Vietnam's Technology Expanding Globally Success or Challenge?

With the goal of having the digital economy account for 30% of GDP by 2030, Vietnam is steadily advancing to become one of the new global tech hubs.

The Impressive Growth of the Digital Technology Sector

In recent years, Vietnam has been building and gradually establishing its position on the global digital tech map, with strong growth rates, a young workforce, and a comprehensive digital transformation strategy driven by the government.

According to the Ministry of Information and Communications, by 2024, Vietnam's digital technology sector will contribute approximately 15% to the national GDP, with a revenue of 158 billion USD. It is forecasted that this number could reach 20% of GDP by 2030, driven by the strong development of fields such as artificial intelligence (AI), blockchain, fintech, and software services. Specifically, the software market, especially the Software-as-a-Service (SaaS) model, is expected to grow from 1.7 billion USD in 2023 to 3 billion USD by 2026, with an average growth rate of 17% per year.

Not only in terms of scale but the quality of "Make in Vietnam" technology services is increasingly appreciated by global companies, especially in IT outsourcing. Vietnam is gradually becoming an ideal destination for businesses looking for high-quality tech solutions at reasonable costs.

Vietnamese Tech Companies Expanding Globally

One of the clear signs of the robust development of Vietnam's digital technology sector is that local companies are not only focusing on the domestic market but are also expanding their operations globally. To date, about 1,500 Vietnamese tech companies have generated revenue from international markets, with an estimated total revenue of 7.5 billion USD, up 4% from the previous year. This is proof of the limitless potential and capacity of Vietnamese tech companies in capturing global markets.

SotaTek – The Journey from Startup to Global Company

SotaTek is one of the successful Vietnamese tech companies on its journey to the global stage, showcasing the potential and global competitiveness of Vietnamese technology. Founded in 2015 in Hanoi, SotaTek quickly grew and expanded its operations to over 25 countries, including the U.S., Australia, Japan, South Korea, and Singapore. The company provides a variety of technology solutions such as software development, blockchain, artificial intelligence, IoT, and cloud computing, serving over 350 clients worldwide in fields such as finance, healthcare, education, and e-commerce.

Mr. Vu Hai Anh (Harry Vu), Senior Vice President of SotaTek, shared: "From the very beginning, we set the goal of elevating Vietnamese technology on the world map. Today, we are proud to have gradually realized this vision through continuous innovation and global expansion. In the future, SotaTek will continue to invest in research, and development, and make positive contributions to the growth of Vietnam's digital technology ecosystem."

Opportunities and Challenges for Vietnam's Digital Technology Sector

Along with strong development opportunities, Vietnam's digital technology sector also faces numerous challenges on its path to internationalization. One of the major difficulties is uneven technology infrastructure and a shortage of highly specialized human resources, particularly in emerging fields like AI and blockchain. Additionally, fierce competition from developed countries requires Vietnamese companies to put in extra effort to maintain their position.

To reach further, Vietnamese companies need to continue innovating while improving service quality and adding technological value. In its development journey, SotaTek is tirelessly working to overcome these challenges. The company is not only focused on advancing cutting-edge technologies but is also making significant investments in workforce training to ensure continuous development. Furthermore, establishing strategic partnerships with major brands has helped SotaTek expand globally and affirm its position worldwide.

Looking Toward the Future

Looking ahead, Vietnam's digital technology sector promises to continue growing, making positive contributions to global digital transformation. With a high potential market, a young workforce, and government support, Vietnam is gradually becoming a "rising star" in the global tech industry.

Source: VTV