Cellphone Use Explodes in Vietnam
By wchung | 25 Mar, 2026

Vietnam will import $1 billion worth of mobile phones in 2010, estimates the Ministry of Industry and Trade. Mobile phones will become such a high percentage of the nation’s total imports that it is blamed for Vietnam’s high trade deficit, prompting government measures to restrict imports of high-end phones.

Over 10 million mobile phones were sold in Vietnam last year. Twelve million are expected to be sold in 2010. That would come out to more than one new phone for every seven Vietnamese. The cell phone boom is attributed to sharp service-fee declines brought about by intensifying price competition among the nation’s three main mobile phone services — Viettel, MobiFone and VinaPhone. Since 2009 MobiFone and VinaPhone have challenged Viettel’s longstanding leadership by setting fees to stay 10 dong/minute lower than Viettel’s. The latest round of price cuts have brought down inner-network call rates MobiFone’s rates to 880 dong per minute for intra-network calls. Inter-network call rates have fallen to 980 dong per minute.

Vietnamese telecoms are providing services at 4 cents (800 dong) per minute due to many simultaneous promotional campaigns, according to industry analyst Frost & Sullivan. The price war is expected to have a long-term negative effect on Vietnam’s market by slowing revenue growth and cutting investment capital.

Vietnamese don’t change their phones as frequently as consumers in Hong Kong, Taiwan or South Korea, but they are often seen using two or more mobile phones at the same time. The number who buy new phones every six months or a year has been increasing significantly. There has also been strong interest in new smart phones. Recently long lines were seen in Hanoi, HCM City and Da Nang when the iPhone 4 went on sale.