Large-scale data center launched

This facility will serve as the cornerstone of the city's information technology infrastructure, playing a crucial role in digital transformation and the development of a smart government in Ha Noi.

Speaking at the ceremony, Ha Minh Hai, Deputy Chairman of the Ha Noi People's Committee, said that the launch of the large-scale data center is a strategic tool to drive Ha Noi's comprehensive digital transformation.

It will lay the foundation for sustainable development with "new visions, global thinking, and Ha Noi's proactive actions," demonstrating Ha Noi's pioneering role in the global digital era and contributing to the country's new phase of development.

"The center provides a secure and efficient platform for data storage, connectivity, and processing for management systems and public services. It utilizes big data in various sectors, including economic, social, transportation, healthcare, and education," Hai said.

Equipped with modern cloud computing technology, multi-layered security, and flexible scalability, the center integrates advanced technologies such as artificial intelligence (Al), big data, and the Internet of Things (IoT) to deliver significant value to the government, citizens, and businesses, according to the vice chairman.

For residents, the center supports the delivery of online public services, helping save time and money. In addition, effective use of data provides citizens with tailored services, including electronic health records, digital identification via the VNeID application, and real-time information on traffic and urban environmental conditions.

"The multi-layered security system at the center ensures the protection of citizens' personal data and reduces the risk of leaks or misuse of information," the Deputy Chairman said.

The center also asssisting businesses use data in developing new products and services, enhancing their competitiveness.

With its rich data resources and secure infrastructure, startups can use the center as a platform to test and implement technological ideas, thereby fostering the startup ecosystem in Ha Noi.

It will also make it easier for companies to share data and connect with regulators and other partners, expanding business opportunities and large-scale collaborations.

Nguyen Viet Hung, Director of the Ha Noi Department of Information and Communications, said that the project represents a breakthrough by transitioning from a self-investment model for IT operations to a service-based IT model.  

On July 10, a consortium consisting of Viet Nam Posts and Telecommunications Group (VNPT), Sun Viet Telecommunications - Informatics Technology Development JSC, and VNPT Vinaphone Corporation was selected and signed a contract to provide infrastructure leasing services for the center.

Ha Noi is forecast to soon become a new data center of ASEAN as the capital city boasts many advantages to attract international businesses and investors to invest in building and developing data centers, according to experts.

As the capital of Viet Nam, Ha Noi is the economic, political, cultural and social center of the whole country. The city has around 370,000 enterprises, including 10,000 firms operating in the field of information technology with 170,000 well-trained laborers. “This is an attractive factor for any business,” he said.

The city’s annual growth rate of cloud computing reached more than 30 percent over the past three years, contributing 36 percent to the city’s GRDP.

Additionally, the construction costs for data centers in Ha Noi are also advantageous compared to many other locations. The average land price to build a data center in Ha Noi is estimated at US$120 per sq m, equivalent to half of that in Ho Chi Minh City and one tenth of neighboring countries. In Singapore, the costs can reach up to US$1,500 per sq m.

Also, labor costs for operational engineers and management are also significantly lower, equivalent to 40-50 percent of countries within ASEAN.

These factors, combined with a population of over 10 million and significant contribution to the country's GDP, Ha Noi will soon become a new data center of ASEAN, according to Mr. Anh./.