Vietnam boosts cloud-computing services towards digital economy

Vietnamese tech enterprises are encouraged to meet national standards and regulations on cloud-based applications to master cloud-computing platforms and promote the development of the digital economy, Minister of Information and Communications Nguyen Manh Hung has said.

Minister of Information and Communications Nguyen Manh Hung addresses the launching ceremony.Photo: VGP

At the launching ceremony to promote digital transformation with cloud computing in Hanoi on May 22, Minister Hung and executives of four major Vietnamese tech firms namely VNG, VCCorp, Viettel and CMC introduced several open-source cloud-based platforms and applications which meet the ministry’s standards and regulations.

The project "National Digitization Process"was also launched at the event.

The pandemic Covid-19 has triggered increasing demand for such digital platforms as distance learning, distance health check, teleworking, video conference, e-paper, cyber-security, and hence the need for cloud storage.

According to the minister, the value of domestic cloud computing services was estimated at US$200 million with annual growth of 30%. However, Vietnamese enterprises only accounted for 20% of the market share. Mastering cloud computing platforms is a key factor for many important future projects and plans of the country, Hung said. 

Currently, Vietnam owns about 27 data centers with 270,000 servers, operated by 11 domestic enterprises which provide services at affordable prices. 

Local businesses have participated in the process of digital transformation in Vietnam.

Vietnam is one of the first countries to have adopted a set of criteria and technical specifications for cloud computing services and it is expected that more Vietnamese cloud providers will reach such standards in the future, in addition to the 11 enterprises attending the campaign launch.

Vu Minh Tri, director general of VNG Cloud, said once local firms have mastered cloud-computing infrastructure and technology, they would not have to rely on foreign suppliers and help spur the development of cloud computing services in Vietnam.

The ministry plans to organize the first-ever open-source community meeting in Vietnam in the third quarter of this year.