Software outsourcing improves

HA NOI — The Vietnamese software outsourcing industry is seeing good signs after the tough times of the global economic crisis, said Viet Nam Software Association general secretary Pham Tan Cong.

FPT Software Joint Stock Co announced that it had started implementing a US$2 million software outsourcing contract for a Japanese partner. The project, named Nina, aimed to develop core retail and e-commerce software for Nissen Co. This was the largest software outsourcing project the Japanese market had ordered in Viet Nam.

FPT Software set a goal of posting a 20 per cent growth rate for this year, pushing expected growth from several markets such as the US, EU and Japan, a company spokesperson said.

Other software companies have also revealed their high growth rate targets this year, such as VietSoftware International, with 200-250 per cent, and Run Systems Co, with 30-40 per cent.

VietSoftware International director Le Xuan Hai attributed the ambitious results to the company’s efforts to foster its management capacity and to improve its personnel during the previous year to better prepare for the recovery time ahead.

Meanwhile, Tinh Van Outsourcing Co deputy director Nguyen Ich Van described the previous difficult year as a good time for local software outsourcing firms to focus on training staff to raise standards.

This year would open up new business opportunities, as long as the firms made good preparations, he said.

However, Hai warned that the Vietnamese firms would be faced with harsher competition in prices and quality from foreign rivals this year.

A report released recently by the association and the US-based International Data Corporation stated that the software industry was facing key hurdles, including a shortage of human resources; IT infrastructure; foreign language capacity; copyright protection; capital; branding; supportive Government policies; strategic routes for the industry’s development; and funds for research and development.

At the same time, 40 per cent of software companies claimed ignorance of two important industry policies: the "software engineering development programme until 2010" and the "Viet Nam digital content industry until 2010", proposed by the MIC and approved by the Prime Minister in 2007.

Three popular products that 60 per cent of the participating companies provided were web-based applications, specific customer solutions and IT consultation. Fifty per cent were involved in software outsourcing.

This was the first report to capture a big-picture view of the software engineering industry nationwide, with participation from 149 software companies, 19 of which were joint-ventures. — VNS

VN imports 1.6m computers in 2009

VietNamNet Bridge – The country last year imported an estimated 1.6 million computers of all kinds, up 35 per cent over the previous year, according to marketing director of Intel Viet Nam Pham An Duong.

Duong said that computer prices last year were about 10 per cent lower than those in 2008, meaning PCs and laptops cost roughly US$350 and $620 per unit on average.

Domestic demand for high-speed microprocessors kept rising. Core microprocessors, for example, accounted for 29 per cent of Intel’s total microprocessors sold last year. The figure for AMD’s Athlon II X2 was 50 per cent.

Duong expected that Intel’s Core would increase its market share to 40 per cent this year thanks to the recent introduction of Core i3, Core i5 and Core i7 products.

Currently, Intel holds about 92 per cent of the country’s total microprocessor market share. The remainder belongs to AMD, according to Duong.

Local customers are also tending to pay more for their PCs with LCD screens. According to GfK Viet Nam’s statistics, the country in the first 11 months of the year imported nearly 716,000 LCD screens for PCs worth VND2.4 trillion, of which 19-inch screens made up 45.7 per cent.

Accounting for 45 per cent of the country’s LCD screen total sales, HCM City was the largest market for the product last year. Ha Noi followed with 35 per cent.

Duong estimated that laptops accounted for roughly 34 per cent of total computers sold last year, totalling roughly VND6.3 trillion ($350 million), up 28 per cent over 2008.

Retailers said that 14-inch laptops were best-sellers thanks to their reasonable prices.

GfK’s statistics also reported that 14-15 inch laptops accounted for roughly 76 per cent of total laptops sold in the second half of last year.

Despite the improvement in speeds, screens and prices, sales of netbooks last year remained insignificant as the product has remained unpopular with local consumers.

Thieu Phuong Nam, business director of Intel Viet Nam and Indochina, forecast construction that Viet Nam’s computer market in 2010 would increase 20-25 per cent over last year, adding that the domestic market had high potential as the growth rates of all kinds of computers in the market ranked second behind Indonesia in the Asia-Pacific region.

Vietnam aims to have 1000 int’l network security experts

VietNamNet Bridge – Developing human resources, building institutions and technical infrastructure for national information security are key goals in the plan for national information security development up to 2020.

Under this plan, Vietnam will develop standards for information security experts and train 1000 up to international standards to ensure information security for national information systems.

 

IT human resources will be also trained with skills on information security at the same level of leading countries for IT in Southeast Asia. By 2020, 100 percent of system managers of the national information systems will be trained and granted national certificates of information security.

 

To raise social awareness of information security, users will be equipped with necessary knowledge about how to use available information security functions. The users of information services and equipment will be updated on newly emerging risks.

 

Nearly 770 billion dong for six priority projects

 

From now to 2020, the state budget will pay 765 billion dong for six key projects to build institutions and technical facilities for national information security.

 

The Ministry of Information and Communications will preside over three projects totaling 500 billion dong to build the National Centre for Network Security Technology, a system to evaluate and verify national information security, train information security experts for government agencies and the national key information systems.

 

The three other projects will be carried out by the Ministry of Public Security, the Government Secrecy Committee and the Ministry of Industry and Trade, including: building cyber crime warnings, a discovery and prevention system, a verification and security system for the government’s information systems and a system to ensure information security for e-commerce activities of the industry and trade sectors.

 

The National Agency for Information Security will be established in the second quarter of 2010, by the Ministry of Information and Communications.

 

In addition, computer security incident response teams (CSIRT) will be set up at agencies to build up a national network of CSIRT to cope with information incidents.

 

The legal aspects of information security will be developed to deal with violations of information security regulations and combat information security crimes. Laws on cyber crime will also be designed.

 

 

South Korean partner may split from S-Fone

VietNamNet Bridge – The South Korean partner of the S-Fone mobile network – SK Telecom – may withdraw its backing after nearly six years of operation in Vietnam.

 


A source from SK Telecom said the group is fulfilling necessary formalities and solving the remaining issues between it and the Saigon Post and Telecom JS Company otherwise known as Saigon Postel. After that SK Telecom will put an end to its investment in S-Fone to invest instead in real estate projects.

The source also said that SK Telecom would withdraw from Vietnam due to modest business results. In 2005, this group invested around $150 million in S-Fone but since then the network has rarely made a profit.

Since early 2009 it has been rumored that SK Telecom has been withdrawing its capital from S-Fone. In November 2009, S-Fone confirmed that the two sides had agreed to change the model of cooperation to a joint venture.

S-Fone’s executive manager Ho Hong Son told VNExpress that S-Fone would continue its operation whether the Korean partner withdraws its capital or not.

He said S-Fone would still have capital to maintain its operation saying they would release an official announcement about the situation early.

On January 9, S-Fone announced plans to have nearly 300 3G transceiver stations to increase its coverage to 14 provinces, with two more cities with 3G networks (Bien Hoa and Dong Nai).

This year S-Fone plans to upgrade its 3G-EVDO service in order to develop 3G services and the 4G service in the future.

The network now has 7.3 million subscribers but only 4.3 million are active. This is considered slow growth in the telecom market, which has boomed in recent years.

 

Free meals help poor children stay in school

Thanks to the kind hearts and innovative ideas of community members in southern areas, underprivileged children are being given the chance at a better life and education.

 

 
Disadvantaged students receive free rice at Ham Giang B Elementary School in southern Tra Vinh Province thanks to a charitable school program. Reducing poverty has prevented many poverty-stricken students from dropping out of school.  
Disadvantaged students receive free rice at Ham Giang B Elementary School in southern Tra Vinh Province thanks to a charitable school program. Reducing poverty has prevented many poverty-stricken students from dropping out of school. 

 

At the remote Ham Giang B Elementary School in Ham Giang Commune, Tra Vinh Province, 100 percent of students are from the Khmer ethnic minority. Most come from families who are desperately poverty-stricken, and often can’t afford food. Many of the children are forced to drop out of school to help their families eke out a living at home.

 

Golden Seeds

 

Searching for a solution to the problem, school Vice-Principal Son Nhuong and other teachers came up with the idea of a “Golden Seeds” fund to help feed students so they could stay in school.

 

During harvest time, students would collect leftover paddy seeds from rice fields.  Teachers also contributed rice and seeds for students in need and encouraged wealthier families to donate new clothes to poor students at the start of each school year.

 

After nine years of implementation, the Golden Seeds program continues to be a success. The school has accumulated more than 2.7 tons of rice, and has helped 132 disadvantaged students obtain new clothes, notebooks and pens.

 

Rice Jar of Friendship

 

Poor students at Ham Giang B School have also benefited from another charitable program organized by teachers. In May 2008, the school launched the “Rice Jar of Friendship” program, where every teacher was encouraged to contribute at least 5kg of rice and each student one or two cans of rice to help feed poor students.

 

In a small corner of the school library, a jar was placed to collect the rice brought in by students and teachers. Wealthier teachers volunteered to donate 10-20kg of rice, while students would ask their parents each day for one handful of grains. Within a month, the Rice Jar of Friendship had amassed 250kg of rice. At the end of the school year, 36 poor students were given the grains.

 

The program proved successful not only in terms of providing food for needy children and keeping them in school, but it also lifted community spirit. Feeling that their friends and teachers cared about their wellbeing, the disadvantaged students said they felt encouraged to study harder. 

 

Thach Thi Em Qui, a 5th grade student at the school, received a portion of the charitable rice last year. "After bringing my rice home, my grandmother was so happy! I promised to try my best not to betray teachers’ and friends’ good intention,” said Qui.

 

In the 2008-2009 school year, 9 students dropped out of Ham Giang B School, but after implementing the Rice Jar of Friendship program, there hasn’t been a single drop-out in the 2009-2010 academic year.

 

The school is now organizing a second phase of the program to help feed students during the upcoming Tet (lunar New Year) holiday in February and also at the end of the school year.

 

A café with heart

 

Since the beginning of the 2008-2009 school year, local café owner Ngo Nhat Dinh has also been doing his part to help provide food for poor children. Opposite the Phuong Thanh A Elementary School in What Province? Mr. Dinh’s small restaurant serves up free meals for 15 kids who would otherwise go hungry.

 

A former teacher at the school, Nguyen Thanh Chan, helped launch the program with VND6 million from his own teaching salary. School Principal Thach Thanh Long then asked teachers to make a list of the 15 most disadvantaged students likely to quit school and report to the managing board.

 

“Cooking for 15 small children is very hard but all of us are happy with this meaningful work. Seeing that poor students are eager to learn and learn well, we all participate in the movement to support them,” said Mr. Dinh.

 

Each day at around 11:00 am, a few 1st and 2nd graders always arrive early to help “Uncle Dinh” clean tables. They then wait patiently for their friends to join them for a meal. The free lunches are worth about VND9,000 each, considered a “luxury” to the young students.

 

Some of the disadvantaged children at Phuong Thanh A Elementary School have additional challenges such as physical disabilities. Lam Chi Nhan, a 5th grader with several siblings, lost the use of one of his legs. Nhan’s parents own a noodle stall and earn just a few hundred thousand dong a month.

 

”Only on the Tet holiday can I eat rice with fish and meat. On normal days I have very frugal meals. But now with the delicious [free] meals, I am becoming healthy. I try my best to learn in order to get a good job to help my parents and other poor students as my teachers and Mr. Dinh have done for us,”  said Nhan.

 

Thach Truong Quy, a 2nd grader, has three siblings – all of whom are disabled. Quy’s parents are freelance laborers and don’t have stable jobs. The lunch provided by teachers and Mr. Dinh allows Quy to continue learning without the burden of hunger.  Quy also spares some meat at each meal for his younger sister. Formerly, a very sick and thin child, Quy is now much healthier and hasn’t missed a day of school since the program began.

 

In the fall of 2008, a special ceremony was held at Mr. Dinh’s café to officially launch the free-lunch program. Commune leaders and program benefactors attended the event.

 

Watching the poor students eating slowly, some thought the children did not care for the food. But when asked why they ate the way they did, the students said they had not eaten a full meal in a very long time and were simply savoring the dishes. They were also trying to save some to bring home to their siblings, they added.

 

After listening to the children’s plights, many benefactors attending the event donated an extra VND1-2 million on the spot.

 

"At first, myself and Mr. Chan thought the program would last no longer than three months, but to our surprise, the benefactors showed enthusiastic support so the free lunches have continued until now," said Mr. Long.

 

"We will try to keep the program running until the end of this year. If funding from the benefactors continues, the school will continue to extend the program into next year to help poor students,” Mr. Long added.

1.3 million mobile subscribers may lose their numbers next week

VietNamNet Bridge – Around 1.3 million mobile phone users have not completed registration with mobile operators while January 31 is the deadline. Mobile networks confirmed to stop providing services to these subscribers in one week.

The three largest networks, namely Viettel, VinaPhone and MobiFone, account for most of these cases. The four smaller networks, including S-Fone, EVN Telecom, Vietnamobile and Beeline have modest numbers of cases because their client base is much smaller. Viettel and VinaPhone have around 500,000 unregistered subscribers compared to 200,000 of MobiFone.

 

The three networks told VNExpress that they would not make concessions to subscribers who don’t supply personal information. After January 31, the systems will automatically filter information and stop serving subscribers on the “blacklist.”

 

The three companies have been calling for clients to complete registration quickly. Yet, with over 1.3 million unregistered people, they will have to help around 20,000 customers a day on average until the deadline.

 

According to the Ministry of Information and Communications, after five months of restricting users to just three mobile numbers, companies have taken back more than 2 million phone numbers.

Firms move to sharpen IT use

HA NOI — Vietnamese businesses will receive support to speed up information technology applications and sharpen their competitive edge, according to the Viet Nam Chamber of Commerce and Industry’s Business IT director Le Van Loi.

Via the opening of more training courses and seminars, the chamber hoped to enhance awareness of IT applications amongst local enterprises and provide State authorities with advice on how to draw up more effective strategies on IT applications, Loi said.

During his speech at the conference on IT applications last Friday, Loi said the chamber would offer enterprises financial support for establishing their own websites to better advertise products and services, and to provide them with consultation for applying low-cost and effective IT solutions.

Assistance would also be given to locations for developing e-commerce trading floors, he said.

As part of 191—an ongoing project on applying IT in enterprises—the chamber had organised over 50 conferences with the participation of 10,000 firms, and had opened 100 training courses nationwide.

The chamber had also co-ordinated with localities to conduct surveys on IT applications at 5,000 companies and built the IT application index in 2009 and 2010, which would be announced in the near future.

"We’ve recognised the importance of making proper investment in IT applications due to the project’s activities," said Nguyen Manh Hung, director of Quang Ngai Department of Information and Communications.

In addition to encouraging more firms to join the project, the department was speeding up the completion of a new programme on fostering e-commerce applications in the province, Hung said.

Last Friday also witnessed co-operation agreements inked between the chamber and departments of information and communications of Ha Noi, Bac Giang, Thai Nguyen, Yen Bai, Quang Ngai, Phu Yen, An Giang, Tra Vinh, Ninh Thuan and Dong Nai.

The agreements would help these localities better comply with the project’s activities, resulting in more benefits for businesses, Loi said.

Meanwhile, 100 firms would have the chance to advertise their products, seek out new trade partners and move to foster their exports via the website http://Alibaba.com, following another agreement signed between the chamber, Alibaba Group and the OSB Investment and Technology Joint Stock Co.

"In the current context, these co-operation agreements are essential to Vietnamese firms," said chamber vice chairman Hoang Van Dung. —VNS
 

3G tops journalism club’s top 10 ICT events of 2009

The launch of third generation (3G) mobile phone services topped the list of 10 most outstanding information and communication technology events, a journalists’ club based in Hanoi said Tuesday. 


The service, including broadband internet, video calling, and mobile television, was made available in 13 major cities and provinces by Vinaphone in October.

The government has also granted 3G licenses to MobiFone, military-run Viettel, and a joint venture between Hanoi Telecom and EVN Telecom.

The closure of Yahoo!360, the social networking service, leading to the boom of Vietnamese services, ranked second, the Vietnam ICT Press Club said.

It was followed by the regulation restricting each person to only three mobile-phone SIM (subscriber identity module) cards.

The spat between the Electricity of Vietnam and the Vietnam Posts and Telecommunications Group over the price to be paid for stringing up cables on the former’s electric poles also found a place.

Another wrangle was the one between the Vietnam Computer Emergency Response Team and Hanoi-based Bach Khoa Internetwork Security (BKIS).

The dispute arose following a complaint from the Korean Computer Emergency Team saying BKIS had investigated into cyber attacks in South Korea and the US in July without its consent.

ICT journalists also voted for Viettel’s allegations against Mobifone’s unhealthy competitive practices.

The other events were the government’s first-ever online meeting with authorities from 63 provinces and cities in March; the use of digital signatures at government agencies; the unveiling of a project to make Vietnam a strong ICT player; and EVNTelecom’s laying of an intra-Asia cable.

ICT Press Club was established in 2003 by some 30 journalists reporting on information and communication technology.          
 

Communications sector urged to set up legal framework for growth

VietNamNet Bridge – The Ministry of Information and Communications (MIC) should create a legal framework for the rapid and sustainable development of the IT sector, Prime Minister Nguyen Tan Dung said.

Dung made the request while attending a ministry meeting in Ha Noi yesterday.

He also called on the ministry to urgently submit its proposals to the Government for approval..

Dung praised the IT sector’s efforts to modernising communications infrastructure.

Meanwhile, the Prime Minister said that the press and publishing industries had played a major role in raising public awareness about measures to curb inflation,stabilise the macro economy, maintain growth and ensure social security.

Dung asked the ministry to continue co-ordinating with the press to provide full and timely information on Party and State policies.

The ministry said it planned this year to speed up projects, draft laws and legal documents and the implementation of IT application and e-government, in addition to boosting human-resource development.

Israel, VN to boost IT, bio co-operation

HCM CITY — Israel plans to use its strong IT and aerospace industries and biological technologies applied in agriculture to increase its co-operation with Viet Nam, according to Ambassador Dinh Xuan Luu.

These sectors were key to Viet Nam industrialisation and modernisation, Luu told the Israel-Viet Nam Business Forum in HCM City on Wednesday.

A delegation of nine Israeli businesses operating in environmental management, information technology, telecommunications, dairy farming technology, electronics, water technology, medical herbs and transport infrastructure attended the forum.

Luu said Israel, one of the world’s leading countries in IT and bio-technologies, was a potential destination for Vietnamese businesses to look for partners.

Using advanced IT technology, Israel has developed micro satellite and nano satellites weighing as little as 1kg, and also used IT to boost agricultural productivity with amazing results including a productivity of 400 tonnes of tomatoes per hectare, Luu said.

It is called "vegetable garden" of Western Europe.

Luu said the forum also provided a chance for Israeli businesses to learn more about the Vietnamese market.

Ran Yehezkel, commerce representative of the Israeli Embassy in Viet Nam, said Israel and Viet Nam had clinched a bilateral financial protocol to establish a US$150 million fund to support Israeli and Vietnamese companies which do business together.

Vietnamese companies would be able to apply for credit assistance with preferential interest rates and favourable conditions for their transactions with Israeli counterparts.

Last year, Viet Nam and Israel signed an agreement on Double Taxation Avoidance plus other deals for Trade and Economic Co-operation, Culture and Education Co-operation, Air Transport Services and Agricultural Co-operation to promote bilateral trade between the two countries.

Vo Tan Thanh, director of HCM City’s branch of the Viet Nam Chamber of Commerce and Industry, said bilateral turnover had increased in recent years, reaching $159.5 million in 2008.

In nine months of last year, Vietnamese exports to Israel reached $51.9 million and imports reached $86 million.

Major exports to Israel include seafood, garment, footwear and handicrafts, while imports include fertiliser, chemicals and telecommunication and security equipment.

Thanh said Israel ranked 64th out of 84 investors in Viet Nam. It has eight investment projects so far with a total capital of $11.6 million.

The event was organised by the Viet Nam Chamber of Commerce and Industry in collaboration with the Embassy of Viet Nam in Israel and the Embassy of Israel in Viet Nam. — VNS