Vietnam's military-run tech giant Viettel strikes big deals at international defence expo

Subsidiaries of Military Industry and Telecommunications Group (Viettel) signed a string of significant contracts with major global partners during the first two days of the Vietnam International Defence Expo 2024 in Hanoi.

On Friday, Viettel High Tech and UAE-based High Cloud Technologies (HCT) inked a contract worth over $1 million to provide 5G systems for the Middle East market.

This landmark deal marks the strategic collaboration between Viettel High Tech and High Cloud Technologies, a leading company in the Middle East that is pioneering the deployment of commercial 5G networks in the region.

HCT is a trusted partner of some of the world’s top telecom operators in the Middle East, including Etisalat, MTN, MCI, Du, and STC.

Under the contract, Viettel High Tech will provide 4G and 5G Non-Standalone base stations to HCT. In particular, it will supply core network infrastructure based on cloud platforms. To achieve this, the firm has mastered the entire technology stack, from the core network to the access network.

HCT will deploy telecom equipment and solutions developed by Viettel High Tech to fulfill commercial contracts and conduct 5G network trials with major telecom operators in the Middle East to demonstrate the product's effectiveness and reliability.

Viettel High Tech’s products have been highly praised for their quality and competitive prices compared to other suppliers, helping HCT expand its telecom coverage in the UAE and other parts of the Middle East, especially in suburban and rural areas.

Earlier on the opening day of Vietnam Defence Expo 2024, Thursday, Viettel Manufacturing Corporation (VMC) signed a strategic cooperation agreement with Advanced Business Events (ABE) from France and 3 Points Aviation from Canada to develop a supply chain for aerospace products.

With 30 years of experience in Europe, ABE has committed to helping Viettel connect with reputable aerospace partners to promote cooperation and distribute Viettel’s products in the U.S. and European markets, thus advancing the development of Vietnam's civil aviation industry.

With 3 Points Aviation, VMC will take on two contracts for the manufacturing and surface treatment of precise mechanical parts for civilian aviation in Canada.

The collaboration with ABE and 3 Points Aviation is a significant step for Viettel as it aims to represent Vietnam as a Tier 1 supplier (direct product supplier in the supply chain) for leading global corporations such as Airbus, Safran, and Boeing. This will also help expand Viettel’s business capabilities in major markets in Europe and North America.

Later the same day, VMC and Network Cable Co., Ltd (NWC) from South Korea inked a framework agreement and cooperation contract, committing to joint development in the field of optical fiber and telecom accessories.

Under the agreement, VMC will manufacture and supply between 60,000 and 100,000 kilometers of optical fiber annually, generating revenue of $4-7 million per year, for both defence and civilian applications, customized to meet customer needs in North America and Europe. The two sides also discussed the development of new products in the telecom accessory field to meet market demand.

Currently, VMC is Vietnam’s leading manufacturer of optical fiber, with an export market spanning across three continents: Asia, Europe, and America. Its revenue from optical fiber products and telecom accessories reaches approximately VND1 trillion ($39.3 million) per year.

The Vietnam International Defence Expo 2024 is held from December 19-22 at Gia Lam Airport in Hanoi, with the participation of over 40 international delegations. In its second year, the exhibition has attracted over 400 booths from 242 organizations and companies, doubling the number of exhibitors from the inaugural event.