Tech giants pile into data centres, AI
The latest wave is heavily concentrated in data centres, AI, semiconductors and R&D - the core pillars of the digital economy, said Nguyen Ky Phung, head of the Saigon Hi-Tech Park management board.
In late April alone, the municipal People’s Committee granted investment certificates to four high-tech projects at SHTP worth a combined 1.23 billion USD. Two hyperscale data centres are worth nearly 1 billion USD in total, including the Evolution DC VN HCMC Data Centre, developed by a Singaporean consortium of Hathor, Frontier and Evolution Data Centres, and the Starmason Data Center Complex, backed by Starmason JSC. The projects will supply critical infrastructure for AI, cloud computing and big data processing.
Darren Webb, CEO of the Evolution DC VN HCMC Data Centre project, said while industrial parks once competed primarily on labour and, data infrastructure is now a key determinant of economic competitiveness. Large-scale investments in data centres, he said, will both meet rising demand for data processing and lay the groundwork for the next phase of digital growth.
Alongside digital infrastructure, global tech companies are expanding their production footprint. China’s Techtronic Industries has committed an additional 81 million USD to its Techtronic Tools Vietnam factory at SHTP, lifting total investment to over 730 million USD. The plant makes smart electronic devices, IoT-enabled mechatronics, high-performance lithium batteries and precision circuit boards, feeding a high-tech “Make in Vietnam” supply chain.
Earlier, the city secured major digital infrastructure and semiconductor pledges. The UAE-based G42 plans to invest about 2 billion USD in data centres, while Intel is considering relocating part of its operations from Costa Rica to Ho Chi Minh City to produce high-performance computing chips.
As of early June, the city attracted more than 6.6 billion USD in FDI, or 60% of its full-year target. It now hosts over 20,800 active FDI projects worth roughly 142 billion USD from 152 countries and territories.
Notably, almost all newly registered projects cluster in high-tech fields such as AI, data centres, semiconductors, digital infrastructure and logistics, marking a sharp pivot from chasing volume to securing projects with higher technological content and greater added value.
From passive to proactive: City goes hunting for strategic investors
Nguyen Loc Ha, Permanent Vice Chairman of the municipal People’s Committee, recently told a business delegation from China’s Zhejiang province, that the city is actively refining special policy mechanisms, including a proposed Law on Special Urban Areas, to create more room for development, sharper competitiveness, and better quality FDI projects.
At the same time, the city is working to build a transparent and investor-friendly climate supported by increasingly international-standard infrastructure. A suite of ongoing support policies is also greasing the wheels for strategic investors.
Outlining the local investment strategy, Phung said the city is giving priority to integrated circuits, semiconductors, AI, IoT, blockchain, robotics, 5G, data centers and smart urban development. It also plans to develop about 3,800 ha of smart technology zones and more than 1,000 ha of concentrated IT and digital technology parks.
In parallel, it is also forging tighter collaboration among government agencies, universities, research institutes and businesses to build a highly skilled workforce for strategic tech sectors.
In a break from the past, when authorities largely waited for investors to show up, the city is now proactively engaging the world’s top tech corporations to pitch opportunities. Alongside accelerating administrative procedure reforms and shortening approval timelines, it has rolled out incentives covering taxation, land rental fees, hi-tech equipment imports and R&D activities./.
