2024 has been a transformative year for Vietnam’s ICT (Information and Communication Technology) and software development sectors, solidifying the country’s position as a global hub for IT outsourcing (ITO).
With strategic investments, groundbreaking milestones, and robust innovation, Vietnam continues to capture the attention of global tech giants and investors. Below are the key highlights that shaped the year.
1. Vietnam Strengthens Its Position as a Global IT Outsourcing Hub
Timeline: Throughout 2024
Details: Vietnam’s IT outsourcing (ITO) industry saw a significant boost as major global investors poured funds into leading Vietnamese software companies.
• KPMG and Sequoia Capital led a $200 million funding round for FPT Software to accelerate AI-driven solutions and expand globally.
• Microsoft invested in TMA Solutions to establish a joint R&D center focusing on AI and cloud computing, strengthening the firm’s international service delivery.
• Japan-based SoftBank announced a strategic partnership with CMC Corporation, funding $150 million to enhance Vietnam’s role in IT services for the Japanese market.
Impact:
• Reinforced Vietnam’s reputation as a top destination for IT outsourcing in Asia.
• Created new opportunities for local talent and boosted Vietnam’s software exports, which reached $3.5 billion in 2024, a 20% year-on-year increase.
2. NVIDIA Invests in AI and Data Centers
Timeline: June 2024
Details: NVIDIA collaborated with Vietnam to establish a cutting-edge AI research center and a large-scale data center equipped with advanced GPU technologies. This partnership marked a significant milestone in AI development for the country.
Impact:
• Positioned Vietnam as a global player in AI research and application.
• Attracted additional investments from tech giants in high-tech sectors.
3. Electric Vehicle (EV) Revolution in Vietnam
Timeline: Throughout 2024
Details: Vietnam’s EV industry flourished in 2024 with strong support from both domestic and international players.
• VinFast expanded its EV lineup and exported over 50,000 vehicles globally.
• Tesla began talks to enter the Vietnamese market, while BYD introduced its first EV assembly plant in Vietnam.
• Over 3,000 EV charging stations were established nationwide, boosting infrastructure for green mobility.
Impact:
• Advanced Vietnam’s carbon-neutral goals for 2050.
• Established Vietnam as a competitive player in the global EV market.
4. Commercialization of 5G Networks
Timeline: October 2024
Details: Viettel and VNPT launched commercial 5G services, delivering ultra-fast connectivity and enabling advanced applications in IoT, smart cities, and Industry 4.0.
Impact:
• Enhanced digital infrastructure across Vietnam.
• Accelerated industrial automation and digital transformation.
5. Implementation of the Data Law
Timeline: November 2024
Details: The National Assembly enacted the Data Law to regulate personal data protection and cross-border data transfers, laying the groundwork for Vietnam’s digital economy.
Impact:
• Strengthened data security and compliance.
• Boosted investor confidence in Vietnam’s digital ecosystem.
6. Development of Semiconductor Talent
Timeline: Throughout 2024
Details: Vietnam launched multiple training programs in collaboration with Intel and Samsung to build a highly skilled workforce for semiconductor manufacturing.
Impact:
• Positioned Vietnam as a key player in the global semiconductor supply chain.
• Supported diversification efforts in the electronics industry.
7. Rise of “Make in Vietnam” Technology Products
Timeline: Throughout 2024
Details: The “Make in Vietnam” campaign gained significant momentum in 2024, with numerous groundbreaking technology products making their mark both domestically and internationally.
• Software Solutions: Vietnamese companies launched a range of innovative AI-powered applications in healthcare, education, and fintech, gaining recognition in the global market.
• Hardware Innovations: Tech giants such as Viettel and BKAV introduced high-performance hardware, including 5G routers and smart home devices, tailored for both domestic and export markets.
• Game Development: Vietnamese gaming companies achieved new milestones, with several games making it to global charts on platforms like Steam and Google Play.
• E-Government Solutions: Local software providers developed advanced platforms to digitize public services, enhancing accessibility and efficiency.
Impact:
• Boosted Vietnam’s technology exports and reduced reliance on imported tech products.
• Showcased Vietnam’s innovation capabilities, enhancing its global reputation as a technology leader.
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2024 was a landmark year for Vietnam’s ICT and software development sectors. From securing major global investments to advancing IT outsourcing, EV technology, and digital transformation, Vietnam is well-positioned to be a regional leader in technology. These achievements reflect Vietnam’s growing reputation as a premier destination for IT outsourcing, innovation, and sustainable growth.
