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Da Nang gears up infrastructure construction for IT industry development

By DA NANG Today / DA NANG Today
March 25, 2023, 17:13 [GMT+7]

The FPT Complex inside the FPT Technology Urban Area - Da Nang has just been recognised as a centralised IT park by the Prime Minister. The park’s investor, the FPT Software Central Viet Nam Co., Ltd. and its partners are creating more room for its development, increasing investment attraction and enhancing position and brand as well, hereby significantly contributing to developing the IT industry into a key economic sector in Da Nang.

A corner of technical infrastructure of the FPT Complex. Photo: H.H
A corner of technical infrastructure of the FPT Complex. Photo: H.H

Attracting more foreign investors

The FPT Complex - Centralised IT Park covers a total land area of 59,302.6m² at lot A4-1, belonging to FPT Technology Urban Area Da Nang, Hoa Hai Ward, Ngu Hanh Son district, Da Nang.

The park operates according to the functions and tasks specified in Article 4 of the Government's Decree No. 154/2013/ND-CP dated November 8, 2013 on regulations on concentrated IT zone. It is also eligible for accessing the preferential policies specified in Decree No. 154/2013/ND-CP and other preferential ones applicable to concentrated IT parks in accordance with the provisions of law.

According to FPT Software Central Viet Nam Co., Ltd., the FPT Complex provides a workplace for 10,000 IT officers and engineers working in the software field.

The project is being implemented in 3 phases. Phase 1 of the project was completed in early 2016, meeting the workplace for 3,200 people. Phase 2 has been put into use in 2021 to accommodate an additional 3,200 people. Phase 3 started in 2022 and it is expected to reach completion in 2024.

Director of FPT Software Central Viet Nam Co., Ltd. Nguyen Tuan Phuong said that FPT Complex is not only an office area, but also a place equipped with modern service infrastructure such as a football field, a green park, accommodations for staff, medical rooms and many culinary services, all of which meet the need of all FPT officers and employees.

“Recognised as a centralized IT park, we expect to create a focal point to attract customers, investors and partners as well as receive supportive policies from the State. At the same time, this also helps enhance the position and brand of Da Nang IT industry so that it can become one of the city’s key economic sectors.”, said Mr. Nguyen Tuan Phuong.

As commented by Chairman of the Da Nang Software Business Association Pham Kim Son, the fact that the FPT Complex becomes a centralised IT zone will enjoy the incentives of the State, creating favourable conditions for the park’s investor in calling for investment flows. New businesses working here can enjoy the incentives in line with the national regulations.

“The enterprises themselves, when investing in the FPT Complex, as well as the investors, will benefit from investment incentives. Favourable investment attraction will create conditions for software businesses here to grow, contributing to the formation and development of the city's software community. As a centralized IT park, the FPT Complex will have a very positive impact on the development of the city's IT industry.”, said Son.

Da Nang eyes to house 7 IT and software parks

According to the Da Nang Department of Information and Communications, there are three concentrated IT parks in operation and another one still under construction in the city for the time being. The Da Nang Software Park - Centralised IT Park, with its buildings at 2 and 15 Quang Trung, Hai Chau District, was put into operation in October 2008 on a total area of 9,424m2. The occupancy rate of the whole area is 99%; attracted 66 enterprises with a combined total of 2,000 employees.

The Da Nang Centralised IT Park - Phase 1 in Hoa Lien Commune, Hoa Vang District was put into operation in 2019, covering an area of 131ha. The infrastructure construction is nearing completion. The arrangement of 16 assembly lines and 16 SMT (Surface Mount Technology) lines in 2 factories with a scale of 8,000m2 each is on track.

The Da Nang Software Park No. 2 - Phase 1 is now under construction in Thuan Phuoc Ward, Hai Chau District with an area of 28,573m2. It is expected to be put into operation by the end of 2023, meeting 6,000 IT and digital technology employees.

In addition, work is expected to commenced on three other concentrated IT parks in the coming time. They are the Creative Space Project in Hoa Xuan Ward, Cam Le District; the Da Nang Bay IT Park at 75 Nguyen Sinh Sac, Lien Chieu District with an area of 35,196m2 and a total investment capital of up to VND 1,000 billion invested by the Viet Nam Posts and Telecommunications Group; the VND 2,000 billion Viettel Da Nang building at A1.1 lot in a park north of the Da Nang Peace Monument, Hai Chau District with an area of 1.1ha.

According to the municipal Department of Information and Communications, Da Nang is taking IT applications, building e-government and turning itself into a smart city as the foundation for the IT industry’s development. This relationship is an organic attachment, creating a driving force for the fast growth of the IT industry, making great contributions to the city's socio-economic development.

In 2022, the city's IT industry revenue reach VND 20,920 billion. The software export turnover was US$132 million, reaching 120% of the year’s plan, increasing 34% over the same period in 2021.

The city eyes to have at least 7 IT and software parks by 2030. The average annual growth rate of the IT industry revenue in the 2021 - 2030 period will reach 10%/year and the annual software export revenue growth rate in the same period will be 12%. 

Reporting by HOANG HIEP - Translating by A.THU

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