Vietnam Digital Health Market Outlook to 2028

Vietnam Digital Health Market Overview

• The Vietnam Digital Health market is valued at USD 926 million, driven by several key factors, including the rapid advancement in healthcare technologies and increasing smartphone penetration across the country. Government initiatives to digitize healthcare systems and improve access to healthcare services have further propelled market growth.
• In Vietnam, cities like Hanoi and Ho Chi Minh City are at the forefront of the digital health revolution. These cities benefit from better infrastructure, higher internet penetration, and greater government support for health technology adoption. Ho Chi Minh City has seen increased investments from tech companies and healthcare providers looking to implement telehealth solutions and digital health records, driving their dominance in the market.
• Vietnams National Digital Transformation Program 2025, launched by the Ministry of Information and Communications, is a key initiative aimed at digitizing the countrys healthcare sector. The program allocates VND 30 trillion ($1.26 billion) to modernize healthcare infrastructure, including electronic health records (EHR), telemedicine services, and AI-driven healthcare solutions.

Vietnam Digital Health Market Segmentation

By Product Type: The market is segmented by product type into Telemedicine Platforms, Electronic Health Records (EHR), Health Information Systems (HIS), Mobile Health Apps, and Wearable Health Devices. Telemedicine platforms have captured a dominant market share due to their ability to bridge the healthcare accessibility gap in rural areas and reduce patient waiting times.

By Application: The market is further segmented by application into Remote Patient Monitoring, Clinical Workflow Management, Diagnostics and Consultations, Chronic Disease Management, and Health and Wellness Management. Remote patient monitoring dominates the application segment, driven by the increasing prevalence of chronic diseases such as diabetes and hypertension in Vietnam.

Vietnam Digital Health Market Competitive Landscape

The market is dominated by a combination of domestic tech firms and multinational companies, with strong government backing. Companies like Viettel Group and VinBrain (VinGroup) have pioneered digital healthcare initiatives, while international players like Microsoft and IBM have also made significant inroads.

Vietnam Digital Health Market Analysis

Market Growth Drivers

• Government Push for Digital Transformation in Healthcare: Vietnam's healthcare digital transformation is driven by a young, tech-savvy population, with more than half of individuals under 54 rapidly adopting new technologies. The government allocated VND 30 trillion ($1.26 billion) for healthcare digitalization in 2024, aiming for comprehensive electronic health records by 2025, enhancing service quality and access. This investment is focused on enhancing telemedicine services, digital health platforms, and integrating AI into medical services.
• Rising Incidence of Non-Communicable Diseases (NCDs): Vietnam is experiencing a surge in non-communicable diseases, such as cardiovascular diseases and diabetes. According to the Ministry of Health, in 2023, 12.5 million adults in Vietnam suffered from hypertension, and 3.5 million had diabetes. This increase in NCDs is driving the demand for digital health services like remote monitoring and telemedicine, which offer patients easier access to healthcare and ongoing management of chronic diseases.
• Aging Population Driving Healthcare Demand: Vietnam's aging population is significantly driving the need for enhanced healthcare services. By 2024, more than 11 million people in Vietnam were aged 60 and above, representing 11.86% of the total population, according to the General Statistics Office. As elderly individuals are more prone to chronic diseases, the demand for digital health solutions, such as home health monitoring devices and teleconsultation platforms, is increasing.

Market Challenges

• Lack of Digital Infrastructure in Rural Areas: Despite progress in urban areas, Vietnam's rural regions lag in digital health adoption due to underdeveloped infrastructure. According to the General Statistics Office, around 30% of rural healthcare centers still face connectivity challenges in 2024, hindering the rollout of telemedicine and other digital health initiatives. This digital divide creates barriers to equitable healthcare access for millions of rural residents and remains a challenge for the market.
• Limited Data Privacy and Cybersecurity Frameworks: The rapid digitization of Vietnams healthcare sector has raised concerns about data privacy and cybersecurity. In 2023, Vietnam reported over 7,000 cases of data breaches, affecting sensitive healthcare records. The current cybersecurity framework is insufficient to address the increasing complexity of digital health systems. The government has acknowledged the need to strengthen its cybersecurity measures, but until comprehensive regulations are implemented, this challenge will continue to hinder the growth of digital health adoption.

Vietnam Digital Health Market Future Outlook

Over the next five years, the Vietnam Digital Health industry is expected to witness substantial growth, driven by continuous government investments, advancements in healthcare technologies, and rising consumer demand for digital health solutions. Telemedicine platforms and wearable health devices are projected to see the highest growth, as both the public and private sectors seek to provide more accessible, real-time healthcare services to a rapidly aging population.

Future Market Opportunities

• Increased Integration of AI in Healthcare Services: Over the next five years, Vietnams digital health market is expected to see a significant increase in the use of AI for diagnostics and patient management. Hospitals will adopt AI-powered tools for faster and more accurate diagnoses, particularly in radiology and pathology. The government is likely to invest more in AI-driven health solutions to reduce pressure on healthcare providers and improve patient outcomes.
• Expansion of 5G Telemedicine Services: By 2029, 5G telemedicine services are expected to become more widely available, particularly in rural and underserved regions. The governments continued focus on expanding 5G infrastructure, combined with growing investments in telemedicine, will enable high-quality remote healthcare services across the country. This trend will also drive the adoption of wearable health monitoring devices that rely on 5G connectivity.