Ground broken at Saigon Silicon City, which is hoped to attract high-tech investors from around the world.
Construction of Saigon Silicon City, based on Silicon Valley in the US, officially got underway on November 10 at the Saigon Hi-Tech Park (SHTP) in Ho Chi Minh City.
The project covers an area of 52 ha with total investment of $40 million. Upon completion it will become a smart city with modern infrastructure and facilities that attract domestic and foreign enterprises in the field of high technology, especially those in Silicon Valley.
According to Mr. Nguyen Minh Hieu, Chairman of the Saigon Silicon City JSC, the government and Ho Chi Minh City authorities have introduced certain policies to build the SHTP and have attracted a number of international manufacturers in semiconductor technology. However, with a large production process, investors often focus on assembly rather than research or the transfer of technology and the skills needed to work in high-tech.
Vietnam also still lacks an “ecosystem” for investors in high-tech. Saigon Silicon City is to be a model for technology transfer from the high-tech companies in Silicon Valley to develop Vietnam’s high-tech sector.
The project not only focuses on technology outsourcing from other countries but also combines research and development (R&D) and producing technological products, Mr. Hieu said. “The project will be a boost for technology giants investing in Vietnam,” he added.
The project will be divided into two phases. The first is constructing infrastructure and the second is continuing to build and complete other items within the approved plan.
Mr. Le Hoai Quoc, Head of SHTP’s Management Department, said the project may attract 20 or more high-tech investors with total investment of $1.5 billion over the next five years. It will also help the city bridge the gap in science and technology thanks to the strength of overseas Vietnamese teams in the field who are involved in the supply chains of major corporations such as Google, Apple, and Applied Materials.
Conferences and forums on high-tech will be held regularly at Saigon Silicon City in order for industry insiders to remain up-to-date on new technology.
SHTP has already granted investment licenses to nearly 100 multinational investors with capital of over $4.7 billion, including well-known global corporations such as Intel, Nidec, Samsung, Jabil, and Sonion.
Saigon Silicon City is the brainchild of overseas Vietnamese investors from Silicon Valley. Their desire is to build a high-tech park in Vietnam and call for investment and technical exchanges between Vietnam and advanced countries around the world, especially the US. On April 27 the Ho Chi Minh City People’s Committee approved the establishment of the Saigon Silicon City JSC to develop Saigon Silicon City.