LG CNS is accelerating its global market strategy by expanding into Vietnam following its success in Indonesia. On August 12th, at the Lotte Hotel Seoul, LG CNS signed a memorandum of understanding (MoU) with Vietnam Posts and Telecommunications Group (VNPT), the largest state-owned telecommunications company in Vietnam, and Korea IR Asset Management to collaborate on developing data centers in Vietnam. The event was held to promote investment cooperation and market expansion opportunities between the two countries and was attended by Trong Lam, Secretary General of the Vietnam Communist Party.
VNPT is a key player in Vietnam’s digital transformation (DX), leading services such as telecommunications, data centers, cloud, and smart cities. It has selected LG CNS, equipped with strong cloud and AI technologies, as its strategic partner. Prior to the MoU signing, on August 11th, VNPT and Korea IR Asset Management visited LG CNS’s Hanam Data Center to review its technology and operational capabilities.
Through this partnership, the three companies will collaborate on building hyperscale AI data centers in Vietnam. They will form a working group encompassing hardware such as servers and storage, as well as communications and network infrastructure, to drive joint projects across the entire AI infrastructure spectrum.
According to market research firm Arizton, Southeast Asia’s data center market is projected to grow from approximately $13.7 billion in 2024 to $30.5 billion by 2030, maintaining an annual growth rate of 14%. With its Vietnam expansion, LG CNS aims to strengthen its leadership position in the Southeast Asian region.
As Korea’s largest data center operator, LG CNS has over 30 years of experience conducting various design, build, and operation (DBO) projects both domestically and internationally. Currently, it manages nine data centers in South Korea.
Furthermore, LG CNS and VNPT plan to expand their cooperation into smart engineering fields such as smart factories and smart logistics. Given that the Vietnamese government regards manufacturing automation and digital logistics infrastructure as key national priorities, the companies plan to develop tailored smart engineering business models for the local market.
Lee Shin-kyun, CEO of LG CNS, stated, “This MoU marks a turning point in accelerating Vietnam’s digital transformation beyond data centers. Leveraging AI and cloud-based technologies, we will elevate ourselves as a global AX partner driving customer business innovation.”
