Investment in AI companies in Vietnam surges eightfold: Innovation Summit

VOV.VN - Investment in artificial intelligence (AI) companies in Vietnam has surged significantly in recent times, from US$10 million in 2023 to US$80 million in 2024, according to the Vietnam Innovation and Private Capital Summit 2025.

A report released at the summit held in Hanoi on April 22 highlights that investment in areas such as business automation has led the growth at 562% that reflects Vietnam’s increasing focus on technologies that enhance productivity.

In addition, artificial intelligence (AI), agritech, and greentech have attracted strong interest from investors thanks to the digitization process, sustainable development trends, and government support.

Vietnam is emerging as a hotspot for investment in next-generation technologies, with AI companies receiving US$80 million in investment last year alone, an eightfold increase compared to the previous year.

Beyond automation, AI is quickly expanding into sectors such as finance, healthcare, and e-commerce, driving smarter decision-making and improving operational efficiency.

Also at the summit, Vu Quoc Huy, director of the National Innovation Centre, stated that Vietnam’s private capital market recorded US$2.3 billion in 2024, with a total of 141 deals. Among these, the number of transactions in both venture capital and private equity remained relatively stable, despite an overall decline in investment value.

Mergers and acquisitions accounted for a large proportion, with a total value reaching US$1.7 billion, reflecting investors’ preference for mature, cash-generating businesses.

The report also shows, although the total value of private capital dropped by 35%, investor engagement was highly active. Nearly 150 venture capital funds were active in 2024, primarily from Singapore, Japan, and Vietnam. Deals under US$500,000 each increased by 73%, signaling a strong rebound of the startup ecosystem.

According to Le Hoang Uyen Vy, chairwoman of the Vietnam Private Capital Association (VPCA) and CEO of Do Ventures, in the context of global uncertainties, Vietnam has emerged as a destination for sustainable growth, grassroots innovation, and pioneering policy initiatives.

As a result, the ecosystem is ready to scale up. The government has mapped out an ambitious economic transformation roadmap till 2030, focusing on key pillars such as the digital economy, green economy, and high technology.

From capital market reforms to aspirations of building international financial centres and establishing a legal framework for blockchain technologies, Vietnam’s financial infrastructure is evolving rapidly. These reforms are creating more transparent exit pathways, reducing risks for foreign investors, and paving the way toward an investment-grade credit rating in the near future.

In addition, Vietnam is in the midst of a large-scale infrastructure investment cycle, with nearly US$500 billion in FDI being implemented, including strategic projects from Samsung, Intel, Lego, and Foxconn. The country is no longer just a manufacturing hub, it is becoming a strategic link in the global supply chain.

Accordingly, there are several drivers for private capital opportunities, including partnering with leading domestic enterprises to expand into the ASEAN region; investing in early-stage digital startups, particularly in AI, automation, and agritech; digitizing fragmented traditional industries; developing green technology, renewable energy, and sustainable logistics, as well as developing smart infrastructure and digital public services in two-tier cities.

AI development and application in Vietnam.jpg

Vietnam to promote AI development, manage risks

VOV.VN - Vietnam is set to introduce policies that both foster the development of artificial intelligence (AI) and ensure effective risk management, according to the Ministry of Information and Communications.

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