Vietnam’s Telecommunications Sector Achieves Key Milestones in Domestic Technology Development

The Vietnamese Ministry of Information and Communications (MIC) has announced two significant achievements in the nation’s telecommunications sector: the successful development and testing of a 5G base station manufactured entirely in Vietnam, and the successful deployment of an AI-powered virtual assistant for government officials. These advancements underscore Vietnam’s growing technological prowess and its commitment to fostering domestic innovation. The announcements were made during a recent meeting with retired officials from the telecommunications sector in the northern region.

AI-Powered Virtual Assistant Revolutionizes Government Operations

One of the most striking innovations is the AI-powered virtual assistant developed by the MIC. This sophisticated system represents a harmonious blend of cutting-edge technology and Vietnamese cultural values. Minister of Information and Communications Nguyen Manh Hung has guided the initiative, which aims to enhance administrative efficiency within the ministry. The virtual assistant is designed to integrate with the knowledge bases of the MIC’s human resources and to assist in pilot programs. This development signifies a paradigm shift, as the work of officials and civil servants within the MIC will be significantly streamlined, allowing for the successful testing and implementation of this AI-powered assistant. The ultimate goal is to extend this AI-driven assistance to all government agencies.

The AI assistant is a product of combining human intelligence with large language models, drawing inspiration from artificial intelligence. This technology will empower officials and civil servants within the MIC to enhance their productivity and facilitate the successful testing of the AI assistant. The MIC anticipates that this initiative will eventually be scaled to assist all government personnel.

"Made in Vietnam" 5G Base Stations Mark Technological Leap

The development of the 5G base station, proudly bearing the "Made in Vietnam" label, represents a crucial step forward for the nation’s technological independence. This achievement, reported to the MIC, showcases the country’s capability in producing advanced telecommunications equipment. The successful demonstration and validation of this domestically produced 5G base station were presented to retired telecommunications officials during a meeting in the northern region.

This initiative aligns with the strategic vision to foster technological self-reliance and reduce dependence on foreign imports. The development process has been guided by a commitment to integrate global technological trends with Vietnamese cultural heritage. The MIC is actively piloting the AI-powered virtual assistant, which is designed to assist government officials across various specialized fields. The system integrates human expertise with advanced AI models, promising to significantly boost administrative efficiency and support the pilot programs undertaken by the ministry.

The successful development and testing of the 5G base station are a testament to the growing capabilities of Vietnamese technology firms. Viettel, a leading telecommunications company in Vietnam, has played a pivotal role in this endeavor. The 5G base station developed by Viettel is built on the Open RAN standard, demonstrating the company’s adherence to international technological advancements. This achievement serves as a powerful indicator of Vietnam’s burgeoning technological competence.

Currently, 5G base stations manufactured by Vietnamese enterprises have been deployed in Hanoi, Ha Nam, and Ninh Thuan. Further expansion is planned for Ho Chi Minh City and Dong Nai by the end of the year. Viettel has also secured long-term contracts to supply this equipment to other countries, positioning Vietnam as the fifth nation globally to produce 5G base stations, following Sweden, Finland, South Korea, and China.

A Legacy of Innovation and Vision

These recent milestones are built upon a long-standing tradition of innovation within Vietnam’s telecommunications sector. The MIC’s achievements reflect a broader national strategy to embrace the digital era and to continuously innovate. The ministry has identified ten core values for the sector, including "Integrity – Resilience – Creativity – Innovation – Responsibility," which guide its development. These values emphasize the importance of upholding traditional ethics while embracing forward-thinking approaches and investing in emerging technologies.

The journey towards technological self-sufficiency in Vietnam’s telecommunications sector has deep roots. Nearly 40 years ago, during a period of significant economic hardship, former Chairman of the State Committee for Science and Technology, Dang Van Than, made bold decisions to propel the sector forward. At a time when Vietnam was heavily reliant on foreign technology, Than advocated for bypassing intermediate technologies and directly embracing advanced ones. He championed policies that encouraged domestic production, sought foreign investment, promoted foreign direct investment, and leveraged international capital for development. This forward-thinking approach laid the groundwork for the nation’s current technological advancements.

Under Than’s leadership, the telecommunications sector broke through significant barriers, transforming into a leading industry in the country’s economic reforms. The contributions of individuals like Dang Van Than have been instrumental in shaping the nation’s telecommunications landscape and its broader socio-economic development.

Pioneering Advancements and Future Outlook

The recent successes in 5G technology and AI development are not isolated incidents but rather integral components of Vietnam’s broader digital transformation strategy. The Ministry of Information and Communications has been instrumental in guiding the sector’s development, fostering innovation, and encouraging the adoption of new technologies. This proactive approach is crucial for maintaining Vietnam’s competitive edge in the rapidly evolving global digital economy.

The Ministry’s strategic vision extends to fostering a robust ecosystem for domestic technology companies. The "Make in Vietnam" initiative, launched in 2019, has been a cornerstone of this effort, encouraging local businesses to develop high-value products and solutions that address national challenges and compete on the global stage. This initiative underscores the government’s commitment to building a self-reliant and innovative technology sector.

The MIC has also been actively involved in developing comprehensive legal frameworks and policies to support the growth of the ICT industry. This includes promoting investment in research and development, fostering collaboration between academia and industry, and creating an environment conducive to innovation and entrepreneurship. The ministry’s efforts are geared towards enabling Vietnamese ICT companies to expand their reach globally and contribute significantly to the nation’s economic growth.

Key Developments Driving Sector Growth

The meeting with retired telecommunications officials highlighted several critical areas of progress and future focus. The AI-powered virtual assistant, a prime example of this innovation, is set to transform government operations. Its ability to process information and provide insights promises to enhance decision-making and streamline administrative processes. This technology is not merely a tool but a strategic asset in modernizing governance.

The "Made in Vietnam" 5G base station, developed by Viettel, signifies a critical leap in technological sovereignty. This domestically produced equipment adheres to the Open RAN standard, indicating Vietnam’s commitment to interoperability and global standards. The successful deployment of these base stations in key provinces like Hanoi, Ha Nam, and Ninh Thuan, with further expansion into Ho Chi Minh City and Dong Nai, demonstrates the practical application and scalability of this technology.

Viettel’s success in securing international contracts for its 5G equipment positions Vietnam as a significant player in the global telecommunications market. This achievement places Vietnam among a select group of nations capable of developing and exporting such advanced technology, underscoring the nation’s growing technological maturity.

Embracing the Digital Transformation Era

The current phase of development in Vietnam’s telecommunications sector is characterized by a strategic focus on national digital transformation. The MIC’s efforts are aligned with the national strategy for digital government, digital economy, and digital society. The ministry’s objective is to cultivate Vietnamese ICT enterprises with the capability to compete on a global scale.

The "Make in Vietnam" initiative continues to be a driving force, encouraging businesses to develop innovative products and solutions that address Vietnam’s unique challenges and contribute to its economic development. The ministry actively promotes the adoption of these solutions, both domestically and internationally.

Global Reach and Economic Impact

The growth of Vietnam’s ICT sector is evident in its increasing global footprint. The number of ICT companies operating in Vietnam has steadily risen, reaching approximately 51,038 by July 2024, an increase of nearly 6,000 businesses compared to August 2023. Notably, about 1,500 of these companies are generating significant revenue from international markets.

In 2023, the total revenue from international markets for Vietnamese ICT companies reached $7.5 billion. Projections for 2024 indicate a further increase to $10 billion, representing a growth of approximately 30%. This upward trend signifies the growing competitiveness and global appeal of Vietnamese technology products and services.

Minister Nguyen Manh Hung highlighted the significance of this export revenue, noting that it far exceeds the amount spent by Vietnamese telecommunications companies on importing foreign equipment. This shift represents a substantial economic gain for the nation. He stated, "Previously, we relied on others; now, we are the ones providing. This success is vital for building the country. The MIC’s goal is for the export revenue of the IT and telecommunications sector to reach significant export volumes by 2035. Only then can Vietnam be considered a technologically advanced nation."

Future Aspirations and National Development

The ambitious goal of achieving substantial export volumes in the ICT sector by 2035 is a clear indicator of Vietnam’s aspirations to become a global leader in technology. This objective is intrinsically linked to the nation’s broader development agenda, aiming to establish a robust and competitive ICT industry that contributes significantly to national prosperity and global innovation.

The Ministry of Information and Communications is actively working to create a supportive environment for the growth of the ICT sector. This includes refining policies, developing industry standards, and promoting R&D. The ministry’s vision is to foster a dynamic and sustainable ICT ecosystem that drives economic growth and enhances Vietnam’s global standing.

As Vietnam continues to invest in its technological infrastructure and nurture its domestic talent, the future of its telecommunications sector looks exceptionally bright. The recent achievements in 5G and AI are not just technological milestones but powerful symbols of Vietnam’s commitment to innovation, self-reliance, and its emergence as a significant player in the global digital landscape. The ongoing efforts to develop comprehensive policies and strategies, including the drafting of the Law on Information Technology and the Sustainable ICT Development Strategy, underscore the nation’s long-term vision for a digitally empowered future.