Four Vietnam telcos urged to lead semiconductor chip R&D
Vietnam’s chip market expected to reach $1.6b by 2027.
Vietnamese Prime Minister Pham Minh Chinh has urged the country’s four state-owned telecom companies to take charge of implementing the government’s semiconductor growth strategy.
In a press release of Vietnam’s Ministry of Information and Communication (MIC), the Prime Minister has directed Viettel, VNPT, MobiFone, and Gtel Mobile, to take the lead on semiconductor chip research, development, and production as part of the said strategy.
The country has been promoting the development of domestic chipsets for its advantage of having rare earth reserves which is an important raw material in semiconductor chip production, the MIC said.
According to MIC, the scale of the market is expected to reach about $1.66b by 2027. A report from Bloomberg also revealed that Vietnam’s market revenue from the US grew from $321.7m in February 2022 to over $562m during the same period in 2023.
However, the MIC said that the investment in developing personnel resources for the semiconductor chip sector in Vietnam remains modest as only 5,000 engineers are working in about 40 chip and semiconductor companies.
The Vietnamese government earlier said that it is planning to train about 50,000 engineers in semiconductor chips until 2030 as it aims to fuel the country’s digital transformation and achieve technological self-reliance.
