1) Vietnam's mobile internet and smartphone gaming market has grown rapidly in recent years, with smartphone users increasing almost 4-fold to 18 million between 2012 and 2014. 2) The mobile game market is expected to reach $210 million in 2014, growing 75% over the previous year. Smartphone games will account for 79% of this market. 3) Casual games currently make up the largest share of the mobile gaming market in Vietnam at 23.6% as of May 2014. Card and board games are the second largest genre. 4) Cheap Android devices starting at $120 have driven adoption of smartphones in Vietnam, with Android making up over 70% of devices as of May 2014.

1. VIETNAM MOBILE INTERNET 2014 –
A focus in smartphone game and
comparison to Chinese market
Hoài Nam （怀南）
July 19, 2014
1

2. Vietnam: A Quick Look At End of 2013
2
92.5M
Population
36.1M
Internet Users
20M
Active Facebook Users
134M
Active Mobile Subscription
Ranked 13 of 228 countries
Penetration rate 39%
Facebook Penetration 21.6%
Mobile Subscription Penetration 145%
18M
Smartphone Users
Smartphone Penetration 19.5%

3. May-2012 May-2014
Number of smartphones 6M 22M
Number of OTT users WeChat + LINE < 1M Zalo, LINE, Viber > 10M
Smartphone games publishers Less than 10 At least 50
Smartphone game market size Less than $1M monthly More than $10M monthly
What Changed In The Last 2 Years
3
Within 2 years, the number of devices has grown almost 4 folds. So has grown rapidly
OTT applications and smartphone games market.

4. Vietnam Mobile Game Market
4
1.5
5
8
18
28
32
35
38233%
60%
125%
56%
14% 9% 9%
0
5
10
15
20
25
30
35
40
2010 2011 2012 2013 2014 2015 2016 2017
Number of smartphone user yoy growth rate
(mil users)
Number of Smartphone User in Vietnam
125% growth, reached 18M at the end of 2013!!! Expected to reach 28M with 56% growth
at the end of 2014. The growing speed is likely to slow down in following years as it has
covered most accessible and affordable users.

5. Vietnam Mobile Game Market
5
80
209
382
416
466
509
549
592
161%
83%
9% 12% 9% 8% 8%
0
100
200
300
400
500
600
700
2010 2011 2012 2013 2014 2015 2016 2017
Number of smartphone user Y-o-y growth rate
(mil users)
(Source: eMarketer 2014)
Similar Pattern With China
The growth of smartphone users in Vietnam is very similar to the pattern of China but only 2
year later!!! Cheap Android devices provided by domestic brands has been the drive-force in
China. The same in Vietnam now.

6. 6
3G Mobile Subscriber in Vietnam
38.1%
30.7%
28.5%
2.7%
MobiFone
Viettel
VinaPhone
VietnamMobile
12.75M
3G mobile subscribers
who actually used bandwidth
in July-2013
MobiFone has the biggest share
with 38.1%
Source: Vietnam Information and Telecommunication Ministry, July-2013

7. Country 3G Data Plan Price
Japan
53$US
(unlimited packet – Softbank)
China
56$US
(9GB packet – China Unicom)
Indonesia
25$US
(3GB packet, speed-max 1Mbps)
Thailand
52$US
(10GB packet, speed-max 384Kpbs, TrueMove)
Vietnam
10$US
(3GB fast + no extra fee + speed-max 7.2Mbps, Viettel)
7
3G Data Plan Comparison
3G Data Plan in Vietnam is much cheaper than other countries. The speed is 10-20X
times higher than neighbor countries like Indonesia and Thailand. A good condition
for mobile internet service to prosper.

8. 8
Where are 3G Mobile Internet Users?
Most 3G mobile internet users are
concentrated in Ha Noi, Ho Chi Minh.
Considerable number of them are in 2-tier
cities in Delta-river zone and Mekong-river
zones and Da Nang.
A small amount of users from small cities
and town across the coast.
Source: opensignal.com

9. 15.5M, 70.5%
3.3M, 14.8%
2.1M, 9.5%
1.2M, 5.2%
Android
iOS
Windows Phone
Others
(source: Mwork, May-2014)
9
What Kind Of Smartphone Devices?
70.5%
is Android
until May-2014. Android takes the majority for existing
active smartphones in Vietnam. Second is iOS and
Windows Phone come next. It is not surprise if Android
will maintain or increase its share in coming years.

10. (source: IDC)
$702 $710
$686
$650 $657
$441
$380
$320
$276 $254
0
100
200
300
400
500
600
700
800
2010 2011 2012 2013 2014(e)
iOS Android
10
Android Is Cheaper and Cheaper
The average sold price of a new Android device has steadily
decreased toward $200-$250 zone while iOS maintain at $650-
$700. No wonder why so many Android!!!
2.6X
Android is cheaper
than iPhone

11. 11
Number of New Sold Devices
in Aug-2013. Among them, 65.7% of that are Android. Windows
Phone comes second with 19.5%. ASHA of NOKIA stills has its
share but declining softly.
Source: gfk 2013
586K
new sold

12. (source: Appota)
12
Waves of Cheap Android Smartphone
Since Feb-2014, Nokia started to sell Nokia X of Android OS at
superbly affordable price in Vietnam. Very well sold. Samsung, LG,
Asus, HTC … also have new Android models with the price lower
than $130.
120$
LG Optimus L1 II
Samsung Galaxy Y
Asus ZenFone 4
HTC Desire 200
Samsung Galaxy Trend Lite
Mobel S58
Nokia X
Popular cheap Androids

13. 61.2%
4.6%
13.5%
5.2%
15.5%
Jelly Bean
KitKat
Ice Scream Sandwitch
GingerBread
Others
(source: Appota, Dec-2013)
13
Android Devices by OS Version
61.2%
of existing Android devices
are Jelly Bean until Dec-
2013

14. (source: Appota)
7.7%
32.3%
5.5%
11.7%
29.4%
13.4%
iOS 7.1
iOS 7.0.4
iOS 6.0.X
iOS 5.1.X
iOS 6.1.X
Others
14
iPhone Devices by OS Version
32.3%
of existing iOS devices
are iOS 7.0.4 until Dec-
2013

15. Mobile Game Market
15

16. Vietnam Mobile Game Market
16
(mil USD)
Vietnam Mobile Game Market
20
60
120
210
310
360
410
50%
100%
75%
48%
16% 14%
0%
20%
40%
60%
80%
100%
120%
-
50
100
150
200
250
300
350
400
450
2011 2012 2013 2014(e) 2015(e) 2016(e) 2017(e)
Market Size yoy growth rate
Vietnam Mobile Game Market will reach $210M at the end of
2014, grow 75% comparing to previous year. The growing
speed will decrease in following years and reach $410M in 2017.
$210M
in 2014
(source: Mwork)

17. Vietnam Mobile Game Market
17
(mil USD)
Vietnam Mobile Game Market
3%
17%
61%
79%
90%
96% 98%
0%
20%
40%
60%
80%
100%
120%
0
50
100
150
200
250
300
350
400
450
2011 2012 2013 2014(e) 2015(e) 2016(e) 2017(e)
Feature Phone Smartphone Smartphone Percentage
The main drive-force of the expansion of mobile game market is
smartphone game. In 2014, 79% of the market share is forecast
to come from smartphone. From 2015, feature phone will account
for less than 10%.
79%
are from
smartphone
game in 2014
(source: Mwork)

18. 220
253
291
60
120
210
0 100 200 300 400 500 600
2012
2013
2014 (e)
PC Mobile
(mil USD)
18
PC vs Mobile Games Market
Thank to its rapid growing, mobile games market in 2014 will almost equal to PC-
based game market in term of market size in 2012.
(source: Mwork, Casual Connect Asia 2014)

19. 19
785 946 721 497 304 160 80
128
321
1,474
2,869
4,263
5,160
5,801
39%
73%
53%
36%
16%
11%
-
1,000
2,000
3,000
4,000
5,000
6,000
7,000
2011 2012 2013 2014(e) 2015(e) 2016(e) 2017(e)
Feature phone game revenue Smartphone game revenue yoy growth rate
(mil USD)
Mobile Game Market: the case of China
The same story happens in China. In 2014, it is forecasted that more than 85% of mobile
game revenue are from smartphone games. The growth rate peaked itself in 2013 with
73% growth rate and gradually decrease toward 11% per year in 2017.
(source: iResearch 2013)

20. Vietnam Mobile Game Market
20
4 10
50
60
15
30
150
250
0
50
100
150
200
250
300
2011 2012 2013 2014 (e)
Number of local game publishers Number of new game tittles
(source: Mwork)
Game Publishers and New Tittles
The market is growing but so the number of tittles. Not easy
game for all but the winners are promised to get big enough
rewards. The number of local game publishers does not increases
much, instead there will be the joining of foreign company who
directly publish to Vietnam market from overseas.
250
new game tittles
will be published
in 2014

21. 21
Market Share by Genre
3.8%
31.2%
11.3%
17.3%
23.4%
4.3%
8.7%
23.6%
6.1%
15.4%
17.8%
6.6%
24.3%
6.3%
0%
5%
10%
15%
20%
25%
30%
35%
Casual Card Battle SLG MMORPG Turn based RPG Card & Board Others
China Vietnam
It may amaze you but until May-2014, 23.6% of mobile games
revenue, including both feature phone and smartphone tittles, is
for casual games. As characteristic of casual games, even though
ARPU is lower, it can reach to a larger set of player. Avatar, Mobi
Army, Audition Mobile, Teen Teen and iGa contribute almost 70%
of the sector. Card & Board games hold the second big part with
24.3%. Card battles games are promising to increase its share in
2014.
23.6%
for casual games

22. 22
Major Mobile Gaming Companies

23. Vietnam Mobile Developers
23

24. 24
Overview
15,000 +
Developers
5,000 +
New Developers
112,765 +
Games/ Applications
34,000 +
New games/applications
70% Devs
Cross - Platform
30% Devs
One - Platform Source: Mobile vision, MMA

25. 25
What u want?
Source: GMGDC 2014

26. 26
Monetization

27. 27
Contact me!
Hoai Nam – Founder & Vice President
M: (+84) 90 692 8686
eM: marty@mwork.vn

28. 28