VinSmart: The Rise and Fall of Vietnam's Smartphone Ambition

VinSmart: The Rise and Fall of Vietnam's Smartphone Ambition

The landscape of Vietnamese technology saw a bold entry in 2018 with the birth of VinSmart. Established as a venture to bring high-tech manufacturing to Vietnam, the company aimed to challenge the global smartphone market by leveraging strategic acquisitions and local production capabilities.

Founding and Infrastructure

VinSmart began its journey in 2018 following the acquisition of the BQ Company. To support its ambitious goals, the company established a robust operational footprint. Its head office was located at Vinhomes Riverside in the Long Biên District of Hanoi, Vietnam.

Manufacturing was scaled across two primary sites: the first factory was situated in the Cát Hải District of Haiphong, while a second facility was established at the Hoa Lac Hi-tech Park in the Thạch Thất District of Hanoi.

[ไม่มีภาพประกอบ]

Market Strategy and Accessibility

To penetrate the domestic market and increase smartphone adoption among the general public, VinSmart focused on affordability. In 2020, the company launched the VSmart Bee Lite, a smartphone priced at VND 600,000 (approximately US$26). This aggressive pricing was made possible through a subsidy cooperation with Viettel, a major Vietnamese telecommunications provider.

Industry Recognition and Awards

Despite its short lifespan, VinSmart achieved significant recognition within the domestic tech scene. At the Tech Awards 2020 in Vietnam, the company secured several prestigious accolades:

  • Best Vietnamese Phone Brand: Awarded to VinSmart for its overall brand impact.
  • Product Innovation Award: Won by the Vsmart Aris Pro for leading Vietnamese technology trends.
  • Best Feature Phone Award: Awarded to the Vsmart Live 4.

The Decision to Exit

On May 9, 2021, VinSmart announced the cessation of its smartphone manufacturing operations, bringing its three-year journey to a close. The decision was driven by a shift in strategic vision. Nguyen Viet Quang, the Vice President and CEO of Vingroup (the parent conglomerate), stated that smartphones and smart TVs no longer provided the breakthroughs or unique values for users that the company sought to create.

Key Facts

  • Founded: 2018 via the acquisition of BQ Company.
  • Headquarters: Long Biên District, Hanoi, Vietnam.
  • Manufacturing Hubs: Cát Hải District (Haiphong) and Hoa Lac Hi-tech Park (Hanoi).
  • Budget Milestone: Launched the VSmart Bee Lite for VND 600,000 in partnership with Viettel.
  • Operational Duration: 3 years (2018–2021).
Product/Brand Key Achievement/Feature Award/Context
VinSmart Brand Market Presence Best Vietnamese Phone Brand (2020)
VSmart Aris Pro Tech Trend Leadership Product Innovation Award (2020)
VSmart Live 4 Feature Phone Excellence Best Feature Phone Award (2020)
VSmart Bee Lite Affordability (VND 600,000) Market Popularization

Frequently Asked Questions

How was VinSmart established?

VinSmart was founded in 2018 after the acquisition of the BQ Company, with its headquarters based in Hanoi, Vietnam.

What was the VSmart Bee Lite?

The VSmart Bee Lite was an ultra-affordable smartphone priced at VND 600,000 (US$26), subsidized by Viettel to make smartphone technology accessible to more Vietnamese citizens.

Which awards did VinSmart win in 2020?

VinSmart won the Best Vietnamese Phone Brand award, while the Vsmart Aris Pro received the Product Innovation Award and the Vsmart Live 4 was named the best feature phone.

Why did VinSmart stop making smartphones?

According to Vingroup CEO Nguyen Viet Quang, the company stopped production because smartphones and smart TVs were no longer delivering the breakthroughs or unique values the company aimed to provide to users.

Where were VinSmart's factories located?

The company operated two factories: one in the Cát Hải District of Haiphong and another in the Hoa Lac Hi-tech Park in the Thạch Thất District of Hanoi.

References

  1. VINSMART VinGroup
  2. VINSMART KHÁNH THÀNH TỔ HỢP NHÀ MÁY SẢN XUẤT THIẾT BỊ ĐIỆN TỬ THÔNG MINH GIAI ĐOẠN 1 VG 23-11-2019
  3. Insider, Vietnam (2020-11-16). "VinGroup Plans To Popularize Smartphone For Vietnamese Users by Launching Vsmart Bee Lite". Vietnam Insider. Retrieved 2021-01-08.
  4. Tuấn Hưng - Châu An (2021-01-09). "Samsung và VinSmart thắng lớn tại Tech Awards 2020". VnExpress. Retrieved 2021-01-09.
  5. Châu An (2021-01-09). "11 sản phẩm công nghệ sáng tạo 2020". VnExpres. Retrieved 2021-01-09. Vsmart Aris Pro được đánh giá cao khi là smartphone Việt Nam đầu tiên và là smartphone thứ hai trên thế giới có camera ẩn dưới màn hình. Bên cạnh đó, sản phẩm còn tích hợp chip bảo mật lượng tử Quantum QRNG từ ID Quantique (Thụy Sĩ) và công nghệ khóa xác thực FIDO2