Vietnam’s digital map on https://map.itrithuc.vn/ project, which creates a full address list and associated geocodes in a complete map is planned to be operational by February, 2019. The digital map is a part of the “Digital Vietnamese knowledge project” from Vietnam government to create a Vietnamese version of Wikipedia about different aspects of the country.
The State-run Vietnam Post (VnPost) Corporation is in charge of aggregating map data as its experience in collecting information on a nationwide scale. By January 11th, a total of nearly 1.39 million addresses across the country had been aggregated. VnPost is also handling establishing the IT infrastructure for the project, preparing information collection and reviewing plans, before urging local business and people to provide necessary edits related to their addresses.
People’s committees have been asked to co-ordinate closely with the science and technology ministry and VnPost. Local departments of environment, transport and statistics are also aiding the information collection workers.
As the government's decision support tool and the information hub for businesses and organisations, the digital map is expected to help all Vietnamese people, especially the younger generation to develop innovative technologies.
(Source: Vietnam News)
An US-based early-stage venture capital investor, 500 Startups has annouced that they exceeded their fundraising target of USD 10 million for a Vietnam venture capital fund by over 40%. Substantial investments were received from multimedia retailer GS Shop, consumer electronics manufacturer Humax, NCORE, and numerous other investors in Asia, the US, and Europe.
Till date, 500 Startups invested almost has invested USD 3 million in 36 companies , with a focus on companies serving the Vietnam market and/or leveraging Vietnamese talent. Around two-third of the initial investments have been USD 50,000-USD 100,000. The 14 million raised now will be used for up to 100 deals involving up to 64 new startups. 500 Startups expects its typical first check to be approximately USD 100,000 and potentially up to USD 250,000.
500 Startups has also been educating Vietnamese founders and investors, providing industry feedback to government stakeholders about potential regulatory reform, and providing feedback at pitch competitions and demo days.
As a fast-growing economy, with low-cost labor and high-tech talent, the population approaching 100 million and more mobile phones than residents, Vietnam has become an attractive market for technology investors. The Vietnam gorvernment has set a target of getting 600 startups funded by 2025.
According to data and analysis by Topica Founder Institute, startup funding in Vietnam has increased from 29 deals in 2014 to 92 deals in 2017. Several new funds have launched recently to invest in more Vietnam-connected startups, including ESP Capital, VinaCapital Ventures, Startup Viet Partners, and Zone Startups Vietnam, to name a few. With unprecedented interest in the region, we’re ready to step on the gas.
(Sources: Businesstimes.com; 500 Startups)
One of the largest banks in South Korea, Shinhan Bank, signed a a Memorandum of Understanding (MoU) on digital banking with Vietnamese leading technology group, FPT. Under the agreement, the two parties will collaborate to digital banking and fintech solutions.
Shinhan Bank will be able to provide FPT a wide range of in-depth knowledge and data regarding advanced digital banking system and competitive financial services in South Korea based on their proven extensive experience in financial sector. On the other hand, FPT will provide Shinhan Bank with comprehensive digital transformation solutions and a large pool of competent IT experts to improve the banking system and develop the technology foundation for new services.
FPT is one of the leading technology companies in Vietnam with 30 years of experience and a client roster including Airbus, Siemens, UPS, RWE, ORT, NXP, NTT Dara etc. FPT established their Korea office in 2016 to explore, develop and expand the opportunities to approach large Korean firms in technology strategy sectors concerning smart factory, automotive, consumer electronics and multimedia entertainment. With the growth rate of 300 per cent per year, Korea is becoming FPT’s strategic market.
(Sources: Pulse News; Vietnamnews; FPT)
Vingroup, Vietnam’s biggest private-sector organization which is mainly involved in real estate, has recenly announced its plan to expand into artificial intelligence, software and big data and set up a Silicon Valley-style tech hub in Hanoi. Vingroup signed an agreement with the country’s top 50 universities to provide funding for these universities' science & technology projects and co-operate with them on training and educating programmers. In addition, Vingroup has committed to employing 100,000 technology students within the next 10 years. Included in the plan is the setting up of a fund to support research projects for domestic students and lecturers to pursue science and technology application.
Vingroup will also enhance the production of automobiles and smart home-appliance products through the establishment of its software development company VinTech, which has split from another sub-unit VinSmart. VinTech will specialise in developing artificial intelligence (AI) products, software programmes and new-generation materials. Vingroup’s newest business has set up two research institutions – the Big Data Research Institute and Vin Hi-Tech Research Institute.
A tech hub in Hanoi called VinTech City will also be developed following the US tech cluster Silicon Valley. VinTech City aims to create a business ecology that is similar to the Silicon Valley to serve information-technology startup companies.
Moreover, a technology investment fund will be founded to seek opportunities in technology and AI projects that are applicable on a global scale.
These activities are parts of the group’s plan to become an international-standard technology-industry-service conglomerate by 2028, with a focus on technology development and application.
(Sources: Vietnam Insider; Viet Nam News; Business Insider; Vingroup.net)
The Vietnamese government has approved a project on supervising the cyber security of IT services and systems that form the foundation of e-Government operations.
The project aims to improve the capacity to respond to cyber attacks through 2025. The focus is on boosting response capabilities of the national cyber security monitoring centre located at the Vietnam Computer Emergency Response Team (VNCERT), relevant sectors, central-level provinces and cities, and internet service providers.
A network of cyber security monitoring system, including monitoring monitoring devices, will be established nationwide, ensuring close and effective collaboration, as well as supervision of the national cyber security monitoring centre, internet service providers and direct supervision at local level. The monitoring systems must be inspected once every six months.
At the ministerial and local levels, authorities have been tasked with training cyber security staff and giving users knowledge about the e-Government IT system.
Data and cyber security warnings from the ministerial and local levels should be shared with the national cyber security monitoring centre and submitted to Ministry of Information and Communications, which will in turn be reported to the office of the Prime Minister of Vietnam.
The government has been pushing for digitization of public services, from the central level at the top right down to local administrations, through the Information and Technology Target Programme in the 2016 to 2020 period. The government is also seeking to improve Vietnam's ranking in the United Nation's (UN) biannual e-Government development index. It was ranked 88th in the 2018 survey (89 in 2016). The Ministry of Information and Communications has been assigned to review and evaluate the component index of Vietnam's infrastructure in accordance with the assessment methods of the UN, and submit proposals for improvement measures to the Government before September 1, 2018. Governments at all levels have been asked to carry out the Government’s Decree No 61/2018/NĐ-CP issued on April 23, 2018 on the implementation of a single-window mechanism in, ensuring that each ministry, sector and locality has only one convenient online service portal for individuals and enterprises to use.
(Source: Viet Nam News)
Taking advantage of the exit of Uber in Southeast Asia, Indonesian ride-hailing firm Go-Jek has begun its international expansionary efforts starting with the launch in June of two companies - Go-Viet in Vietnam and GET in Thailand. Both companies will be run by locally founded management teams, with Go-Jek providing expertise, as well as technology and investment.
Both brands will start with ride-hailing services and on-demand logistics services before moving on to food delivery and payments. In line with this, after the beta testing in July which involves a selected number of drivers and consumers, Go-Viet will officially launch in Ho Chi Minh City in early September and is set to quickly expand to Hanoi, as well as other provinces in the country.
The apps for the two new markets - Go-Jek, Get and Go-Viet - will not be interoperable. It will enable local teams to customize their offerings for the market, but consumers traveling between the countries will need to download different apps.
Aside from Vietnam and Thailand, Go-Jek's entry in Singapore and Philippines is still pending with no specific launching dates announced yet. To back this expansion, the company dedicated a USD 500 million investment.
In February 2018, Go-Jek raised USD 1.5 billion in a fresh fundraising round backed by BlackRock, Google, Temasek and Tencent. Last year in May, Go-Jek had raised USD 1.2 billion in a round led by Tencent. Go-Jek’s regional competitor, Grab, raised around USD 2.5 billion in 2017.
Go-Jekh has expanded from a ride-hailing app into a much broaded digital ecosystem, offering a wide range of services including groceries, medicine and food delivery, massage, beauty and cleaning services and more, all paid via its e-wallet. Grab is focusing on doing the same, along with expanding its presence in the region. By the end of June, it had launched GrabPay mobile wallet with GrabPay Credits in Malaysia and is seeking partnerships with local service providers.
(Sources: Deal Street Asia; Marketing-Interactive.com; Tech Crunch)
On June 12, 2018, Vietnam’s main legislative body, the National Assembly, passed a new law on cybersecurity that would require local and international enterprises supplying telecommunication and internet services and other digital firms in the country to store local users' data within the country's territory, set up local offices, and comply with government's control over online content. The law will come into effect by January 1, 2019, and global tech giants such as Facebook and Google are bound to comply and install local servers. Foreign businesses will also be required to open a representative office in Vietnam with the government to decide the duration for which such businesses must store users’ data in Vietnamese territory.
Government intervention will also come in the form of banning internet users from organizing, encouraging or training other people for anti-state purposes. They are not allowed to distort history, negate the nation’s revolutionary achievements, undermine national solidarity, offend religions and discriminate on the basis of gender and race. Morever, the law prohibits the spreading of incorrect information which causes confusion among people, damages socio-economic activities, creates difficulties for authorities and those performing their duty, violates the legal rights and benefits of other organizations and individuals. In line with this, social media companies are required to remove offending content from their platforms within one day of receiving a request from the authorities. In addition, businesses have to provide users’ data to the Ministry of Public Security upon receipt of requests in writing, in cases where any infringement of the cybersecurity law is being investigated.
The Vietnam Digital Communications Association warned that the law could have negative impact on GDP and foreign investment. However, the government believes that the law is necessary for national security. Nevertheless, many are expecting that there will be changes and revisions with the law that will give clarity to some issues before it gets implemented next year.
An estimated 70 percent of Vietnam’s 93 million people use the Internet, and around 64 million have Facebook accounts, accounting for 3 percent of global Facebookers, according to a 2017 report released by We Are Social, a social media marketing and advertising agency.
(Sources: VIETNAMNET Bridge, Reuters, VnExpress.net, Philippine Inquirer)
Recently, multiple Memorandum of Understanding (MOU) was signed between Vietnamese and Singaporean organizations to promote innovation, enterepreneurship and digital transformation. These are:
1. University of Economics Ho Chi Minh City (UEH), Vina Capital, and Singapore Management University (SMU) through its Institute of Innovation and Entrepreneurship (IIE), signed an MOU late April to collaborate to set up and support the operation of a joint institute of innovation and entrepreneurship (‘Joint Institute’) at UEH in Vietnam. The collaboration intends to pave the way for the parties to collaborate and find synergies in supporting entrepreneurial students and start-ups based in both countries to connect to new networks, partners, and overseas markets. UEH will establish and operate the Joint Institute, applying the operating model of IIE. SMU shall be the knowledge partner, while Vina Capital is launching a new $100 million tech fund, which will support start-ups under the Joint Institute and also promising tech start-ups across Vietnam.
2. Another MOU was signed between University of Economics Ho Chi Minh City (UEH), Vietnam's Private Sector Development Committee (PSDC) and Singapore Management University (SMU) through its Institute of Innovation and Entrepreneurship (IIE) to look into preparing a report for the Vietnam government, proposing solutions that would enhance the innovation and entrepreneurship environment in Vietnam based on Singapore’s experiences.
3. Potential cooperation opportunities between Vietnam's major IT company FPT and partners in Singapore were established. This includes:
(Sources: Singapore Management University, FPT)
Japan’s Nippon Telegraph and Telephone East Corporation (NTT East) has signed a memorandum of understanding (MoU) with one of Vietnam's largest real estate and infrastructure developers BECAMEX IDC to build a smart city in Binh Duong province. Under the MoU, the Vietnamese subsidiaries of these two corporations, NTT Vietnam and Vietnam Technology & Telecommunication JSC (VNPT), will provide information technology and telecommunication services in the Vietnam Singapore Industrial Park (VSIP). Furthermore, public wifi and the second data center will be installed in Binh Duong New City. NTT will provide human resources training and proper technology transfer in order to maintain the quality of the services for the industrial zones and residential areas around.
The two sides will work closely with the management board of Binh Dung Smart City. The Chairman of the province has urged both Becamex IDC and NTT East to accelerate the planning and specific roadmaps to implement this agreement. Binh Duong is one the most dynamic industrial province and attracts the most investment after Ho Chi Minh City.
(Sources: Becamex IDC; Binh Duong Province Portal)
Vietnam is nearly keeping pace with Thailand and Indonesia in terms of cloud services and datacenter capacity in South East Asia, forging a new market in the region. With contributions from giant telecommunications companies and investment from government, more facilities have been built over the past 2 years, resulting in an increase of 37% in capacity. Research firm BMI has valued Vietnam's cloud computing market at VND 1.01 trillion (USD 44.25 million) and forecasts that it will grow by a AGR of 40% between 2016 apnd 2019.
Currently, there are about 30 data centers in Vietnam, most of which are in Hanoi and Ho Chi Minh City. Among the 30 data centers, 2 of them which belong to VNPT and FPT Telecom have received Tier III Certification of Design Documents by Uptime Institute, an American Data Center Evaluator.
Vietnam is considered as one of the developing countries with the highest rate of ICT adoption and lowest cost of ICT use. The country recently joined the top 10 most attractive locations for IT Outsourcing and became a hub of global ICT hardware production.
(Sources: VNPT; Broad Group, Business Monitor International)
The market leader in customer data analytics, Flytxt has clinched a software as services (SaaS) agreement with Viettel, one of 3 biggest telecom companies in Vietnam. According to the agreement, Flytxt along with their regional partner, COMIT, will implement its flagship - NEON-dX techonology across Viettel's network to help the telco have a better understanding of their clients via real time behaviour analytics. Together with the techonology, Flytxt will also provide business consulting service to help Viettel utilize customer engagement results.
NEON-dX is an artificial intelligence-driven technology that enables automated decision making and human-like engagement over different B2C interfaces so as to provide real time solutions. The agreement with Viettel expands Flytxt’s network in Asia to eight mobile telecom operators, including Axiata from Malaysia.
(Sources: Flytxt; The Hindu Business Lines)
MatchMove, a leading mobile/digital payment company from Singapore that provides secure mobile wallet solutions, has announced its plan to help digitize Vietnamese payment process in various sectors like retail, tourism, gaming, e-commerce and digital reimbursement. The company has been working with local enterprises such as banks and retail brands to support smartphone users' access to faster and safer mode of payment. One of Matchmove's landmark project in Vietnam was the collaboration with VTC Intecom, a subsidiary of Vietnam Multimedia Corporation, the largest corporation in Vietnam that specializes in developing payment services, e-commerce, media, and online games. MatchMove and VTC Intecom agreed to cooperate in undertaking a market research and strategies to advance the highly popular mobile virtual card platforms for gamers in Vietnam. Particularly, MatchMove will provide its PCI-DSS certified technical platform, advanced services, and sharing of industry expertise.
Data from global statistics database, Statista, estimated that there are around 28.77 million smartphone users in Vietnam in 2017, twenty million of whom are uncarded and unbanked users. This means that a huge group of Vietnamese users are unable to make online purchases. To help tap this market, the Vietnamese government is encouraging cash-free transaction in Vietnam by issuing a cash-free policy with the aim to reduce cash payment to less than 10% by 2020. This policy not only creates many opportunities for enterprises like Matchmove in digital payment, but also helps the government to manage monetary flow in the country.
(Sources: MatchMove; Vietnam Investment Review)
Vietnam's Business Process Outsourcing (BPO) industry has been growing considerably over the last 10 years. BPO services have seen an annual growth rate of 20%, and contributed USD 2 billion to the country’s GDP in 2015. It is interesting to note that A.T. Kearney has placed Vietnam at sixth position in its 2017 Global Services Location Index. Vietnam is also at higher rank (than the other countries in the region) on the scale of Financial Attractiveness and Business Environement scale. Vietnam's competitive advantage lies in the fact that wages are much lower in the country, by about 50%, when compared to other countries such as India and China. The availabily of a 50-million strong and tech-savvy workforce under 35 years and stable political environment also help to make Vietnam as an atractive BPO destination.
Curently, Vietnam's BPO services are mostly offered in a bundle package of Information Technology outsourcing services such as software development and system maintenance. The Vietnam IT Organization (VNITO) Alliance has sought support from Vietnam's American and Japanese partners to cultivate its current advantages and improve the range of services offered to higher skilled outsourcing services. Those partners include Shonan Industrial Promotion Foundation in Japan and the Sillicon Valley Forum in the US. The goverment aims to grow the BPO industry to one of the driving forces to make it a key contributor to the country's GDP, in various sectors such as retail banking, clean energy, hotels and moedern agriculture and food business.
Malaysia's GHL Systems Bhd, a leading payment solutions provider in the region, has announced its entry into Vietnam by acquiring a 31.16% stake in Vietnamese mobile payment company MPOS Global Limited for US$3.32 million. This strategic move helps it enter a lucrative market which is ripe for an explosion in e-payment adoption. Vietnam, which has a population of 93 million, is considered an attractive electronic payment cards market with an estimated 121 million cards issued by 40 financial institutions, but is served by only 300,000 electronic data capture (EDC) terminals. This represents only two EDC terminals per 1,000 inhabitants, compared with 10 EDC terminals per 1,000 inhabitants in Malaysia.
MPOS Global and Vietnam MPOS Technology provide the first and only non-bank mobile payment acceptance terminals and financial solutions for individuals and businesses through a 0%-interest installment scheme linked with 12 major banks across Vietnam. Vietnam MPOS operates 7,000 active mobile payment terminals for 3,000 merchants with an average monthly transaction payment volume (TPV) growth rate of 30% in 2017.
GHL provides integrated end-to-end payment solutions encompassing physical and virtual payments on sale and rental basis, including Electronic Data Capture (EDC) terminals compliant to the Europay-Mastercard-Visa (EMV) platform, contactless readers, network access routers, and online payment gateways. With a full suite of payment solutions, GHL Systems has successfully established a customer base beyond Malaysia, into Thailand, Philippines, Singapore, the People's Republic of China, Taiwan, Australia, Romania, Holland, as well as the Middle East.
(Sources: GHL; The Sunday Daily; Viet Nam News)
Hanoi wants to boost cooperation with domestic and international organisations, including the ICT federation Asian-Oceanian Computing Industry Organisation (ASOCIO), in a bid to turn it into a smart city. The ASOCIO represents the interests of 24 economies in Asia-Pacific with proactive members like Japan, the Republic of Korea, Malaysia, and India.
The capital city of Hanoi has been working towards its smart city initiative since 2014. During the past two years, Hanoi has installed a network system from the municipal level to 584 wards and communes to support administrative reform, and to provide online public services for the local people. In addition, the city has also been working towards building the country’s largest database centers.
The city is now particularly interested in applying IT in the operation of its transport system, firefighting, data analysis and system security. The capital city also hastened co-operation in developing software for building smart cities, such as a smart parking system and an energy light saving system.
(Source: Vietnam Biz Hub)
Amazon Web Services (AWS), has officially set up a legal entity in Vietnam to better support its Vietnamese clients. Some of the known Vietnamese companies that are AWS users are Tiki Corporation, Massan Group, Vietjet Aviation Joint Stock Company and VTV Go (an online TV service of Viet Nam Television).
The first company to provide International Data Center (IDC) services in Vietnam was Viettel IDC, a subsidiary of Vietnam's largest mobile network operator. Today it offers services under the international standard Tier 3 (TIA-942); it has 5 large data centers with a total area of server rooms about 10,000 m2 across the country and is a top choice for banks, government agencies, media outlets, news sites and SMEs. The company plans to develop both private and hybrid cloud in Vietnam, as well as cloud security and management methods to help its clients monitor and inspect all of their applications and devices that are running on cloud. It will be the first domestic cloud provider to do so.
According to the Lee Kwan Yew School of Public Policy, which conducted a survey on the application of cloud computing in Vietnam in the first four months of 2017, overall 56% of Vietnamese enterprises use cloud computing. In terms of usage by company size: 57% of enterprises with less than 50 employees used cloud computing, while 39% of those with 51-100 employees, 73% of those with 101-500 employees, and 65% of those with more 500 employees did so. 55% of State agencies used cloud computing, including 62% at the central level and 45% at the local level.
(Sources: VIR Vietnam; Viettel IDC; Lee Kwan Yew School of Public Policy)
The number of smartphone sales in Vietnam declined slightly in the previous month, but consumers continued to spend more on high-end products. The July report from market research company GfK Vietnam showed that the number of sold smartphones decreased in Hanoi, HCMC, Hai Phong and central provinces by 6.2%, 9.6%, 6.2% and 5.7%, respectively. The figure rose slightly by 0.5% in the northern part of the country compared with the same period last year. However, while the number of sold products decreased, the revenue increased slightly thanks to the high number of high-end models sold. Manufacturers were focusing on the high-end smartphone segment in the first half of 2017.
A survey conducted by GfK showed that Vietnamese spent VND 20 trillion (USD 873 million) in the first three months of the year on 3.6 million smartphones. The figure was VND 17.8 trillion last year in the same period. In the first five months of the year, the import turnover of the products was VND 114.5 trillion (USD 5 billion).
Observers commented the figures show the high purchasing power of Vietnamese. It is forecast that sales will soar in the last months of the year, the time when manufacturers launch their new products such as Apple’s iPhone 8 and Samsung’s Galaxy Note 8.
(Sources: TechinAsia; GfK; Vietnamnews.vn)
In 2017, three major Vietnamese telcos - VNPT, Mobifone and Viettel - have been licensed by the Ministry of Information and Communications (MoIC) to provide 4G telecommunication services. After securing their licenses, these carriers have been on the roll in deploying 4G services in the country. Viettel has announced that nearly 16,000 users have subscribed to its 4G service everyday since they launched it in on April 18th. Meanwhile, just recently VNPT VinaPhone rolled out cheapest 4G plans in Vietnam. On the other hand, MobiFone gave a press release that it would implement other packs on high quality 4G platform starting mid-July and introduce services targeting e-governance. Moreover, the MoIC is preparing to auction a 2.6 GHz band to boost the 4G network speed of the carriers in the country.
In exchange for their licenses, mobile network operators are expected to contribute to the Vietnamese government's plan to digitize the country and promote the use of digital content, electronic services, and disaster prevention networks.
(Source: Hanoi Times, Vietnam Economic Times)
During an international workshop in Hanoi on spectrum management for mobile broadband and internet of things, the Minister of Information and Communications (MoIC) mentioned that Vietnam, with almost 130 million phone subscribers, is considered to have high density of telecom services. The MoIC has licensed four telecom providers in providing 4G services and will set constructive policies in promoting the development of information technology and telecom infrastructure especially the mobile broadband. Vietnam’s telecom services revenue increased by 7.5% in 2016.
In 2017, Vietnam telecom providers started to supply 4G LTE service on the 1,800 MHz band nationwide and the authority is planning to launch the 2.6 GHz band to enhance the speed of the 4G network. During the workshop, the director of the Authority of Radio Frequency Management (ARFM) Doan Quang Hoan mentioned that “Vietnam needs to avoid ineffective investment and outdated technology in the transition from 4G to 5G”.
(Sources: Vietnam Net Bridge, Hanoi Times)
Trilliant Networks, an Internet of Things provider and Ho Chi Minh Power Corporation have completed a year-long pilot project at Saigon Hi-Tech Park. This smart city communication platform is able to improve the efficiency, reliability and affordability of energy for their clients.
Vietnam’s energy demand is growing at over 8% annually, with Southern Vietnam to face energy shortages within two years. This led the country to begin the energy efficiency and smart city initiatives. This platform will help solve many energy dilemmas in terms of cost-effectiveness by improving utility performance across key organizational goals including revenue generation, network performance and large-scale integration of renewable resources, improving workforce management, engaging customers, advancing operational excellence and improving energy efficiency.
(Sources: Trilliant, PR Newswire)
Internet Initiative Japan (IIJ) and FPT Telecom launch a cloud service called FPT GIO CLOUD. This will be the first cloud service which is directly connected to FPT Telecom’s internet backbone network, resulting is a stable cloud environment. IIJ will provide the cloud platform and support the operation and maintenance while FPT Telecom will provide its expertise on management and marketing. IIJ has launched the same cloud services in Singapore, Indonesia and Thailand. FPT Telecom and IIJ will further cooperate in launching additional projects in terms of security and network management in upcoming years.
Under Asia Cloud Computing Association Cloud Readiness Index 2016, Vietnam is ranked 14th on the list after Singapore, Malaysia, Thailand, the Philippines and Indonesia. Global players like IBM, Google, Symantec, Amazon, Oracle and Microsoft has already their own cloud services, thus IIJ and FPT Telcom’s cooperation will add more competitiveness in this area.
(Sources: Nikkei Asian Review, Telecom Asia Net)
Officially launched its nationwide 4G campaign in April 2017, Vietnam’s mobile operator Viettel is Vietnam's first provider of the fourth-generation wireless mobile telecommunications technolohy. The military-run operator has installed 36,000 4G base stations since November 2016, and 3,000 of which are located in Ho Chi Minh City. The company claims that 95% of the population in Vietnam can access Viettel 4G, which is seven to ten times faster than the curret 3G.
Two other main players in the mobile carriers, Vinaphone and Mobifone are also in the process of releasing their own 4G networks to the public. Vinaphone is currently testing its network in certain cities and provinces with the aim to cover the whole country by the end of 2017 while Mobifone plans to offer 4G in 53 out of 63 provinces and cities by the second quarter of 2017.
(Sources: Developing Telecoms, Telecom Asia Net, Tuoi Tre News)
Viettel and Vietnam Airlines have signed a co-operation agreement in which Viettel will provide information technology products and services for Vietnam Airlines operations and management such as fixed telephones, switchboards, mobile services, payment solutions, data transmission services, management softwares, etc. In return, Vietnam Airlines will provide transportation services and other commercial services. In addition, both parties have signed a memorandum of understanding on ICT safety and security to enhance the airline’s information security and prevent risks and attacks to its information technology and system.
(Sources: Vietnam News, People’s Army Newspaper)
Ho Chi Minh City’s Transport Department uses IT to ease traffic congestion with the launch of a digital traffic app targeted to inform commuters of the city’s traffic congestion. The app is free of charge and is accessible on computers or smart phones. Commuters may go to either the website at www.giaothong.hochiminhcity.gov.vn or download the “TTGT Tp.Ho Chi Minh” app. The website or the app is designed by using data from the city’s traffic cameras and other sources and provides the following functions:
● It is able to recommend commuters with the best appropriate routes in reaching their destination by helping them avoid streets that are having serious gridlock or accidents
● It updates traffic situations which include traffic volume, vehicle speed, traffic flow images
● It also provide additional information such as the speed limits, parking lots, public restrooms,etc.
(Sources: Vietnam Net Bridge, Vietnam News)
Nokia, which ceased its smartphone business in 2014 following the launch of the Lumia 930, is readying for return to Vietnam. Nokia’s strategic agreement covering branding rights and intellectual property licensing with HMD Global Oy (HMD) has come into force this month. Nokia will support HMD, but it will not manufacture or distribute the products. Nokia’s business model is licensing its brand and patents to HMD global, for which it will receive royalties per sold device. HMD Global will be responsible for research and development, marketing, and business for Nokia-branded products.
While firm plans have not been announced, HMD has stated that Vietnam is a key market for them and that it will be launching its new products including both Android smartphones and feature phones in Vietnam, as well as manufacturing in Vietnam. Nokia products target the mid-tier and low-cost market segments, which analysts believe will threaten the dominance of Oppo in the Vietnamese market. The majority of Vietnamese have low or medium income, and Nokia products fit their budgets well.
(Sources: Nokia, Nokiamob, VietNamNet Bridge)
CyberPower, a global uninterruptible power supply (UPS) provider and producer of innovative energy-saving GreenPower UPS technology, has announced that it has signed an agreement with Avnet, a leading global technology distributor, making them an official distributor for the Vietnamese market. The agreement means Avnet Technology Solutions becomes one of two CyberPower distributors in Vietnam. This partnership will enable Avnet to provide partners with CyberPower’s full product offering including all single-phase and three-phase UPS products (up to a maximum 900KVA), Emergency Power Systems (EPS), solar systems, power distribution units, and surge protector.
The UPS market in Vietnam has a plethora of opportunities in areas such as telecommunications, IT, and energy, where end users are eager to protect their expensive electrical and electronic equipment from blackouts, brownouts, and surges.
(Source: The Saigon Times)
The entertainment division of Pacific Century CyberWorks (PCCW), the holding company of HKT Group Holdings Limited, a Hong Kong based ICT company entertainment division, has launched its OTT music streaming platform MOOV in Vietnam as part of efforts to expand its regional OTT presence. PCCW has entered into a partnership with Vietnam's telecommunications service provider, Vietnamobile, whose 3G subscribers will now be able to enjoy MOOV service with free data.
MOOV in Vietnam features a localized user interface and customizable playlists with the latest local and international content. Recent research conducted by MOOV has shown local music is the predominant choice in Vietnam – as 92% of respondents usually listen to Vietnamese songs. Through signing deals with over 150 content providers in Vietnam, MOOV offers a comprehensive local music collection, encompassing content from individual artistes including Son Tung, Noo Phuoc Thinh, Toc Tien, 365 Da Band, Dong Nhi, Suboi, and more. Other features include an extensive library of the latest K-pop, reflecting the phenomenon in Asia where Korean songs are adored by youngsters, as well as music and video content from US, UK, and other countries.
The MOOV app is available for download via App Store for iOS devices and Google Play Store for Android devices in Vietnam.
(Sources: Telecom Asia, PR Newswire)
Vietnam, which has nationwide 3G coverage, currently has 136 million mobile subscribers and 37 million 3G subscribers. Given that the country has seen growing demand for high-speed mobile internet services, the time is ripe to deploy a 4G LTE network in Vietnam, which will help boost the development of broadband infrastructure.
Since the end of 2015, Vietnam’s Ministry of Informtion and Communications (MOIC) has granted permission for testing the 4G LTE network. The three big network providers including Viettel, Mobifone and VNPT have been testing and finishing procedures applying for 4G utilization. The piloting of the 4G network in Vietnam has been successful and network providers have chosen technologies and bandwidth suitable with the development trend of 4G LTE in the region and the world. The Ministry is expected to formally award 4G licences in late 2016 or early 2017.
(Sources: VietNamNet Bridge, Asia News Network)
The Ministry of Transport has allowed Vinasun to launch a ride hailing app to connect with passengers, in a bid to encourage transport companies to apply new technologies to make it more convenient and safer for passengers, and to help the local player fight back against low-cost ride hailing services like Uber and GrabTax, that are becoming increasingly popular in Vietnam.
Vinasun, which has around 6,000 cabs and operates chiefly in Ho Chi Minh City, will offer the ride-hailing services with a fleet of 200 minicabs without roof signs, including seven-seat Fortuners and four-seat Camrys.
Passengers using Vinasun’s ride-hailing app can easily recognize their minicabs with stamps of Vcar, Vinasun's luxury version. They will be offered the option to fix the price at the beginning of a journey rather than rely, more traditionally, on the taxi meter. According to Vinasun, passengers using the apps for traditional taxis or minicabs pay the same prices.
According to news release from Vietnam’s Ministry of Information and Communication in July 2016, the IT sector posted a growth rate of nearly 15% against 2014. In 2015, the ICT sector boosted the State budget with a tax collection of VND 82.3 trillion (USD 3.68 billion) or 10% of the state budget collection.
The electronics sector maintained its upswing, posting a 16% growth with estimated revenue of over USD 46 billion. Retail sales of electronic hardware devices remained stable. In 2015, the domestic software industry grew at 9% with revenue of USD 16 billion. Revenue from online mobile games stood at USD 107 million (VND 2.4 trillion) driven by rising number of smartphones (13.3 million users in 2015). These days more than 20,000 or 45% of businesses registered have their own websites. Vietnam aims to become a strong ICT country by 2020.