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Digital era - A golden opportunity for tech businesses

The world is entering into the digital era and this represents a “golden opportunity” for technology companies to grow further, according to FPT General Director Nguyen Van Khoa.

It also forces businesses, organisations, and countries to conduct digital transformation, he stressed.

According to IDC - the world’s leading provider of market data on information technology (IT) - investment in digital transformation is still growing and is forecast to increase 15.5 percent in the 2020-2023 period to 6.8 trillion USD.

IDC also forecast that by 2022 up to 65 percent of global GDP will come from digitalisation. By the end of 2022, 70 percent of organisations and businesses will speed up their digital transformation.

According to market researcher Fitch Solutions - an affiliate of Fitch Ratings, a leading provider of credit ratings, commentary and research for global capital markets - Vietnam’s IT market, including IT services, software, hardware, and equipment, will grow about 17 percent by the end of 2021 to 7.3 billion USD. The application of software services and cloud infrastructure will be popular trends in the time to come.

FPT has set a plan of posting 16.4 percent growth in revenue and 18 percent in pre-tax profit in 2021 and hopes to sustainably maintain such growth levels in the future.

Khoa affirmed that FPT will continue to pursue its long-term goal of being in the Top 50 global leading providers of comprehensive digital transformation services and solutions by 2030.

FPT has also determined that digital transformation will continue to be a focus in its next development process, he noted.

Its strategy is built on the vast potential in the global digital transformation market in general and in Vietnam in particular, as well as the strengths and growth results the corporation posted in 2020. Digitalisation services helped FPT earn revenue of over 3.2 trillion VND (nearly 138.9 million USD) last year, up 31 percent year-on-year.

In 2021, it will focus on providing new technology solutions and promoting comprehensive digital transformation, with a target of 50 percent growth, and developing Made-by-FPT solutions with a growth target of 50 percent. It also aims to develop at least 10 new products and solutions every year.

Nguyen The Phuong, FPT Deputy General Director, said the corporation’s revenue from digital transformation services mostly came from foreign markets.

FPT still set a plan to post revenue growth from digital transformation by 30-40 percent this year, mainly from overseas markets.

For the domestic market, it is seeking cooperation with VNR 500 companies (the 500 largest enterprises in Vietnam) with budgets for IT and digital transformation./