South Korea’s KT Corp. has entered into a strategic partnership worth 130 billion won ($95 million) with Viettel Group, Vietnam’s leading telecommunications provider, to accelerate AI transformation throughout the country. Announced on May 27, the collaboration involves building an AI data center, creating a joint venture, and developing local expertise, signaling KT’s significant expansion into Southeast Asia’s emerging digital economy.
The agreement was completed in Hanoi on May 26, with KT focusing on strengthening Vietnam’s AI infrastructure and growing its presence in the region. Viettel, a state-owned ICT leader serving more than 138 million users across 11 countries, will collaborate with KT to create AI solutions customized for local demands, with ambitions to expand internationally. Additionally, KT CEO Young Shub Kim suggested establishing a Global Development Center in Vietnam to cultivate AI expertise and drive wider digital innovation.
Viettel Group, owner of Vietnam’s largest mobile network, Viettel Telecom, operates across 11 countries in Southeast Asia, Africa, and Latin America, serving over 138 million customers. Last year, the group reported sales of $7.34 billion as it shifted focus to becoming a “technology company,” emphasizing AI, cloud computing, and cybersecurity.
As part of the agreement, KT and Viettel will work together across six main areas: building AI capabilities through a global development center, developing AI solutions for consumers and small-to-medium enterprises, providing AI transformation (AX) consulting, expanding into international markets jointly, enhancing infrastructure for AI data centers and cloud services, and driving AI business growth. The deal also includes establishing a joint venture to fast-track AI transformation efforts in Vietnam and the broader ASEAN region.
KT will provide AX consulting services, drawing on its experience with global partners such as Microsoft, to support Viettel’s national AI initiatives. Together, they will develop Viettel’s mid-to-long-term AI strategies, including national AI models, Vietnam-specific AI assistants, and AI-based voice phishing prevention tools.
The companies plan to build a dedicated AI data center and GPU server cluster and establish a global development center in Hanoi to nurture local AI talent. This collaboration aims to boost Vietnam’s digital infrastructure, improve operational efficiency, and foster a new generation of AI experts.
During the signing ceremony, KT CEO Kim Young-shub met with Viettel Chairman Tao Duc Thang, Deputy Prime Minister Nguyen Chi Dung, and Vice Minister of Science and Technology Bui The Duy. The Vietnamese government expressed strong support for the partnership, pledging to create favorable conditions for KT and Viettel’s joint initiatives, including the establishment of AI research and training centers.
The two companies plan to establish a global development center in Hanoi to leverage Vietnam’s growing tech talent pool. KT will also introduce its AI education platform, AICE, across the country to train future AI professionals. KT CEO Kim Young-shub emphasized the importance of supporting Viettel’s AI transformation through consulting and expert training, while Viettel Chairman Tao Duc Thang highlighted the combination of KT’s technology with Viettel’s local market knowledge to deliver advanced solutions both domestically and internationally.