Money Matters - Simplified

Samsung snatches advertising rights from notorious piracy website

A popular website of Vietnam, Zing .vn, providing unlicensed local and Western songs, by the method of downloading has been deprived of advertisements of Samsung and Coca-Cola. Online piracy is being carried out uncontrolled and unchecked in Vietnam, it seems Samsung and Coca-cola have decided to pull their advertising from the Vietnamese region.

Online piracy

The Associated Press had alerted the two organizations about the international and local concerns regarding Zing.vn. The two companies ended up abandoning the spurious website. The Zing.vn boasts of techno-savvy and young visitors in the Asian countries where nearly 30 million are logged online.

It was a lucrative market for companies who are anxious to carry out online promotions of their products. Zing.vn was the sixth-most visited website in a nation comprising of 87 million people. The awareness of the notorious Zing.vn activities to the companies is still under speculation.

Companies advertising on Zing

Various international companies handing out their advertisements to Zing.vn provided a legitimate cover to its activities. Famous ones like Colgate Palmolive, Yamaha, Intel, Canon, along with Coca-Cola and Samsung, all have advertised on the site.

There is a cloud of displeasure shining among the Vietnamese Artists due to this. The artists felt they were under compensated whereas Zing was making whopping sums of money at their expense.

Samsung and Coca-Cola in a set of separate statements affirmed they had gone ahead and pulled out their ads.
"We highly respect and value intellectual property rights, and stand against acts of infringement, such as the unauthorized copying and distribution of copyrighted material. Accordingly, our advertisements on Zing.vn have been withdrawn."

Samsung carried out advertising of its Galaxy tablet on Zing .vn .

Coca-Cola also assured it had withdrawn advertising on Zing.vn and would "investigate their practices before making further decisions." Coca-cola had collaborated with the site on a music awards function. Coca-cola also used to feature instant messaging, games on the site.

The Association of National Advertisers had issued some legal guidelines to its members influencing them to prevent such illegal activities and it seems Coca-cola and Samsung have adhered to the advertisers’ viewpoint.

MV Corp, a Vietnamese company representing a large number of local music companies confirms Zing and many more sites plan to charge for the music from the 1st November onwards.

But it is still not known whether the recording companies from the West will take part and have the infringing material removed.

Vietnam has laws on the music infringement but they are still to be enforced, and the customer base relies heavily on free music.

Vietnamese recording artists are unable to sell music and depend on illegal downloading giving them opportunities for sponsorship, for their livelihood
The current move by Samsung and coca-cola is an unusual victory pitted against online piracy in Vietnam where piracy is paramount and has grown unhindered.