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VIETNAM ICT INDUSTRY

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quanda
19 diapositives · 1K Views · Jul 12, 2014

VIETNAM ICT INDUSTRY. New Destination for ICT R&D . Duong Minh Tri Head of Business Affairs Belgian Vietnamese Alliance www.belvietnam.be. Vietnam – Geography. Capital: Hanoi Largest city: Ho Chi Minh City Official language : Vietnamese Government : Socialist Republic

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  1. VIETNAM ICT INDUSTRY New Destination for ICT R&D Duong Minh Tri Head of Business Affairs Belgian Vietnamese Alliance www.belvietnam.be

  2. Vietnam– Geography Capital: Hanoi Largest city: Ho Chi Minh City Official language: Vietnamese Government: SocialistRepublic Area: 331.698 km2 (10x Belgium) Coastline: 3.260 km Population: 89.571.130(2011 census) Currency: Dong Country code: +84

  3. Vietnam – within ASEAN The Association of South East Asians Nations ● Geo-political and economicorganization of ten countries located in SouthEastAsiaand formed on 8 August 1967 by Indonesia, Malaysia, The Philippines, Singapore, and Thailand. Sincethen, the membership has expand to Brunei, Burma (Myanmar), Cambodia, Laos and Vietnam. ● Total population of approximately 600 million people. ● AFTA: ASEAN Free Trade Area

  4. Vietnam – The fastest growing economy In South East Asia Vietnam is not the Largest economy But the Fastest • Average GDP growth of 7% during the last 20 years

  5. Vietnam – ICT IndustryOverview IT Industry Revenue ( Million USD) ● Hardware is dominant but Software and digital content are developingfast ● Annualgrowth rate is 20-25% during 2005-2010

  6. Total number of employees in IT sector (persons) Average of revenue per employee in IT sector (USD/person/year) Average of wage in IT sector (USD/person/year)

  7. Vietnam – Hardware Industry ICT Import – Export (Million USD) import import ● Top 10 exports of Vietnam ⇒Export $3.5B USD to 35 countries ⇒ Ranked #7 in 2009 ⇒ Over 127,000 workers ● FDI Companies are the key players ⇒ Samsung, Canon, Nidec, Compal, Fujitsu, Foxconn…

  8. Vietnam – Software Industry ● Growth 25% annually in the last 10 years ● In 2010, Software Industries revenue reached to $1B USD ● 1000+ software companiesemploying 70,000 people

  9. Vietnam– New destination for software outsourcing • Vietnam is in Top Ten of A.T. Kearney’s Global Services Location Index 2011 & 2009 • Ho Chi Minh City on KPMG 'locations to watch' for next outsourcing boom • (KPMG Advisory , 2009) • “Ho Chi Minh City the 5th of Top 50 Emerging Outsourcing Cities” • “Hanoi the 10th of Top 50 Emerging Outsourcing Cities” • (Global Services-Tholons, 2009)

  10. Vietnam– Who already outsourced to Vietnam?

  11. Vietnam software outsourcing – Why attractive? • Large talent pool • 40,000+ ICT graduates a year • Hundreds of ICT universities and colleges • Quality • Meet stringent quality requirements from world leading companies • Adoption of international quality standards: ISO, CMMi… • Low Attrition • Less than 10% • Strong government support for the software industry • Tax, training & education, software/high tech parks etc.

  12. Vietnam – Digital Content Industry ● Annualgrowth rate 40% since 2005 ● Over 500 companiesemploying 51,000 people ● In 2010, Digital content industry revenue reached 934M USD ● In 2010, Digital content services on mobile network revenue reached571M USD ● Internet with 26 millions users ● 3G network with 7 millions users

  13. Why Vietnam?– A New High Tech Center • An attractive investment destination • Vietnam – the top destination for investment beyond BRIC (UKTI, 2010) • FDI: $40+B invested in the last 10 years • Young and well-educated population • 60% of 89M population under 30 • Literacy rate more than 90% • 220,000+ university/college graduates a year • Emerging as a high technology center • Investment by IBM, Intel, Samsung, Renesas, Foxcon , Fujitsu, Canon… to develop/manufacture high tech products • R&D outsourcing from IBM, Microsoft, HP, CSC, EA, Alcatel-Lucent, NTT, Avaya, Nortel, Toshiba, NEC, Amdocs, Andrew

  14. Why Vietnam? – Emerging Domestic ICT Market  Abundant Opportunities • Needs ICT products/solutions for • 89+ million people • Fast growing economy • 30+ M Internet users (ASEAN largest, 20th highest in the world) • 100+ M Mobile phone subscribers • Three Vietnam companies in world top 100 mobile service providers • Top 3 fastest growing telecommunication markets in Asia • ICT revenue 2010 : $7.6B

  15. Why Vietnam? - Opportunities • Your partner in South East Asia • Distribution • Localization • Testing • Technical support • Professional services • Domesticmarket • Fast growing ICT market • ICT outsourcing • Tap into the Vietnam large pool of young talents ` increase your competitiveness

  16. Vietnam – Legal Framework GovernmentOrganizations

  17. MIC Organizational Structure

  18. Vietnam – New market

  19. For your attention