NVIDIA intensifies its Southeast Asia layout: Vietnam AI research and development center launched, state-owned enterprise Viettel receives technical support

In order to strengthen its strategic layout in Southeast Asia, NVIDIA CEO Jensen Huang announced the establishment of an AI research and development center in Vietnam.

On Thursday, at a signing ceremony held in Hanoi, the capital of Vietnam, Minister of Planning and Investment Nguyen Chi Dung stated that NVIDIA will open an artificial intelligence research and development center in Vietnam, collaborating with the data center of the Vietnamese state-owned enterprise Viettel Group to jointly promote the development of advanced artificial intelligence technology in Vietnam. Vietnamese Prime Minister Pham Minh Chinh also attended the event.

As the largest telecommunications and mobile operator in Vietnam, Viettel Group became the first company in Vietnam to establish a strategic partnership with NVIDIA in mid-2022.

Jensen Huang detailed NVIDIA's future plans in Vietnam at the briefing:

"NVIDIA will promote the development of Vietnam's AI industry by building AI infrastructure, training more AI experts in Vietnam, and supporting AI startups."

On Thursday during U.S. Eastern Time trading, NVIDIA's stock price rose nearly 1% at most.

Signing Ceremony: NVIDIA Partners with Vietnam to Promote AI Technology Development

Jensen Huang also added, "Today is the birthday of NVIDIA in Vietnam," symbolizing NVIDIA's official start in Vietnam.

In addition, Jensen Huang announced that NVIDIA will acquire the artificial intelligence division VinBrain of Vietnam's Vingroup, calling this move "the starting point for a future large design center." However, Huang has not yet disclosed the specific valuation for the acquisition of VinBrain. According to VinBrain's official website, the company is a startup that applies artificial intelligence in the medical field.

Nguyen Chi Dung stated that NVIDIA's support in the field of artificial intelligence will help Vietnam not only achieve its overall development goals for the high-tech industry, especially in AI, but also help promote the entire Southeast Asia region as an innovation center.

Last year, Jensen Huang discussed with Vietnamese Prime Minister Pham Minh Chinh that after investing approximately $250 million in Vietnam, NVIDIA is considering building a semiconductor center in Vietnam. The Vietnamese government stated in April this year that NVIDIA is currently evaluating three cities in Vietnam—Ho Chi Minh City, Da Nang, and Hanoi—as potential sites for the AI center.

Vietnam's goal is to exceed $100 billion in annual revenue from the semiconductor industry by 2050. According to the national strategy released by the Vietnamese government in 2021, they plan to establish three large data centers and three AI centers by 2030.

Jensen Huang emphasized:

"A country's data should be regarded as its natural and national resources. Vietnam should handle its own data and transform it into AI exclusive to Vietnam, serving its own industries and society."

Companies Increase Investment in Southeast Asia Data Centers

Before coming to Hanoi, Jensen Huang met with Thai Prime Minister Paetongtarn Shinawatra on Tuesday and agreed to strengthen cooperation with Thailand in the field of AI infrastructure Southeast Asian countries are actively striving to attract large technology investments, especially in the fields of data centers and artificial intelligence, aiming to become centers for these technologies. Jensen Huang's trip to Southeast Asia is taking place against this backdrop, as he is promoting NVIDIA's expansion in Southeast Asia, particularly in the areas of artificial intelligence and data centers.

Not only NVIDIA, but other large enterprises are also actively investing in data centers in Southeast Asia. For example, Damac Group, supported by billionaire developer Hussain Sajwani, plans to invest approximately $3 billion over the next three to five years to build data centers in Malaysia, Indonesia, and Thailand