VietNamNet Bridge – Vietnamese scientists have created high-quality chips but are less sure of how to sell and market them.

In 2010, the Vietnam National University Integrated Circuit Design Research and Education Center (ICDREC) successfully designed chip VN1632 and the chip SG8V1 in 2014. These were hailed as wonderful achievements of Vietnamese science.

Dr. Le Duy Thac, a renowned scientist from the Vietnam Academy of Science and Technology, said he was happy that a high-technology product could be made by Vietnamese, but also was worried that the product would not sell. If not, the great achievement would “fall into oblivion”.

Thac said it was not the scientists’ fault because they cannot create markets for their products. Vietnamese businesses fear they would face risks if they use Vietnam-made products instead of foreign ones.

Thac said the government should encourage Vietnamese businesses to use Vietnam-made chips.

“We need someone who will pioneer the use of these chips,” Thac said. “It is necessary to create a policy which encourages large businesses, like the telcos Viettel or MobiFone, to use the chips.”

If the high quality of the chip is recognized by the telcos, other businesses would follow their move to use Vietnam-made chips.

“The ministries and branches which now use foreign-made products for state-funded projects should be asked to use Vietnam-made chips, if the chips can satisfy certain requirements,” he said.

Minister of Science and Technology Nguyen Quan also admitted that Vietnam would have to overcome many difficulties to develop its chip industry, because Vietnamese prefer foreign-made brands.

A Vietnamese physical electronics expert agreed that the government needs to “give a push” to the chip invented by ICDREC (Integrated Circuit Design Research and Education Center), because developing the IC industry is a “national matter”.

He warned that if scientists are not encouraged, they will give up researching and Vietnam will never have a chip industry.

When asked what the state should do to help develop the IC industry, he said the support could be “money and reasonable policies”.

“Why not encourage Vietnamese businesses to use Vietnam-made products with reasonable policies,” he said.

Thac said that Vietnam spends billions of dollars every year to import equipment and production lines, instead of sourcing them domestically.

“Vietnamese businesses spend money on low-quality Chinese products. Why don’t they think of buying Vietnam-made products which are cheaper and better?” he said.

Vietnam consumes more than 20 billion integrated circuits (IC) worth a combined US$2 billion a year but most of them are imported. 

According to Ngo Duc Hoang, director of ICDREC, the world’s microchip sales amounted to nearly US$315 billion last year. If Vietnam secures small share, it could earn billions of dollars in annual sales.

Dat Viet