Vietnam’s fixed broadband service revenue is expected to rise from US$1.36bn in 2020 to US$1.48bn in 2025, at a compound annual growth rate (CAGR) of 1.8%, driven by increase in fiber optics connections across residential and business segments, according to GlobalData, a leading data and analytics company.

According to GlobalData’s Vietnam Fixed Communications Forecast Pack, the growth in broadband service revenue can be attributed to the robust growth in fiber-to-the-business (FTTB) and fiber-to-the-home (FTTH) connections, which are forecasted to grow at a CAGR of 13.5% and 4.1%, respectively, during the forecast period (2020-2025).

Akash Jatwala, Research Analyst of Telecoms Market Data & Intelligence at GlobalData, says: “Fiber optic lines will account for a majority share of 68.52%% of the total fixed broadband lines in 2020 and will continue to rise to 81% of the total fixed broadband lines in 2025, backed by the rising demand for higher-speed broadband connectivity during COVID-19 times to support work from home, higher OTT consumption, investment in digital health infrastructure, and faster deployment of e-governance.”

VNPT is the leading operator in the Vietnam’s fiber optics market with 34% market share in 2020 and will continue to dominate the market with about 37% of the market by the end of 2025.