Key View
- Vietnam has liberalised its data centre market by lifting the previous 49% foreign ownership cap, enabling full foreign investment in data centres, as per the newly effective Law on Telecommunications.
- The initiative seeks to ignite global investor interest to realise Vietnam’s AI goals but we note that such ambitions will be hard to achieve insofar the country cannot access US-manufactured GPUs.
- While the liberalisation of its data centre market is beneficial, we believe that in the coming years Mainland China-based cloud vendors such as Huawei and Alibaba will remain the main foreign investors in Vietnam’s digital infrastructure market.
