(Bloomberg) -- Nvidia Corp.’s Chief Executive Officer Jensen Huang sees Vietnam as a potential second home for the Silicon Valley company and it plans to open a legal entity in the Southeast Asian country, according to Vietnamese media.
Huang, speaking at a Hanoi semiconductor and artificial intelligence conference hosted by a Vietnam ministry Monday, said his company will open a design center, the news website VnExpress reported, without giving details about the facility’s technology.
Nvidia has already invested about $250 million in Vietnam, the government’s news website reported on Sunday, citing information from a meeting between Huang and Prime Minister Pham Minh Chinh.
Huang’s visit to Hanoi comes as the Vietnamese government looks for closer diplomatic and economic ties with the US and help in developing the nation’s semiconductor ecosystem.
Vietnam Sees Closer US Economic Ties Post-Diplomatic Upgrade
The US State Department in September announced a partnership with Vietnam under the Chips Act, which provides $500 million for incentives over five years and aims to ensure semiconductor supply chain security. US Semiconductor Industry Association President John Neuffer and representatives of American companies visited with PM Chinh earlier this month.
Nvidia is willing to work with Vietnam to improve the nation’s AI infrastructure and workforce, VietnamPlus reported, citing the CEO. Vietnam has many computer scientists and is a global leader in software exports, Huang said, according to VnExpress. It could create a million AI engineers, he said.
Intel Corp. operates a chip assembly and test manufacturing facility in Ho Chi Minh City. Arizona-based Amkor Technology Inc. is building a $1.6 billion factory in northern Bac Ninh province, while Synopsis Inc. and Marvell Technology Inc. are establishing semiconductor design centers in Vietnam. Some 50 chip design companies have set up operations in Vietnam in recent years.
©2023 Bloomberg L.P.