Ho Chi Minh City, Vietnam – TopDev are pleased to release the Vietnam IT Market Report 2024-2025 with the theme "Vietnam IT & Tech Talent Landscape", a comprehensive report that provides an in-depth analysis of the IT landscape and talent pool in Vietnam. It offers valuable insights into the latest trends, challenges, and investment opportunities in Vietnam's IT sector, as the country continues to lead Southeast Asia in economic and technological growth.

1. Vietnam - New Technology Center of the ASEAN Region

Despite global economic fluctuations, Vietnam's IT market has maintained strong growth, making it one of the brightest spots in the ASEAN region. According to the World Bank, Vietnam remains among the fastest-growing GDP countries in the past 30 years, with a growth rate of 5.05% in 2023 and is expected to reach 5.5% - 6.0% in 2024.

The surge in Foreign Direct Investment (FDI) is a key factor in solidifying Vietnam's position as a regional technology hub. In the first half of 2024, Vietnam has attracted $11.63 billion in trade surplus, largely driven by investments from countries like the US, Japan, and South Korea. Multinational corporations such as Samsung, Intel, and LG continue to expand their research and development (R&D) centers in Vietnam, making it a prime destination for regional technology hubs.

With Vietnam upgrading its relationship with the US and South Korea to a Comprehensive Strategic Partnership, high-tech industries like semiconductors and artificial intelligence (AI) are becoming focal points for development. Additionally, the modernization of technological infrastructure and a skilled workforce significantly contribute to the growth of Vietnam's IT industry. The government has outlined strategies to enhance technological skills and promote digital transformation, including the integration of AI and Cloud technologies into education and businesses. This ensures that Vietnam is not only an attractive investment destination but also a leading innovation hub in ASEAN.

2. IT Job market: Boom and Recruitment opportunities

Vietnam's IT job market is experiencing unprecedented growth, particularly in areas like Artificial Intelligence (AI), Big data, Cloud computing, and Cybersecurity. The demand for high-tech personnel is soaring, with salaries for specialists in these fields continuously increasing. According to the report, the average salary for a developer in Vietnam in 2024 is estimated to range from $1,100 to $3,000 per month, depending on skills and experience. Notably, specialized positions such as AI engineers and Cybersecurity experts can command salaries well above the average due to the scarcity of talent and the critical nature of these roles in businesses.

The rapid development of the technology market not only creates numerous job opportunities but also poses significant challenges for businesses. One of the most notable challenges is the shortage of skilled professionals. According to the Ministry of Information and Communications, Vietnam's IT market needs to add at least 500,000 technology workers by 2025 to meet demand. This necessitates a pressing need for businesses to implement upskilling and reskilling programs for their employees.

3. Startup innovation: Vietnam - A Land of Opportunities

Vietnam's technology startup ecosystem is thriving, thanks to strong support from the Government and International investors. According to the report, Vietnam is currently ranked third in Southeast Asia in terms of the number of startup projects receiving investment. In 2023, total investment in technology startups in Vietnam reached $529 million, primarily focused on education, healthcare, and e-commerce, sectors with high growth potential and significant social value.

A significant highlight of the report is the close collaboration between domestic startups and international investors. Initiatives like the Qualcomm Vietnam Innovation Challenge have opened up opportunities for Vietnamese startups to access cutting-edge technologies, particularly in the areas of Artificial Intelligence and Telecommunications. Meanwhile, the Google for Startups Accelerator program has provided resources such as investment and technical support to startups, helping them accelerate their growth and expand into international markets.

Vietnam is witnessing a wave of comprehensive digital transformation, spreading strongly in many important fields such as finance, banking and public services. The report indicates that digital transformation initiatives are bringing significant change in the way businesses operate, with a focus on integrating advanced technologies such as AI, Cloud computing and Data analytics​.

Digital economy of Vietnam currently accounts for approx 16.5% of national GDP and is expected to continue growing at a rapid pace 20% annually​. This is a great opportunity for domestic and international businesses to participate in this technology revolution, especially in the context that businesses need to promote digital transformation to maintain their position in the global economy. Digital solutions such as online banking, e-commerce, and e-government have become core components of the digital economy, opening up many development and investment opportunities. According to Google's eConomy SEA 2023 Report, Vietnam's GMV is expected to increase from 30 billion USD in 2023 to 43 billion USD in 2025, this further strengthens the strong development potential of the digital economy in Vietnam.

Along with that, Vietnam is currently considered one of the pioneering countries in applying new technology in the ASEAN region. The trends like 5G, Internet of Things (IoT) are also being rapidly deployed, helping to promote digital transformation and modernize technology infrastructure. At the same time, with strong support from the Government and international investment capital flows, Vietnam is on track to become a major regional technology center, attracting more and more businesses and technology experts to participate in the innovation process.

5. Future challenges and opportunities

Although Vietnam's IT market has great potential for growth, there still exist major challenges that businesses and investors need to face. One of the main challenges is Technology infrastructure, especially in the context of 5G networks, data centers and cloud services are gradually becoming an inevitable need. To continue to develop sustainably, Vietnam needs to increase investment in upgrading infrastructure, ensuring enough capacity to meet the growing demand for technological development.

In addition, network security and data security issues also place great pressure on IT businesses. In an age where cyber attacks are increasingly sophisticated, compliance with the network security standards and data security regulations becomes a mandatory requirement if businesses want to participate in the global supply chain. This requires businesses not only to improve technology but also to focus on training human resources with high expertise in data security.

Also according to the report, one of the major challenges facing the IT labor market is: increased demand for experienced positions, especially in complex fields such as cybersecurity and artificial intelligence. The demand for experienced professionals far exceeds the supply, placing great pressure on businesses to attract and retain talent. This makes businesses not only need to focus on recruiting but also deploy internal training programs to develop and improve the skills of their staff.

Mr. Park JongHo, CEO TopDev, shared his opinion: "This report provides an in-depth analysis of current market trends, highlighting both the opportunities and challenges that companies face. We aim to offer a range of information that can be practically useful to professionals and talent in the IT sector. The growth potential of the Vietnam IT market remains infinite. We hope this report serves as a vital compass for understanding the market and capturing new opportunities. We will continue our efforts to contribute valuable insights to the development of the Vietnam IT industry.”

Despite facing numerous challenges, Vietnam's IT industry continues to show strong growth and significant potential in 2024. For a comprehensive understanding of Vietnam's IT market, attractive opportunities, and emerging technology trends, readers can refer to the Vietnam IT Market Report 2024 conducted by TopDev.

Download the report below:

Summary_TopDev_VietnamITMarketReport2024-2025_VietnamIT_TechTalentLandscape
Summary_TopDev_VietnamITMarketReport2024-2025_VietnamIT_TechTalentLandscape.pdf
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About TopDev
Founded in 2015 by Applancer JSC with the mission "Make IT Vietnam Better", TopDev has become the leading IT Recruitment platform in Vietnam with a website of more than 1 million visits per month, and more than 250,000 mobile application downloads and 750,000 registered members. TopDev's vision is to optimize the IT talent attraction process, making it easier for both job seekers and employers through convenient services and features to find suitable job opportunities. In addition, TopDev is also the organizer of the two largest annual Technology events in Vietnam: Vietnam Mobile Summit & Vietnam Web Summit with thousands of attendees in Ho Chi Minh City & Hanoi. In addition, since 2016 TopDev has published the annual Vietnam IT Market Report with the trust and verification of many businesses, organizations & governments.