Vietnam’s first copyright infringement case involving intellectual property assets from Japan represents a watershed, said Nguyen Tuan Hung of Naci Law in Hanoi.

Criminal proceedings for the landmark case ongoing in Hanoi were announced in August 2026, highlighting a government clampdown on piracy nationwide which began in May. 

At the centre of the case are three individuals accused of operating Phim Ne, which comprised a movie website (phimne.live) and an app (phimne.app) that streamed and distributed pirated content from Japanese production studios including anime. According to reports, the two app operators earned D415 million (US$16,000) in profits from their activities.

“The progression of copyright infringement handling from a matter primarily resolved through civil remedies to one warranting criminal prosecution represents a watershed in the evolution of intellectual property enforcement in Vietnam, particularly in the area of digital copyright. It is a meaningful signal that Vietnam is willing to use criminal law against commercial digital copyright infringement,” said Tuan.

“More importantly, it reflects a fundamental transformation in the country’s IP enforcement philosophy – from a reactive, rights holder-driven model to a proactive, state-led approach aimed at safeguarding the digital economy.”

The nationwide crackdown came amid pressure from Japan and the U.S. over IP enforcement. According to an article by Nikkei Asia, there are about 1,000 websites worldwide illegally distributing Japanese content, and many of these sites are being operated by individuals residing in Vietnam. Some of these sites amass hundreds of millions of hits every month. 

Tuan added that strong IP enforcement generally improves the local business landscape for foreign direct investments. It translates to higher confidence for content licensors, improved viability of local streaming and digital distribution and reduced trade-policy risk. 

“For media and creative industries, criminal enforcement changes the risk-return calculation: legitimate platforms no longer compete directly with zero-licensing-cost pirate services,” Tuan added.

However, he noted that this shift from largely administrative takedowns to criminal enforcement can only improve the investment climate for content, technology and platform businesses if evidence standards, inter-agency coordination and rights-holder access to enforcement become predictable.

“For foreign direct investments, the principal value is not the punishment of a few operators but the creation of a more credible enforcement environment for foreign intangible assets. Criminal prosecutions will remain high-visibility exceptions rather than a stable foundation for creative-digital industry investment,” Tuan said.

- Espie Angelica A. de Leon