Vietnam’s total revenue from information and communications technology (ICT) in 2018 reached an estimated US$98.9 billion, according to data released at a meeting yesterday by the Ministry of Information and Communications.

File photo of visitors at a telecom, IT and communications exhibition. Vietnam’s ICT revenue in 2018 was estimated at US$98.9 billion 

Of this amount, revenue from the hardware industry and electronic parts and telecom equipment manufacturing sectors account for some US$88 billion. The nation saw 13.8% growth in the software industry, which generated over US$4 billion in revenue and US$3.5 billion in software export value. The number of software firms throughout the country totaled some 10,000 units, with manpower of 120,000 people.

Addressing the event, Nguyen Manh Hung, Minister of Information and Technology, suggested that the nation should leverage available opportunities to boost the growth of the ICT sector.

Last year’s national ICT revenues exceeded the 2017 figure of US$91.5 billion. However, Hung noted that there are many more major tasks left to complete to achieve the healthy growth of the sector in the long run.

Laws related to the sector should be revised to avoid overlaps and contradictions, as this issue has plagued the sector’s development for years.

Hung added that Vietnam’s ICT ranking had dropped to the 108th position over the past decade, lower than the world average. He has set a target of lifting Vietnam in the world rankings for telecommunications to 30th-50th place in 2022. Therefore, the sector should closely follow international standards to make improvements.

Also, ICT Vietnam will focus on developing major sectors in the coming period, such as the telecom, postal services, ICT and digital content industries.

As for telecoms, the use of smartphones should be widely introduced, enabling more local people to access apps on their phones. The ministry will pilot epayment methods, encouraging locals to transfer money and shop on telecom accounts, aiming to boost the national economic growth.

Regarding the ICT industry, Vietnam is seizing the opportunity to become one of the largest manufacturers of telecom equipment in the world, with the current capacity to serve 70% of the demand for telecom equipment.

There are typically four major telecom parts manufacturers in the world---Ericsson, Nokia, Huawei and ZTE---while China accounts for over 60% of the market share, but it is currently facing trouble in its trading activities with the United States.

SGT