Data Centres & Networks

Viettel and KT sign US$95m deal to collaborate on AI development

Viettel and KT sign US$95m deal to collaborate on AI development

South Korean telco KT Corp reportedly signed a partnership deal on Tuesday with Vietnam’s Viettel Group worth KRW130 billion (US$95 million) to collaborate on developing AI in Vietnam, to include construction of AI data centres.

According to the Korea Economic Daily, Viettel and KT will collaborate on six core areas of “AI transformation” to support Viettel’s national AI transition, such as jointly developing AI data centres and GPU farms to scale up Vietnam’s cloud and AI infrastructure.

KT and Viettel will also to co-develop AI products for Viettel’s B2C customer base and SME customers, including a national AI model, Vietnamese-language AI agents and solutions to combat voice phishing, the report said.

The AI transformation partnership deal also covers consulting, business development, establishment of a global AI transformation development centre in Hanoi to nurture local tech talent, and joint global business expansion, the report added.

KT’s partnership with Viettel comes a day after KT CEO Young Shub Kim met with Vietnam’s Deputy Prime Minister Nguyen Chi Dung to discuss the proposed details of the partnership.

According to a separate report from VNExpress, during the meeting with Kim, Dung named AI as a cornerstone for Vietnam’s plan to leverage science, technology, innovation, and digital transformation to restructure its economy and driving growth.

Viettel launched its first AI-ready data centre in Hanoi in April 2024. Last month in Ho Chi Minh City, Viettel broke ground on its biggest AI data centre to date, designed with an IT load capacity of 140MW to handle AI and other hyperscale workloads.



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