Vietnam tech unicorn VNG merges two core units into AI-focused GreenNode brand

Vietnamese tech unicorn VNG (UPCoM: VNZ) has merged its cloud computing arm VNG Cloud with AI infrastructure unit GreenNode into the AI-focused GreenNode brand, marking a key step in the company’s “AI-first” strategy.

Following the merger announced on Tuesday, GreenNode will position itself as one of the few platforms in Vietnam offering both conventional cloud services and high-performance AI cloud on a unified ecosystem.

The combined platform allows customers to train, fine-tune, and deploy AI models on the same infrastructure, reducing reliance on multiple vendors.

VNG CEO Kelly Wong said the move reflects a strategic shift within the group, as artificial intelligence and traditional cloud computing are no longer viewed as separate businesses but as parts of a single infrastructure stack.

“The goal is to strengthen our competitiveness and readiness to meet rising demand across Southeast Asia,” Wong said in a statement.

The company said the unified platform is designed to support low-latency AI applications while complying with local data residency requirements, enabling Vietnamese firms to expand regionally and offering multinational and foreign-invested companies an international-standard AI cloud option when operating in Vietnam.

Before the merger, VNG Cloud was among Vietnam’s leading domestic cloud providers, serving more than 1,000 enterprise customers across sectors including digital banking, insurance, securities, retail, and technology.

GreenNode, meanwhile, has been spearheading VNG’s AI infrastructure push, including a partnership with Nvidia to launch Southeast Asia’s first large-scale AI cloud infrastructure in Thailand in mid-2024.

VNG, Vietnam’s first technology unicorn, said the consolidation would provide a stronger base for regional expansion on growing demand for AI-driven cloud services.

According to its Q3 earnings statement, VNG posted a 30% year-on-year increase in operating profit to VND263 billion ($10 million) in the period, supported by cost controls and strong performance in its gaming and payment businesses. It earned VND2.89 trillion ($109.98 million) in net revenue, up 12% year-on-year, with international markets contributing 19%.