Vietnam - South Korea IT Cooperation: Human Resource Is the Key

Specifically, the two countries have cooperated closely and practically in various fields like state management, joint provision of services, ICT human resource research and development, telecommunications, broadcasting, IT infrastructure construction, IT application, e-government, and IT socialisation. In late September, a group of 10 South Korean IT, electronics and telecommunications companies visited and worked in Vietnam, opening up a vast prospect for bilateral development cooperation in the future.

 

South Korea is an IT powerhouse of the world as it ranks fifth in the world in IT product export, with US$159.5 billion in 2010. However, it is also the world’s ninth biggest importer of IT products, with US$81.9 billion in 2010. To tally, it made a trade surplus of US$78.3 billion, only second to China (US$178.3 billion).

 

The Ministry of Information and Communications said Vietnam’s IT revenues topped US$7 billion in 2010, including US$5.63 billion from IT electronic hardware (including US$3.6 billion from exports); US$1.06 billion from software and related services; and over US$900 million from digital content.

 

These figures show that South Korea is a very potential market for IT products. Vietnam is, meanwhile, an important market and is a stepping stone for world-leading ICT concerns to expand their presence in Southeast Asia, according to experts.

 

Vietnam and South Korea established economic relations in 1992. The two-way trade turnover in 2010 rose 26 folds from the first year. At present, more than 2,500 South Korean companies are operating in Vietnam. In South Korea, 99 percent of companies are small and medium enterprises (SMEs) and they generate 88 percent of jobs. South Korean SMEs are operating in various fields, including high-tech industries like IT.

 

South Korea is currently the third investor in Vietnam, just after Taiwan (China) and Singapore. It also has a lot of big-valued technology transfer contracts with Vietnam in the past years.

 

Perhaps, the formation of the Vietnam - South Korea Information Technology Cooperation Centre (ITCC) serves as a “window” for IT cooperation for Vietnam and South Korea. It has financed US$700,000 to 26 projects, which are carried out from 2011 to 2012.

 

According to experts, the working visit of more than 30 South Korean ICT companies is a really good chance for the both sides to delve into the IT markets of each other and to forge investment cooperation.

 

However, to attract South Korean investment capital, Vietnam needs to have specific development strategies. Mr Do Trung Ta, Deputy Director of the National Steering Committee for Information and Communication Technology, said: Vietnam needs to place focus on high-qualified ICT human resources to become an ICT powerhouse and make the ICT industry a key economic sector.

 

Hoang Ngoc Diep, a senior IT expert, said: Although Vietnam now has clearly-defined ICT development orientation, human resource training needs to call a special attention. Diep added that, to supply enough high-quality manpower for the ICT industry at present, Vietnam needs to organise short-term training courses to acquire new essential ICT know-how and standards Vietnam still lacks.

 

The second emphasis Vietnam should focus on is market development, Ta said. It needs a national IT promotion programme. It also has specific plans for ICT applications at all levels. The Ministry of Information and Communication will be the pacesetter, Ta added.