1. The 2G network shutdown facilitate the migration of 18 million subscribers to 4G networks
A significant milestone was achieved on October 16, 2024, with the successful completion of the 2G network shutdown by all Vietnamese mobile operators. This initiative facilitated the seamless transition of approximately 18 million subscribers to 4G networks. This transition is expected to significantly enhance digital inclusion by encouraging smartphone adoption and empowering citizens with greater access to digital services, thereby fostering the development of a digitally-enabled society.
2. The National Assembly passes the Data Law
The Vietnamese National Assembly passed the Data Law with an overwhelming majority of 94.15 percent of delegates in favor on November 30, 2024. The law, which will come into effect on July 1, 2025, mandates the establishment and operation of a National General Database under the purview of the Ministry of Public Security.
Furthermore, the law provides a comprehensive framework for the regulation of cross-border data transfer and processing activities. Notably, the law ensures the protection of the legitimate rights and interests of agencies, organizations, and individuals engaged in the transfer and processing of foreign data within Vietnamese territory.
3. The Government issues a Decree on the management, provision and use of Internet services and online information
The Prime Minister issued Decree No. 147/2024/ND-CP, effectively repealing Decree No. 72/2013/ND-CP and Decree 27/2018/ND-CP and establishing a comprehensive legal framework for the management, provision, and utilization of Internet services and online information on November 9, 2024.
This decree encompasses both domestic organizations and individuals, as well as foreign entities directly involved in or related to these activities. The issuance of this decree is anticipated to foster a transparent and predictable legal environment while simultaneously enhancing Vietnam's competitive standing within the global information technology landscape.
4. The Government issues the Strategy for the development of Vietnam's semiconductor industry to 2030 and vision to 2050
Prime Minister Pham Minh Chinh signed Decision No. 1018/QD-TTg on September 21, 2024, outlining a national semiconductor industry strategy with a vision to 2050. Phase 1 (2024-2030) aims to establish Vietnam as a global hub for semiconductor human resources and develop capabilities across the entire value chain, from research and design to production, packaging, and testing. The strategy targets a semiconductor industry revenue exceeding US$25 billion annually.
5. The Government approves the Digital Infrastructure Strategy to 2025 and orientations to 2030
Deputy Prime Minister Nguyen Hoa Binh signed Decision No. 1132/QD-TTg, outlining the Digital Infrastructure Strategy to 2025 with a vision to 2030 on October 9, 2024. Key targets include achieving 100 percent fiber optic coverage for households by 2025, deploying 5G services nationwide, and establishing at least two new international submarine fiber optic cables.
By 2030, the strategy aims for 99 percent 5G coverage, 6G network trials, the development of six new submarine cables, and a significant increase in submarine cable capacity to at least 350 Tbps. This strategy also emphasizes the development of data centers supporting artificial intelligence and aims to ensure each citizen has access to one IoT connection and a unique digital identity.
6. 5G is officially commercialized
Viettel commercialized 5G, achieving full coverage in the capitals of all 63 provinces and cities, as well as in industrial zones, tourist areas, seaports, airports, hospitals, and universities on October 15, 2024. About two months later, VNPT officially announced the launch of its high-speed VinaPhone 5G service, aiming for even broader coverage in 2025, with a target to reach 85 percent of the population in the near future on December 20, 2024. Meanwhile, MobiFone plans to commercialize 5G at the beginning of 2025, with the goal of extensive coverage across all provinces and cities nationwide.
7. Merging the Ministry of Information and Communications and the Ministry of Science and Technology to promote digital transformation
The merger of the Ministry of Information and Communications with the Ministry of Science and Technology is a significant step towards accelerating digital transformation and streamlining government administration.
8. Prime Minister approves the National Data Strategy to 2030
Deputy Prime Minister Tran Luu Quang issued Decision No. 142/QD-TTg, formally approving the National Data Strategy with a vision extending to 2030 on February 2, 2024.
A key objective of this strategy is to establish a fully interconnected network encompassing all National Data Centers, Regional Data Centers, and National Centers for Big Data Storage and High-Performance Computing across the nation. This interconnected network will facilitate the efficient processing and analysis of big data to effectively support the socio-economic and cultural development of the country.
9. Banks implement biometrics to prevent online fraud
Starting January 1, 2025, the State Bank of Vietnam will require account holders to update their biometric information. Failure to do so will result in the restriction of online banking services. These accounts will only be able to conduct transactions at bank branches.
10. Semiconductor giant NVIDIA buys shares of Vinbrain to open 2 AI research centers in Vietnam
NVIDIA Corporation signed a cooperation agreement with the Vietnamese Government on December 5, 2024, to establish a Research and Development Center (VRDC) and an AI Data Center in Vietnam. This VRDC is poised to become one of the world's three largest AI R&D centers, alongside centers in Silicon Valley and Taiwan (China).
In addition to establishing a Research and Development Center (VRDC) and an AI Data Center in Vietnam, NVIDIA has further solidified its commitment to the country through the acquisition of VinBrain, a move intended to facilitate the development of a design center within Vietnam.
Furthermore, NVIDIA has entered into agreements with numerous partners to relocate existing production chains from other countries to Vietnam. This strategic investment, projected to reach between $4 and $4.5 billion over the next four years, is anticipated to have a significant economic impact, creating an estimated 4,000 direct jobs and an additional 40,000-50,000 indirect jobs.
