Information technology turnover in 2009 may hit over $6.2b

27-Nov-2009 Intellasia | Sai Gon Giai Phong | 6:46 PM Print This Post

National Monitoring Committee for Information Technology and Ministry of Information and Communication yesterday held a national IT conference 2009 titled “Present situation, market and development orientation of Vietnam’s IT and communication sector”, attended by deputy prime minister Nguyen Thien Nhan.

Nguyen Trong Duong, acting head of IT and Communication Department said that Vietnam’s IT market last year grew by 23 percent year-on-year to $5.22 billion, and could increase by 20 percent in 2009 to $6.26 billion. In which, the turnover of electronic industry and hardware is estimated to reach $4.68 billion, a year-on-year growth of 14 percent. Regarding software industry, this year’s total revenue could surge 30 percent against 2008 to $880 million.

The digital content industry and online service in 2009 may jump 58 percent year-on-year to $700 million of turnover.

According to Ministry of Information and Communication, with the development of wideband Internet and mobile service 3G, the digital content industry and online service promises a further strong growth in the coming time.

Global economic crisis caused strong impacts on FDI attraction to Vietnam’s IT sector. However, thanks to the recovery signals, investors continued expanding business, especially in October Samsung kicked off work on mobile phone production factory with a designed capacity of 1.5 million units a month.

In recent time, a lot of foreign IT groups invested in Vietnam, such as Intel, Samsung, Canon, Fujitsu, LG while many domestic groups including VTC, Viettel and VNPT plan to enhance investment in the field.

Speaking at the seminar, director of HCM City Department of Information and Communication, Le Manh Ha said that HCM City is the largest centre of IT production and business, accounting for 35-40 percent of the country’s IT turnover. This is also the biggest market and the strongest IT applying city.

Deputy prime minister Nguyen Thien Nhan addressed, in past 10 years, the average growth of IT reaches 20-25 percent, higher three times than Vietnam’s GDP growth. The impressive growth rate or higher level needs to be maintained in next 10 years.

Vietnam needs to have marketing strategy for both domestic and international market. There should select 10-15 best IT companies to upgrade their brand name to the global market.


Category: Business

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