Investments and Growth Opportunities in Vietnam’s Data Center Market from 2023 to 2028.


During the forecast period, the Vietnam data center market is expected to attract investments of USD 1,037 million by 2028, with a compound annual growth rate (CAGR) of 10.68%. Vietnam is witnessing an increase in cloud adoption across various industry verticals, including government agencies, enterprises, and education sectors. 

Vietnam’s Ministry of Information and Communication (MIC) has granted licenses to telecom operators Viettel, Mobifone, and VNPT to conduct 5G trials in 16 cities, with plans to offer 5G network services nationwide by 2030. The Vietnam data center market is a growing market in Southeast Asia and houses prominent global cloud service providers such as Amazon Web Services (AWS), Google Cloud, and Microsoft, as well as local cloud-based service providers like Viettel IDC, VNPT, CMC Telecom, and FPT Telecom. In 2022, AWS launched edge data centers in Hanoi and Ho Chi Minh City.

Vietnam’s major renewable energy sources are solar, wind, and hydro, with a focus on generating over 40% of renewable energy in total power generation by 2050. Accenture reported that about 60% of organizations operating in the financial and banking sectors in Vietnam have experimented with using Artificial Intelligence and its applications.

Industrial parks and Free Trade Zones (FTZs) in Vietnam offer various tax incentives for data center construction, attracting operators to invest in the country. In April 2022, Gaw Capital Partners acquired approximately 65,000 square feet of land in Saigon Hi-Tech Park to develop a data center facility.


Due to the implementation of Vietnam’s data localization law, there has been a YoY increase in investments in data centers. New players such as Data Center First, Edge Centres, Infracrowd Capital, and Worldwide DC Solutions are investing in the market, while existing operators are expanding their presence by investing in new and existing facilities.

Vietnam has five existing submarine cables connecting it to APAC & EMEA countries and the US. Two upcoming submarine cables, Asia Direct Cable (ADC) and Southeast Asia-Japan Cable 2 (SJC2), are expected to be operational by 2023/2024, improving the country’s network connectivity.

To promote digitalization, the Vietnamese Government has launched the Digital Transformation Program 2025, which aims to move 50% of businesses to digital platforms by 2025.

The growing 5G network connectivity in Vietnam is leading to an increased demand for edge data center deployment, which is providing last-mile connectivity and lower latency services. In August 2022, Amazon Web Services (AWS) announced the launch of edge data centers in Hanoi and Ho Chi Minh City in Vietnam. Meanwhile, the Ministry of Information and Communication of Vietnam revealed its plans to conduct research on the development of 6G technology in February 2022 to meet the needs of the country’s fastest-growing technology sectors.

Vietnam has been facing a chip supply shortage due to supply chain disruptions. In response, several chip manufacturers are expanding their presence in the country by building new manufacturing units. One example is Samsung, which announced in August 2022 that it plans to invest approximately USD 3 billion to build a chip manufacturing plant in Vietnam. The plant is expected to begin trial production in July 2023.


In Vietnam, Ho Chi Minh City and Hanoi are the primary locations for data centers, with 24 third-party data centers currently operating. Of these, Hanoi is the most significant location, hosting approximately 11 data center facilities. 

Major investors in the Vietnam data center market include Viettel IDC, NTT Global Data Centers, FTP Telecom, CMC Telecom, HTC Telecom International (ECODC), VNPT, SCTV, and VNTT. 

The majority of colocation facilities are being developed to meet Tier III standards, with eight facilities having received Uptime Institute’s Tier III certification in the design or construction phase. Uptime Institute assigned 3 local partners to provide one stop data center services to its clients including Consult, Design, Construction, O&M – Universal Smart Data Center TechnologyFirst Green Engineering, and Quang Dung Northern Technology.

In 2022, NTT Global Data Centers, FTP Telecom, Data Center First, Worldwide DC Solutions, Viettel IDC, VNG Cloud, and Infracrowd Capital invested in Vietnam’s data center market. For example, VNG Cloud opened a new data center in Ho Chi Minh City in December 2022. 

Data center operators in the country are also investing in renewable energy sources. Edge Centres with helps from its local partner, USDC Technology, has launched an edge data center in Ho Chi Minh City powered by solar energy, and Delta Electronics Vietnam partnered with HTC-ITC to develop a green data center in Vietnam with a PUE of 1.4, 20% lower than other data centers in the country.

Media Contact:
Universal Smart Data Center Technology
Phone: (+84) 28 73080708


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