"Going international means taking Vietnam’s knowledge and digital technology to new frontiers so the world recognizes Vietnam by the impact it makes abroad," Minister of Science and Technology Nguyen Manh Hung told more than 100 Vietnamese firms at the "Vietnamese Digital Companies Go Global" event in February 2023 in Hanoi.
"It is about contributing to humanity’s development."
At the time Vietnam’s revenue from international markets stood at US$7.5 billion. In 2024 it increased to $11.5 billion.
In the last 80 years Vietnam, despite being a technological latecomer, has become a recognized name on the global tech map.
In the two decades since FPT first exported its software in 1999 and Viettel’s entry into international telecom markets, Vietnam has built a reputation in information technology and telecommunications.
Thousands of its digital businesses have expanded internationally, including several that even lead their fields worldwide.
Minister Nguyen Manh Hung speaks at the "Vietnamese Digital Businesses Go Global" event in Hanoi in February 2023. Photo by Thao Anh
More than 20 years ago Vietnam’s information technology sector was in its infancy, with rudimentary digital infrastructure, limited internet access and engineers lacking global experience.
Most companies were struggling to establish themselves at home, but the idea of taking Vietnamese technology overseas had already emerged.
In 1998 FPT, a product of the doi moi (renovation) reforms, had become the country’s leading information technology firm after being in the business for nearly a decade.
Its management saw going abroad as a way to challenge itself. In September 1998, FPT’s first strategy conference marked a turning point as it decided it will be "export or die" despite the huge resources that required.
Do Cao Bao, a founding member of FPT’s board, recalls the fateful meeting: "Chairman Truong Gia Binh wrote $500,000 on the board. As the executive generating the most revenue at FPT back then, I proposed $1 million, and the entire room agreed."
The $1 million plan was to train 100,000 programmers at $5,000 each to boost software exports. But it was all the cash reserves FPT had accumulated over 10 years.
"If we burn through $1 million without finding a way to go international, we will shut down," the conference concluded.
Around that time Viettel was a small telecom company without a steady domestic market, but in 2006 it announced plans to expand abroad.
A former Viettel Global executive says: "Going overseas was a chance for Viettel to learn to compete with major global telecom firms, improve its capabilities, and secure its position at home."
Metfone in Cambodia and Unitel in Laos, both telecom services, were Viettel’s first international projects.
FPT says one of the biggest obstacles to entering the global market then was the dearth of talent as Vietnam had only around 2,000 programmers in the 1990s, most of them lacking English and coding skills.
FPT’s entry into the U.S. market at the time was challenging as the 2000 dot-com stock market crash wiped out many potential partners.
In India, after opening an office in tech hub Bangalore, the company failed to secure any business and had to withdraw.
Limited experience, poor strategizing and little recognition of Vietnamese brands abroad caused early setbacks.
FPT staff in Vietnam and abroad work together. Photo by Van Anh
FPT targeted Japan in 2000, a market with strict standards but regular demand.
Its offshore software development center outsourcing model kept revenues flowing before the company expanded through mergers and acquisitions to quickly acquire new technology and market share.
Gradually FPT built a development hub in Japan and expanded to Singapore, Europe and again the U.S.
It then began offering digital transformation, AI, and cloud computing services, while also moving into hardware-related fields such as automotive technology, smart devices, and semiconductors.
In 2022 its international digital transformation revenues topped $1 billion for the first time, when Vietnam was second in the world after only India.
Viettel’s push into developing countries required major infrastructure investment while keeping prices affordable.
Each market posed different challenges like cultural and legal barriers to natural disasters and political unrest.
In Mozambique, where harsh conditions are common, Viettel engineers often faced life-threatening situations.
Nguyen The Luong, technical director of Movitel’s Zamberia branch, nearly died in 2020 when a storm swept away a bridge he had just crossed.
While on his way to fix a network outage, Luong and his colleagues were trapped in raging floodwaters. They were forced to tie cables around themselves to pull each other to safety.
On another trip, they had to bail water and patch leaks while paddling across the crocodile-infested Licungo River to restore a transmission station in time.
"Our competitors have money, we have to measure up with hard work and perseverance," Luong says.
A vendor of Movitel, Viettel’s telecom brand, in Mozambique. Photo by VTG
"During tough times our engineers were willing to make sacrifices and work around the clock to restore networks as quickly as possible, no matter the conditions," Nguyen Thi Hoa, CEO of Viettel Global, says.
"That helped us outpace our competitors, gain customers and become the top carrier in many markets."
Viettel now operates in 10 countries across three continents and serves 90 million users. It leads the mobile market in seven of them.
Viettel Global has sustained annual revenue growth of around 20% in recent years.
Ta Son Tung, founder of IT outsourcing provider Rikkeisoft, says: "We started out with just a few dozen employees and won our first clients in Japan, a country where we had studied.
"Those clients shaped our professional work style and international standards."
Founded in 2012 by a bunch of engineers who had studied in Japan, Rikkeisoft is part of a new generation of Vietnamese tech firms with global ambitions from the outset.
In international markets, strict requirements related to product quality, processes, security, and professionalism forced every team member to adapt to meet them.
Rikkeisoft has some rare achievements, especially for a startup.
For instance, its revenue growth in Japan is consistently above 40% a year.
In the U.S., it has completed more than 1,000 projects with a 97% client retention rate.
In South Korea, it partnered with major tech firms less than a year after entering the market.
Tung says adaptability and flexibility have helped the company survive and thrive amid global competition.
"For us, bringing Vietnamese technology to the world was more than a business goal; we made it our journey."
Vietnam has 1.67 million IT workers, with more being added each year. Thousands of companies have followed in the footsteps of pioneers and expanded overseas because the domestic market of 100 million people is too small for their growth plans.
By the end of 2024 Vietnam had around 52,000 digital businesses, with more than 1,500 earning revenues from overseas markets, according to the Department of IT Industry.
The new generation of tech entrepreneurs is also expanding into new markets and sectors.
"When Magic Tiles 3, our mobile game, shot to the top of global charts in 2016, we knew moving from PC to mobile was the right call. It also proved that our vision of a global music tech experience was achievable," Bill Vo, chairman and co-founder of Amanotes, a HCMC-based music game company, says.
Amanotes faced culture shock and differing user behaviors in markets like the U.S., U.K. and Japan.
To adapt, it focused on adjusting products for each market, using AI to speed up and diversify content, expanding its international music library, and maintaining a "fail fast, learn faster" mindset.
In the end the company was able to reach over 190 countries and 3.5 billion downloads, becoming one of the world’s leading music game companies.
Other Vietnamese-founded startups like English learning assistant Elsa Speak, game developer Sky Mavis and blockchain platform Kyber Network are also expanding into international markets.
Their products are designed for global users, powered by technology and delivered through digital platforms.
They make use of open platforms and international investments.
By focusing on international markets first, they compete with global players immediately without establishing themselves at home first.
More than 25 years ago FPT went global when Vietnam was largely unknown.
Nguyen Van Khoa, its CEO recalls: "Many clients asked us where Vietnam was and if the country was still at war.
"Today, Vietnam has gained international recognition and its companies have more opportunities to expand abroad."
Vietnam’s science and technology sector has made great strides over the last 20 years. The Politburo’s Resolution 57 has set some targets for 2030, including having at least five digital tech companies that can compete internationally
"I do not believe companies need 25 years to go global anymore," Khoa notes.
"The opportunity is right in front of us, and IT services are one of the fastest paths for Vietnamese firms to expand abroad.
"Vietnamese tech companies must have products used worldwide."
Vietnam’s tens of thousands of digital tech companies are ready for global expansion.
Unlike the pioneers, today’s young entrepreneurs have support, with IT exports being a strategic priority.
Viettel Global’s Hoa acknowledges the challenges of language, cultural differences and daily operations in international markets.
"But we never felt alone. Behind every step were leaders who inspired trust, colleagues who supported us, families who backed us, and our country.
"That gave us the confidence to adapt and the determination to grow."
Tung says Vietnamese technology is gradually gaining recognition worldwide.
"With skilled young talent, effective project management and competitive costs, Vietnam has become a trusted IT destination for many global clients."
But most Vietnamese companies focus on outsourcing and service delivery, handling application development, testing, and project implementation, he says.
Moving up the value chain will require businesses to expand into consulting, solution design and proprietary product development, and provide comprehensive solutions.
After its global success, Amanotes sees more opportunities for Vietnamese tech firms as digital technology and AI remove barriers.
"A unique idea can become a product used by hundreds of millions worldwide," Bill Vo says.
"The keys for Vietnamese talent to continue achieving are vision, perseverance and resilience."
The Digital Technology Industry Law passed in July encourages companies to partner with foreign firms, open offices abroad and grow into multinationals.
It helps build networks of Vietnamese digital tech offices overseas and encourages technology transfers from Vietnam.
For expanding internationally, Minister of Science and Technology Nguyen Manh Hung says, tech firms should follow a uniquely "Vietnamese path."
"Together we will build a national brand [that positions] Vietnam as a country with leading companies able to tackle any global or local challenge with digital technologies."
Story by Luu Quy, Trong Dat, Bao Lam
