In the context that Vietnam’s cloud computing market is in the hands of foreign giants, it is necessary to have a large Vietnamese enterprise, capable of reclaiming the country’s precious data resources.
80% of Vietnamese ‘in the cloud’ data is abroad
Working in the field of communication, Ms. Thu Ha is used to putting documents on Google drive – Google’s Cloud storage service to be able to work anywhere. When Google announced that 15GB of free storage space was exhausted, Ms. Ha was still willing to pay VND 450,000/year to expand the storage capacity to 100GB.
With just an email account, Google currently knows all of Ms. Ha’s relationships, photos and personal information, even travel routes and appointments…
Mr. Tran Quoc Hung – Director of a business, said that using the “cloud” is now almost like a mobile network. “With so much data, using the cloud instead of physical storage is inevitable. However, when the data is completely abroad, it is also terrible” – Mr. Hung emphasized.
In fact, Decree 53 detailing a number of articles of the Law on Cyber Security effective from October 1, 2022 stipulates: Internet data must be stored in Vietnam. Thus, if individuals, especially businesses and organizations leave data entirely in the foreign cloud, there are also inconsistencies with the implementation of the Law on Cyber Security.
Meanwhile, a not very positive fact was pointed out in June 2022 at the Data Center and Cloud Infrastructure Summit 2022: Vietnam’s cloud computing market is currently in the hands of foreign technology enterprises such as Amazon Web Service, Google, Microsoft … In the past 3 years, the market has maintained the number of 27 data centers invested by 11 Vietnamese enterprises. Domestic enterprises only account for 20% of the market share with revenue of about VND 900 billion.
In the past 10 years, data traffic in Vietnam has increased 7 times, domestic connection traffic has increased 40 times in bandwidth, international connection traffic has increased 25 times. The number of Internet subscribers currently accounts for 75% of all Vietnamese households.
Experts assess that if the Cloud trend continues to develop until the “whole population uses the cloud”, the cloud storage market alone can reach VND 10,800 billion. By 2025, if all Vietnamese enterprises switch to cloud services, the market will reach more than 53,200 billion VND (about 2.3 billion USD).
Experts also point out that customers’ demand for cloud computing does not stop at data backup services but requires an infrastructure that integrates many services at the same time. Thus, new data continues to be generated in the cloud space.
In this day and age, data is a country’s most important resource. In physical space, land is a finite resource. In the cloud computing space, data is also the land for individuals and organizations to continue to “plow”, generating new wealth on it, but it is endless and creates the strength of the organization, of the nation.
Facing this situation, the Ministry of Information and Communications has developed an infrastructure strategy to 2025 and orientation to 2030, the target is that 70% of the market share of cloud computing services in Vietnam will belong to domestic service providers.
With market prospects and strategies from the Government, Make in Vietnam cloud computing products are motivated to promote the birth and development. However, it is always necessary to have a large enough Vietnamese enterprise, financial capacity as well as professional qualifications to compete with foreign giants in providing Cloud services to Vietnamese people.
The birth of the largest Cloud ecosystem in Vietnam
On October 13, President Nguyen Xuan Phuc and Comrade Secretary of the Ho Chi Minh City Party Committee Nguyen Van So reiterated Viettel’s commitment to large cloud investment in Ho Chi Minh City, in which the government is ready for land and infrastructure conditions.
The Ministry of Information and Communications is calling on Vietnamese businesses to return to use Vietnam’s cloud computing infrastructure, bringing 80% of the data of overseas Vietnamese individuals and businesses to Vietnam. The Ministry also recommended that Vietnamese state organizations and enterprises, instead of self-investing and operating information technology systems, switch to using Cloud services with lower costs, more optimized, safer and more flexible.
On 14/10/2022, Viettel Group officially launched Viettel Cloud ecosystem. With the preparation from 2018, right after its launch, this is the largest cloud computing service provider in Vietnam, ensuring the entire composition of a Cloud ecosystem with data centers, technology platforms, software and services on the cloud to security technologies, administration and operation services. And this ecosystem is industrially owned by Vietnamese people.
According to the introduction, Viettel Cloud owns the most data center infrastructure in Vietnam with 13 data centers, the scale of more than 9,000 racks on 60,000 m2 of floor surface. By 2025, Viettel Cloud will be invested an additional VND 10,000 billion to expand its scale to 17,000 racks. According to the roadmap, by 2030, Viettel will raise the investment to VND 40,000 billion with a scale of 34,000 racks.
The entire data center infrastructure complies with the international standards ANSI/TIA-942-B:2017 Rated-3 Constructed Facilities – the standard used to evaluate all aspects of the physical data center including location, architecture, security, fire safety, electrical, mechanical and telecommunications.
Viettel Cloud product ecosystem has a total of more than 70 products and services spanning from services at the level of physical infrastructure such as space rental, to service platforms such as AI platforms (artificial intelligence platforms) and IoT platforms (Internet of Things platforms).
This product system consists of 5 groups: Cloud Infrastructure – Cloud Computing Infrastructure, Cloud Platform – Cloud Platform, Cloud Software – Cloud Application, Managed Services – Consulting, Deployment & Operation, Colocation – Data Center.
It is known that when building Viettel Cloud ecosystem, Viettel Group aims to target every Vietnamese citizen, every Vietnamese household, each Vietnamese organization and business will have a data storage on the cloud computing platform located in Vietnam, researched by Vietnamese engineers, deploy, manage and operate and ensure information security.