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Vietnam’s Strategic Initiatives for a Connected Economy

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Vietnam is making significant strides in its journey towards digital transformation, with key initiatives focused on enhancing internet connectivity and fostering a robust digital economy. Central to these efforts is the promotion of the national domain ‘.vn’ and the ambitious plan to ensure fibre-optic cable access for all households by the end of 2025.

Over the past 30 years, Vietnam has achieved a notable milestone with over 610,000 ‘.vn’ domain names registered, placing the country second in the ASEAN region, 10th in the Asia-Pacific, and 40th globally, according to the Vietnam Internet Centre (VNNIC). Despite this progress, only about 25% of businesses in Vietnam have registered to use the ‘.vn’ domain, compared to over 70% in developed countries.

Deputy Minister of Information and Communications Nguyen Huy Dung stressed the critical role of an online presence, including the ‘.vn’ national domain, in aiding domestic enterprises and business households to build brands and develop their online business professionally and sustainably. Utilising the ‘.vn’ domain also contributes to safeguarding national digital sovereignty in cyberspace.

To accelerate digital transformation and the development of a digital government, economy, and society, the Ministry of Information and Communications (MIC) has implemented an initiative to universalise the ‘.vn’ domain. This initiative includes offering two years of free domain names at ‘biz.vn’ or ‘id.vn’, along with basic digital services, making the registration process straightforward through the tenmien.vn website.

In parallel with domain universalisation, Vietnam is committed to ensuring comprehensive fibre-optic cable access across the country. The MIC has announced a plan for all 27 million Vietnamese households to access fibre-optic services by the end of 2025, as part of the broader 2021-2030 digital infrastructure development strategy approved by the Prime Minister in January 2024.

The plan prioritises telecommunications infrastructure, which is essential for stimulating national digital transformation, economic growth, and the development of a digital society. The MIC’s Authority of Telecommunications (AOT) highlights the need for businesses to collaborate on developing shared telecommunications infrastructure, ensuring it progresses alongside transport, electricity, lighting, and other technical infrastructures.

Currently, 5.4 million households still lack fibre-optic services, and 2,052 hamlets with electricity from the national grid do not have broadband internet. The plan aims to connect an additional 2.7 million households each year in 2024 and 2025, achieving 100% fibre-optic coverage by the end of the period.

Goals for 2024 include expanding fibre-optic services to 684 more hamlets with electricity and adding mobile broadband coverage to 80 hamlets. For 2025, the targets include connecting 1,368 additional hamlets and covering 150 hamlets with 4G broadband.

OpenGov Asia reported that Vietnam is driving its digital revolution with key initiatives like the deployment of 5G technology and proactive licensing for 5G networks. This will enable a nationwide 5G rollout in 2024, strengthening digital infrastructure to support economic growth and societal advancement.

Looking ahead, Vietnam aims to be a global leader in 6G technology, with plans to introduce it by 2028 or 2030. A dedicated 6G Steering Committee and active engagement from leading telecom companies reflect its commitment to technological innovation and excellence.

Vietnam also plans to enhance its digital infrastructure with at least three national-level multi-purpose data centre clusters and several regional and local clusters to support national and international finance centres and AI calculation requirements.

These initiatives underscore Vietnam’s commitment to becoming a leading digital economy. By universalising the ‘.vn’ domain and expanding fibre-optic connectivity, Vietnam is not only fostering innovation and competitiveness but also ensuring comprehensive digital transformation. This dual approach will enable Vietnam to establish itself as a hub for advanced digital technologies and innovative solutions, driving both national and global economic growth.

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