional pay TV broadcasters are grappling with a shifting landscape as Over-The-Top (OTT) television services gain popularity. According to recent reports, 22 out of 36 licensed pay TV service providers are now operating in the OTT television sector [1].

The challenges facing traditional pay TV broadcasters include a decline in subscribers and revenue. In the first half of 2025, the number of pay TV subscribers dropped by 2.28% to 20.52 million, while revenue fell by 2.4% to about VNĐ4.88 trillion [1].

Intense competition and shifting consumer trends are also contributing to these challenges. OTT platforms, although not legally permitted to offer pay TV services under existing regulations, have rapidly gained momentum. This shift reflects a growing preference for digital and on-demand content delivery over traditional broadcast models [1].

Regulatory enforcement issues are another challenge. Enforcement of regulations prohibiting OTT platforms from offering pay TV services remains limited, contributing to a regulatory grey area that challenges traditional broadcasters' market share and business models [1].

Traditional broadcasters are under pressure to adapt to digital platforms and innovate to retain competitiveness. The pay TV sector's modest revenue growth overall masks significant declines experienced by major broadcasters [1][3].

For instance, VTV, one of Vietnam's largest broadcasters, earned only VNĐ3.64 trillion last year, down 12.3% compared to 2023. Other broadcasters like Ho Chi Minh City Television (HTV) and both VTVcab and SCTV also experienced declines [1].

Cross-border platforms such as Netflix, Amazon TV, Apple, WeTV, iQIYI, and MangoTV are causing an uneven playing field in the current OTT market in Vietnam. For example, Netflix was required to take down certain TV shows and is now only allowed to stream films under a licensed film distribution model in Vietnam [1]. Similarly, iQIYI was compelled to remove all non-film content and is no longer permitted to offer radio or pay TV services in Vietnam [1].

The radio-television sector ended last year with a modest revenue increase of 1.7%, reaching VNĐ12.5 trillion. However, the growth in OTT subscriber numbers did not keep pace with revenue growth, indicating intense price competition among OTT providers to maintain market share [1].

The MCST issued and revoked numerous broadcasting, television, and electronic information licences in the first half of this year. Four new radio licences and five television licences were issued, along with dozens of licences for editing and registering programme channels. However, five TV operation licences, 13 domestic channel production licences, and 18 foreign programme editing licences were revoked [1].

In summary, traditional pay TV broadcasters in Vietnam are challenged by subscriber and revenue declines driven by consumer shifts toward OTT services, regulatory enforcement gaps, and the imperative to digitally transform amid rapidly evolving content consumption habits [1][3]. The growth of OTT services in Vietnam is reshaping the media landscape, and traditional broadcasters must adapt to remain competitive.

[1] [Source] [3] [Source]

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Traditional Pay TV services are experiencing a downward trend, despite the rising popularity of Over-the-Top (OTT) content providers.