Vietnam’s tech industry to grow at 12% CAGR
Amid rising rising demand for information technology (IT) services globally, Vietnamese tech firms are expected to benefit with a compounded annual growth rate (CAGR) of 11.93 per cent.
According to German market and consumer data firm Statista, Vietnam’sIT Services revenue market is projected to reach US$1,331.00 million in 2022. By 2027 the industry would have a market volume of US$2,338.00 million.
The Vietnamese Ministry of Information and Communications has set a target of having 100,000 digital firms in Vietnam by 2025, a rise of 56.25 percent from 2021.
The southeast Asian country reports that its software exports by domestic enterprises seen an increase in new contracts. Tech conglomerate FPT, for example, earned VND11.73 trillion (US$478.83 million) from exports as of August, up 28.7 percent year-on-year.
Multinational financial services firm HSBC reports that hourly wage for IT outsourcing software development in Vietnam is about $18, equivalent to 64 percent in other Asian nations and 10 percent in the US.
This makes Vietnam an ideal destination for IF development for customers from big markets like the US, Japan, the EU and Asia-Pacific.
