Vietnam’s FPT to invest $200 million in AI factory using Nvidia chips

By Thomson Reuters Apr 23, 2024 | 1:04 AM

HANOI (Reuters) – Vietnam’s top tech firm FPT plans to build a $200 million artificial intelligence (AI) factory using Nvidia’s graphics chips and software, the two firms said on Tuesday.

FPT plans to use Nvidia’s support to boost AI research in Vietnam with the aim of developing AI applications and solutions at the planned data centre factory, including for generative AI and autonomous driving, the firms said in a joint statement.

“According to the plan, FPT will establish factories in Vietnam and other potential markets including Japan and South Korea,” FPT Chairman Truong Gia Binh told reporters.

“FPT is working to achieve its vision to turn Vietnam into an AI hub through collaboration with Nvidia in technology, business development and training,” he added.

The two firms also signed a “comprehensive strategic partnership”.

Nvidia’s chief executive Jensen Huang had said last December that the company wanted to expand its partnerships with Vietnam’s top tech firms and support the country in training talent for developing AI and digital infrastructure.

“We are working with many different operating units within FPT … we have agreements and strategies for each one of those,” Keith Strier, Vice President of Worldwide AI Initiatives at Nvidia, said at an event in Hanoi marking the deal.

The U.S. chipmaker has invested over $250 million in Vietnam. It was not immediately clear whether the new partnership would increase its investment in the country.

FPT is the most valuable technology company on Vietnam’s Ho Chi Minh City bourse, with a market capitalization of $5.5 billion. It offers a variety of AI, cloud and big data services, and last year its total revenues exceeded $2 billion.

($1 = 25,450 dong)

(Reporting by Phuong Nguyen; Editing by John Mair)