FPT is ready to collaborate with Korean businesses to embrace the semiconductor industry
At the conference on Vietnam – Republic of Korea cooperation in the semiconductor industry taking place in Hanoi organized by the Korea Trade-Investment Promotion Agency (KOTRA), FPT Semiconductor, a representative of a typical Vietnamese technology firm, attended and shared initiatives to promote cooperation between technology businesses of the two countries, resonating strength to welcome the third wave in the semiconductor industry.
Participants in the event included leaders of the Embassy of the Republic of Korea, the National Innovation Center (NIC) – Ministry of Planning and Investment and over 100 executives and leading experts from large technology companies in Vietnam and Korea.
In his opening speech, Mr. Choi Young Sam – the Embassy of the Republic of Korea shared: “Vietnam and Korea have strong bilateral and economic cooperation. Specifically, the July 2024 visit of Prime Minister Pham Minh Chinh to Korea helped to advance cooperation between the two nations in many areas, particularly in high-tech investment such as the semiconductor industry. The meeting today will mark an important milestone in fostering collaboration and advancing the development of the semiconductor industry between the two countries.”
Mr. Tran Dang Hoa shared about FPT’s experience and capacity in the semiconductor industry.
Mr. Tran Dang Hoa, Chairman of FPT IS cum Chairman of FPT Semiconductor shared: “Opportunities for Vietnam’s semiconductor industry are growing exponentially following President Joe Biden’s visit. Following the US, Japan, Taiwan, China, Korea, and other countries in which this technology has flowed, Vietnam will be the last “chopsticks country” to participate and quickly take the lead and achieve success in the global semiconductor supply chain”.
According to Mr. Hoa’s analysis, Vietnam’s semiconductor industry is entering the third wave, which is marked by a large influx of foreign businesses and a return of leading experts to work with FPT. Vietnam will be one of seven nations assisted in the development of this industry as a result of the implementation of the CHIPS Act, which is also having a significant impact on the semiconductor sector.
FPT has 10 years of experience working in the semiconductor industry in Vietnam. Our customer base spans five continents, and there would have been nearly 70 million chips ordered by Taiwan, Korea, Australia, Singapore, and Japan by 2025.
“FPT has selected niche markets that align with their capacity as well as Vietnam’s capability. First, we focus on developing power chips with low technology requirements, between 100 and 130 nm, which can be produced by most factories and are required by all IoT devices. FPT’s strength is to quickly take the lead in the market by tailoring, assembling, and fine-tuning products to meet customer needs. Next, we develop and provide IP libraries and “standard cells” to customers. The third niche market that FPT has just started is partially involved in the OSAT (Outsourced Semiconductor Assembly and Test) chain. Given the huge demand for chip testing, we are building an OSAT factories in collaboration with our partners. The last niche market is the outsourcing service, which takes advantage of Vietnam’s abundant pool of young engineers studied under the FPT system as well as leading universities in the country. There will always be a demand for this since many young people in other countries do not want to work in this industry. This is a great opportunity for the young generation in Vietnam”, said Mr. Hoa.
Regarding resource development, Mr. Hoa stated that FPT offers chip training from universities and colleges, short-term programs, and training programs in collaboration with top Vietnamese experts living overseas. Currently, FPT cooperates with more than seven universities globally to facilitate students’ participation in 2+2+2 study programs. Students will study for two years at FPT University, two years at an international university, and two years of practice at a foreign technology partner. This model aids in the rapid growth of resources, which is the foundation to achieve the Vietnamese government’s goal of having 50,000 – 100,000 engineers in the semiconductor industry by 2030.
“FPT has developed the software industry with 30,000 people for 20 years. Following India, we became the only business in the region to achieve USD one billion in software export revenue. FPT’s goal is to become a large company in the next 10 years, independently designing its own chips, particularly AI chips”, Mr. Hoa affirmed.
FPT is ready to cooperate with Korean companies to develop the semiconductor technology industry.
Since its launch in 2016 in Korea, FPT has collaborated with leading Korean companies, including LG, SK C&C, Hanwha, Shinhan Bank, Shinsegae I&C, and others. Vietnam in general and FPT in particular will work closely with Korea based on this foundation and the trends in the semiconductor chip industry. Regarding the two nations’ cooperation in semiconductors, Mr. Hoa made four important suggestions.
Firstly, regarding chip production, FPT plans to introduce power chips, its current primary product, to Korean customers. FPT wishes to collaborate with Korean partners in order to implement OSAT in Vietnam. Third, with regard to the chip design outsourcing segment, based on the large pool of human resources from the Corporation’s training facilities, as well as the capacity and experience of designing chips for customers in Japan, Taiwan, and other countries, FPT can address the shortage of engineers in the Korean semiconductor industry by providing this service. Finally, FPT hopes to work with partners to train high-quality human resources, enabling Vietnamese engineers to work in the Korean semiconductor market.
FPT is eager to cooperate with Korean businesses to catch the next big wave in the semiconductor industry.
