‘Software outsourcing cannot help Vietnam become a technology power’

At the 25th anniversary of the establishment of Quang Trung Software Park (QTSC) on March 16, Deputy Minister Bui Hoang Phuong acknowledged that in recent years, software outsourcing activities for foreign partners have created momentum, bringing jobs, training quality human resources and also creating billion-dollar businesses. However, outsourcing will “never be able to create large businesses that lead global technology trends,” he said.

According to Deputy Minister Phuong, Vietnam is in a new phase in science and technology, aiming to promote domestic innovation, thereby reaching the world level in the near future. He assessed that in 25 years of development, QTSC is a typical case, contributing greatly to the information technology and science and technology industry in Vietnam, and is “the most successful model among concentrated digital technology parks across the country”. This place is not just a working area, but has formed a complete ecosystem from production, business, training to creative startups.

However, in the new context, Deputy Minister Phuong suggested that QTSC must have more truly groundbreaking solutions. On behalf of the Ministry of Science and Technology, he suggested a series of major directions for this unit.

First, he wants QTSC to pioneer the implementation of a sandbox testing mechanism. Just like 25 years ago, QTSC needs to continue to courageously be the first testbed of new technologies and business models. The new Decree on the sandbox implementation process is expected to assign authority to the People’s Committees of the provinces. QTSC should proactively research and propose to Ho Chi Minh City to soon decide on a pilot. “The Ministry of Science and Technology will support processes and procedures,” the Deputy Minister affirmed, adding that the successful implementation of the sandbox will create a huge competitive advantage to attract businesses and new technologies.

Thinking that the transition from outsourcing to mastering technology is an urgent requirement, Deputy Minister Phuong proposed that in the coming period, QTSC needs to play a connecting role and lead the Vietnamese digital technology business ecosystem to gradually master the design, core technology and strategic technology “Make in Vietnam”. He also asked QTSC to solve big urban problems by taking on the mission of mastering strategic technology to solve big problems of Ho Chi Minh City itself such as traffic, environment, health care, and education. According to him, with 25 years of experience, high-quality human resources and the support of the city, QTSC is fully capable of researching, developing and testing these solutions before expanding them nationwide.

With these proposals, Deputy Minister Phuong said that the Ministry of Science and Technology is committed to continuing to closely accompany Ho Chi Minh City and QTSC in perfecting mechanisms and policies to support R&D and digital innovation. He also hopes that city leaders will continue to pay attention to infrastructure investment so that QTSC can develop quickly and sustainably as the leading digital technology center in the country.

Speaking at the event, Chairman of Ho Chi Minh City People’s Committee Nguyen Van Duoc said that the Central Committee expects the city to become a pioneer in implementing Resolution 57 of the Politburo. He emphasized that the city will focus on investing in improving the telecommunications, transportation, housing networks… with the goal of attracting businesses and experts to work. These are considered conditions to support the development of concentrated digital technology parks in the coming time.

With QTSC, he assessed the 25-year development process “as the history of people who dare to think and dare to do”. According to Ho Chi Minh City leaders, the unit not only contributes to impressive software export growth figures, but also shapes the city’s “creative culture”, as evidenced by the fact that from the initial 21 businesses, QTSC has now grown into an ecosystem of more than 120 businesses with more than 22,000 experts.

It is expected that in the coming period, QTSC will not only be a place of processing or design but also aim to produce technology products bearing the mark of the city “made by Ho Chi Minh City”. He requested to increase value creation, instead of only participating in the lower stages of the technology production chain. “The city will create conditions for QTSC and concentrated digital technology parks in the area to complete their goals in the near future,” he said.

Mr. Tran Huu Dung, Director of Quang Trung Software Park Development Company Limited, said that QTSC’s orientation in the next stage will be to build a more complete innovation ecosystem, with the orientation of “Quality Tech Solution Complex” – expanding its role from a software park to a center providing high-quality technology solutions.

In the period 2025-2030, QTSC aims to become a strategic unit in operating Ho Chi Minh City’s digital infrastructure, as well as building and managing advanced technology centers, directing a scientific urban model associated with innovation, R&D and production of core technology, high-tech products and services. Mr. Dung expects to be created more opportunities for QTSC to participate more deeply in the global technology value chain, especially in the fields of semiconductors, artificial intelligence and digital technology.

Within the framework of the 25th anniversary event, QTSC received awards from the President, Prime Minister, Ministry of Science and Technology and Ho Chi Minh City People’s Committee.

QTSC was established on March 16, 2001, as the first software park in Ho Chi Minh City. After 25 years of establishment, the zone has attracted 27 investors, 124 digital technology businesses, providing more than 650 products, services and technology solutions for the domestic market and more than 30 countries and territories globally. The total accumulated revenue of businesses operating in the zone reached about 138,000 billion VND (6 billion USD), of which export revenue was more than 4.35 billion USD. According to international consulting organization KPMG, QTSC is ranked 3rd among 8 prominent technology parks in Asia based on performance criteria.