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KT and Viettel’s $95M AI Deal Boosts Vietnam’s Digital Shift


In a significant move to enhance AI capabilities in Vietnam, South Korean telecom operator KT Corp. has inked a $95 million deal with Vietnamese state-run operator Viettel Group. This collaborative agreement aims at developing AI data centers and infrastructure, marking a strategic push towards the advancement of Vietnam’s national AI strategy.

According to The Korea Economic Daily, the partnership will focus on six core areas of “AI transformation.” Crucially, it involves setting up AI data centers and GPU farms to enlarge Vietnam’s cloud and AI ecosystem. This initiative aligns with Vietnam’s aspirations to establish a robust digital and AI infrastructure.

Beyond infrastructure, the agreement also encompasses developing AI products for both consumer and enterprise markets. They plan to introduce Vietnamese-language AI virtual assistants and tools to prevent voice phishing and digital fraud. Also, joint efforts are being made in AI consulting, business development, and the creation of a global AI hub in Hanoi.

Viettel’s drive to accelerate its AI and connectivity services has been evident. In April 2024, Viettel launched its first AI-enhanced data center in Hanoi. By April 2025, it unveiled the largest AI facility in Ho Chi Minh City, supporting hyperscale workloads.

Moreover, Viettel secured a 700 MHz spectrum block for approximately $75.2 million, utilizing this spectrum to bolster 5G and IoT services by 2030. This spectrum acquisition is critical as it aims to cover 99% of Vietnam’s population with 5G infrastructure, also supporting IoT solutions, including smart cities and intelligent transportation.

The telco’s efforts to enhance 5G services are also notable. By January, its 5G network boasted 4 million subscribers. Infrastructure support includes 6,500 5G base stations and the establishment of two 5G laboratories in key cities, enabling them to tackle issues like signal interference efficiently.

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