You Won't Believe How the Digital Tech Industry Just Blew Past 2025 Goals—Find Out Why!

Vietnam's digital technology industry has emerged as a significant economic driver, achieving impressive growth milestones in 2025, as reported by the Ministry of Science and Technology. The sector's total revenue reached an estimated $198 billion, reflecting a robust 26% increase from the previous year and exceeding the annual target by 16%. Its contribution to the country's GDP hit approximately 1.075 quadrillion VND (nearly $40.9 billion), marking a 10% rise from 2024, with profits estimated to surpass 371 trillion VND.

In particular, hardware and electronics exports soared to $178 billion, representing a remarkable 35% year-over-year increase that outpaced the annual target by 12%. This growth underscores the vital role of these sectors as key foreign currency earners for the country. Moreover, e-commerce reported a standout performance, with revenue estimated at $36 billion in 2025, effectively tripling its 2020 level and demonstrating consistent annual growth rates of 22-25%, the highest in the region.

The number of active digital technology firms in Vietnam reached 80,052, a 10% increase from the previous year, showcasing the sector's vitality and the expanding domestic ecosystem. Last year, Vietnam's digital economy was valued at around $39 billion in gross merchandise value, achieving an impressive 17% growth, the second fastest in Southeast Asia.

Minister of Science and Technology, Nguyen Manh Hung, noted that while Vietnam's digital economy has seen rapid growth, it is primarily focused on digitizing existing processes rather than fully transitioning to new growth models. He pointed out that, despite the increasing digital share of GDP, local value creation remains limited due to reliance on foreign platforms. Many small and medium-sized enterprises (SMEs) have yet to fully integrate into digital supply chains, which presents both a challenge and an opportunity for growth.

Challenges and Opportunities Ahead

From a data economy perspective, Maj. Gen. Nguyen Ngoc Cuong, Director of the National Data Centre, emphasized the need for accurate, standardized, and regularly updated resident data as a prerequisite for secure, efficient, and scalable digital business operations. Sectors like e-commerce, digital finance, digital health, and digital education must rely on electronic identification and authentication systems to verify users. This can help prevent fraud and foster trust in transactions. Additionally, when data is effectively utilized and analyzed using AI and Big Data technologies, it can generate economic value many times greater than its original worth.

Arnaud Ginolin, Managing Director of the Boston Consulting Group (BCG), highlighted the emergence of the "low-altitude economy" as a promising frontier, driven by digital commerce, digital transportation, network infrastructure, and defense. He urged Vietnam to seize this opportunity to further enhance its digital landscape.

To support this growth, Dr. Pham Tuan Anh, CIO and CEO of Becamex Telecommunications and IT Corporation, proposed that the government establish hubs for green and digital transitions tailored for businesses, especially SMEs. He called for tax and land incentives for foreign direct investment (FDI) companies that adopt domestic technology and localize supply chains, advocating for indirect support through local infrastructure or technology firms to ensure mutual growth.

Moreover, Le Hong Viet, CEO of FPT Smart Cloud, suggested the development of public-private partnerships to enhance computing capacity across all societal segments, creating a shared "factory" for research and development (R&D). In addition, Cao Anh Son, Deputy CEO of Viettel, insisted on the need for prompt guidelines for efficient state budget allocation towards R&D investments. He asserted that priorities should focus on foundational and inclusive technologies that have high spillover effects, such as semiconductors, low-altitude satellites, and dual-use technologies that serve national defense, security, and economic development.

As Vietnam navigates these challenges and opportunities, the digital technology sector stands poised for even greater achievements. With strategic investments, strong governmental support, and a focus on creating a sustainable digital ecosystem, Vietnam could enhance its position as a leader in the global digital economy.