On February 26 in Hanoi, the Hanoi Innovation Center Joint Stock Company was officially launched, marking a significant milestone in the capital’s strategy to develop its innovation ecosystem and reposition itself as a regional technology hub.

The new center, known as HIC, was introduced at a ceremony attended by public and private partners as well as domestic and international venture capital funds. It represents a new collaborative framework bringing together the Hanoi People’s Committee, Hanoi University of Science and Technology and CMC Corporation under a “State - University - Enterprise” model.

The initiative comes as Vietnam enters a deeper phase of digital transformation. Hanoi faces typical metropolitan challenges, including traffic congestion, environmental pollution, infrastructure pressure and rising demands for governance capacity. At the same time, the city benefits from a young population, a large domestic market and growing openness to new technologies.

Under its announced orientation, HIC is expected to act as a national “engine for innovation design and execution,” contributing to digital transformation goals, smart city development and the attraction of talent, capital, technology and international expertise.

Positioning Hanoi as a testing ground for new technologies

One of HIC’s three strategic priorities is to attract the global creative community and position Hanoi as a hub for piloting new technologies and business models.

Rather than relying solely on domestic resources, the center seeks to open its doors to international experts, enterprises and founders to jointly address real-world urban challenges in the capital.

Priority areas include artificial intelligence, big data and smart urban technologies applied to traffic management, environmental monitoring, infrastructure optimization and data governance.

A controlled testing mechanism, or sandbox model, is expected to allow emerging technologies and business models to be deployed on a limited scale, with impact assessments conducted before wider rollout. This approach aims to reduce policy risks while fostering a flexible environment for experimentation.

By branding itself as a destination for technology trials, Hanoi also seeks to place itself on the global map of investment flows and innovation networks, serving as a bridge between Vietnam’s market and major technology ecosystems worldwide.

Attracting and repatriating talent

The second strategic focus centers on attracting and bringing back talent, particularly Vietnamese technology entrepreneurs and founders operating overseas.

According to HIC representatives, many Vietnamese-founded technology firms are headquartered in Singapore, the US or Europe due to business environment conditions, tax policies and access to capital. Creating favorable conditions for them to register operations and pay taxes in Hanoi is viewed as a more immediate and practical solution than long-term domestic training alone.

When returning, these founders are expected to bring not only managerial expertise but also connections with international venture capital funds, technology partners and global markets. Such networks are seen as vital to elevating the domestic startup ecosystem.

HIC also aims to attract young international founders to start businesses in Vietnam. Competitive operating costs, high-quality human resources and a dynamic, culturally rich living environment are considered key advantages.

By encouraging interaction between domestic and international talent, Hanoi hopes to nurture globally competitive enterprises from an early stage.

A new governance model for innovation

The third strategic pillar focuses on leading domestic creative industries, especially as sectors such as e-commerce, social media and digital content face mounting competition from multinational platforms.

HIC is designed not merely as a support body but as a substantive partner for innovative enterprises, offering policy support, capital connections, market access and even equity participation in promising startups.

This model aims to ensure long-term alignment and sustainable development for emerging industries.

At the launch event, Nguyen Manh Hung, Minister of Science and Technology, presented certificates recognizing ecosystem partners including CMC, FPT, Elcom and Tecapro.

From a governance perspective, Vice Chairman of the Hanoi People’s Committee Truong Viet Dung described HIC as an institutional innovation built on the principle of “State orientation - Enterprise operation - University co-creation.”

He emphasized that the establishment of HIC marks a shift from administrative allocation mechanisms to co-investment and risk-sharing models; from fragmented support to ecosystem coordination; and from a startup movement to a value chain structured, standardized and measured by outcomes.

When innovation is embedded within a clear market structure with discipline and accountability, it can truly become a new productive force for the capital, he noted.

For academia, Associate Professor Huynh Quyet Thang, Director of Hanoi University of Science and Technology, said the partnership with the city and CMC opens a new pathway for scientific research.

HIC is expected to shorten the distance from laboratory to market by aligning research, training and innovation activities directly with enterprise needs and urban development priorities.

With its three strategic pillars, four-stage value chain model - from idea incubation and acceleration to commercialization and scaling - and coordinated support platforms, HIC is envisioned as a key link in Vietnam’s national innovation ecosystem.

Beyond providing support, the center aspires to play a role in orchestration and leadership, helping transform Hanoi into a pioneering city for creative industries and advanced technologies in the region.

Thai Khang