Syntonic breaks into Vietnam market with sponsored mobile content Freeway product

Syntonic ASX SYT Vietnam market sponsored mobile content Freeway product

Mobile platform and services provider Syntonic (ASX: SYT) executed a partnership with TecaPro Ltd to grow its Freeway mobile content product’s presence in Vietnam, which has more than 45 million smartphone subscribers.

Today’s news comes off the back of last week’s announcement that Syntonic was expanding its presence in China.

Syntonic’s Freeway products gives consumers sponsored and paid access to mobile applications and content.

Sponsored data enables consumers to use applications without it impacting their mobile data plan and usage. The sponsor pays for the data on the consumer’s behalf.

As part of the expansion strategy into South East Asia, Syntonic has teamed up with Vietnam’s local-telecommunications company TecaPro, which has established relationships with major mobile carriers Viettel Mobile, MobiFone and VinoPhone.

TecaPro will integrate Syntonic’s products within its mobile clients, provide tier 1 customer support and conduct all sales and channel management.

Syntonic’s sponsored and paid subscription services gives data-conscious consumers, particularly in South East Asia where mobile data can be cost prohibitive, unlimited access to their favourite content such as social media apps, games and videos.

The company has synchronised its roll out with the country’s 4G implementation.

“These initiatives with regional partners represent major steps forward in our strategic focus on growth in emerging markets,” Syntonic chief executive officer Gary Greenbaum said.

“The strong consumer value proposition of Freeway’s unlimited content access, paid and sponsored, is well timed with the 4G expansion and we look forward to working with TecaPro to capture the Vietnam opportunity,” he added.

Vietnamese smartphone market

According to Syntonic, Vietnam’s smartphone users are forecast to hit 48.8 million in 2018, making it the third largest smartphone market in South East Asia.

Additionally, 89% of users are on pre-paid plans and ration their data which can impede discovery and exploration of mobile applications and content.

The company anticipates this market will double in the next four years and will be behind only China, India and Indonesia in the South Pacific region.

Syntonic’s stock was up almost 4% in early afternoon trade.

Lorna has more than 10 years’ experience as a finance journalist and editor. She has written for an array of industry publications reporting on various sectors, including: resources, energy, construction, biotech, pharma, science and technology, agriculture, and chemicals. Specialising in resources, Lorna has covered a myriad of small and large cap ASX and dual-listed stocks.