TV, video service providers need license to service Vietnam

Vietnam has made licensing mandatory for all subscription over-the-top/video-on-demand (OTT/VOD) service providers with a decree issued Monday.

Decree 71, which amends and supplements Decree 06 issued in 2016 on the management, provision and use of radio and television services, will take effect January 1, 2023, the same date as the 2022 Movies Law.

According to the Ministry of Information and Communications (MIC), which has issued the new decree, the new rules will create a level playing ground for both domestic and foreign OTT/VOD service providers, and will not add paperwork.

The decree rules that OTT/VOD service providers must obtain a pay TV license before providing services in the country.

News and breaking news programs as well as those on politics, national defense, security, economy and society must have their content produced and edited by press agencies having a license in radio and television operations.

Those who provide films for viewing must meet all pre-conditions that allow them to classify films in accordance with the government's regulations. They will be legally responsible for film classification results pursuant to criteria prescribed by the Ministry of Culture, Sports and Tourism.

Sports and entertainment programs should be edited and content classified before they are provided to the public. The editing should be based on principles, classifications and cautions prescribed by the MIC and other relevant laws.

Vietnam’s OTT market has been getting more and more crowded with both foreign and domestic service providers. Major providers of cross-border OTT television services include Amazon, Google, YouTube, Netflix, Iflix, WeTV, HBO and Apple.

According to the MIC's department of radio, television and electronic information, the domestic pay TV market has several foreign enterprises providing television services, with main content including movies, cartoons, sports, music, documentaries, TV series, reality TV shows, and TV games.

The revenue of pay TV services in the first half of 2022 is estimated at VND4,500 billion ($188.44 million), and that of the whole year is forecast at about VND9,300 billion ($389.45 million), according to the department.