Digital Technology Firms - Driving Force for Vietnam's Digital Economy

9:54:14 AM | 12/30/2020

With nearly 60,000 companies and their revenue estimated at US$120 billion, the digital business community has become an important driving force for developing the Vietnamese business community and the Vietnamese economy in general.

For a prosperous Vietnam

Speaking at the National Forum on Developing Vietnam Technology Companies 2020 held in Hanoi on December 23, Minister of Information and Communications Nguyen Manh Hung affirmed, without “Make in Vietnam”, Vietnam cannot become a developed country; Vietnam cannot go to the world; Vietnam cannot be strong and prosperous. This is an action slogan, inspiring the design spirit in Vietnam and innovations in Vietnam, making in Vietnam instead of outsourcing and assembling. Vietnamese people use their hands and brains to create products.

Emphasizing the remarkable progress made by Vietnamese tech firms since the official introduction of "Make in Vietnam" strategy, Minister Nguyen Manh Hung said, the first Directive of 2020 (Directive 01) of the Prime Minister is about Vietnam Digital Enterprise Development. After one year of implementation, more than 13,000 new businesses were established, up 28%, bringing the number of information technology enterprises to over 58,000. The target of having 100,000 digital technology companies by 2030 may be achieved by 2025.

Not only that, the mission to protect Vietnam's prosperity on cyberspace is also a focus of Make in Vietnam.

The recent struggle against Covid-19 pandemic has affirmed the importance of technology. From Ncovi, Bluezone and CoMeet applications to online learning platforms, remote medical consultation, remote accounting and SME administration all show irreplaceable roles of technology, he said. Swift reaction is vital in this very unpredictable era.

In addition, one of the steps emphasized by Minister Hung is that Vietnam is the fifth country in the world to own 5G infrastructure and produce 5G equipment. This comes from creative work and persistent determination to overcome all difficulties and obstacles.

“The year 2021 will be a strong year of Vietnamese technology development. Therefore, Make in Vietnam will solve the problem of Vietnam and help our country develop,” he affirmed.

Businesses need to actively create competitive position

Speaking at the Forum, Deputy Prime Minister Vu Duc Dam said that if Vietnamese firms do not actively embrace technology and do not actively and confidently create and make their own products, solutions and way of doing, they will find it hard to win in competition on the home market.

According to Minister Nguyen Manh Hung, to have Make in Vietnam, Vietnam must master the technology. The key to Vietnam's technology mastery is open technology. The Vietnam Open Summit in November 2020 announced this technology strategy. “Open to develop and master Vietnamese technology, to Make in Vietnam. Open technology is the way that every company, regardless of its business sector, can become a technology company. Every company needs to become a technology company!” Minister Hung affirmed.

With this same point of view, President of FPT Corporation Truong Gia Binh said Vietnam is on the right track. It cannot become an advanced country if it cannot master and innovate technology. Companies such as Viettel, VNPT, CMC and FPT act as leading wings to entice the startup and SME community together to make services for the government, enterprises and people.

Emphasizing the importance of the digital business community, in his letter to the Vietnamese digital business community, Prime Minister Nguyen Xuan Phuc also affirmed that the digital business community should take the lead in research, development and innovation, master technology, make important contributions to the national digital transformation and transform the digital economy to fulfill aspirations for a strong and prosperous Vietnam.

However, according to the Prime Minister, amidst international integration trends and strong impacts of the Fourth Industrial Revolution, besides many opportunities for development, Vietnamese tech firms have to face numerous difficulties and challenges in competition, research and development of new products and services; carry out the Politburo's Resolution 52-NQ/TW in 2019 and have 100,000 Vietnamese digital technology enterprises according to the Prime Minister's Directive 01/CT-TTg by 2020, there is a need for joint action and effort of the Government, people and the business community. The Prime Minister pledged that the Government will actively improve institutions and laws and develop and implement appropriate strategies, open mechanisms and policies, improve the business investment environment, and create favorable conditions for businesses to develop, especially digital technology businesses.

By Ha Thu, Vietnam Business Forum