WPP has announced plans to take a 20% stake in Smart Media JSC, a Vietnam based communications group. Smart Media was established in February 2008 with the mission of leading Vietnam's efforts to develop and build the nation's communications industry. Smart Media was founded jointly by key government bodies: Vietnam Posts and Telecommunication Group (VNPT), Vietnam Television (VTV), Vietnam Mobile Telecom Services Co. (VMS), and Vietnam Post Corporation (VNPost) as well as the privately owned GoldSun.
"The investment in Smart Media clearly demonstrates WPP's commitment to Vietnam and digital media. This venture will generate multiple opportunities for WPP companies operating here," said Scott Spirit, director of strategy, WPP Digital, Asia-Pacific.
Tuan Anh, CEO of Smart Media, said: "The communication landscape in Vietnam is evolving rapidly. In fact, we can talk of a seismic shift towards new channels and digital technologies. It is important for us to combine our local technology- and distribution experience with the expertise of a world leader in marketing communications. As such WPP has clearly demonstrated its value to the group."
Vietnam's advertising market is forecast to grow 16.6% in 2009 to US$681 million, according to WPP's GroupM unit.
Smart Media has operations in Hanoi and Ho Chi Minh City and employs 35 people. The company provides a broad range of marketing, communications and multimedia services in Vietnam with a focus on advertising, TV production, internet and mobile services, Contact center and digital content.
On behalf of WPP, JWT Vietnam, which has been operating in that country since 1995, will act as the portal allowing Smart Media to access talent, resources and clients from across WPP agencies.
