FPT Unveils “All In” Strategic Direction in AI, Automotive and Semiconductors

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from Business Wire

Published on April 15, 2024 • 3 minutes reading time

FPT’s 2024 Annual General Meeting was held in Hanoi, Vietnam business wire

HANOI, Vietnam – FPT Corporation (FPT) announced its strategic direction for 2024-2026 at the 2024 Annual General Meeting, defining five focus areas: artificial intelligence (AI), automotive, semiconductor, digital transformation and green transformation.

According to FPT Chairman Dr. Truong Gia Binh, these five areas have shaped the course of modern history and will continue to be crucial in the decades to come. In Vietnam’s case, they have played a key role in cementing the country’s position as a global center for business and innovation.

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In this direction, AI remains at the heart of FPT’s development strategy, which aims to serve at least 50% of Vietnamese citizens and 300 million global citizens. The company is committed to expanding its AI ecosystem, continuing strategic partnerships with leading global names and integrating AI into all of its solutions and services. FPT’s generative AI and visual AI solutions are also tailored to specific industry needs.

In the automotive sector, FPT is investing in the development of intelligent solutions and offering comprehensive automotive services following the launch of FPT Automotive in 2023. FPT Automotive aims to transition from software outsourcing to engineering design for software-defined vehicles, targeting a 50% annual growth rate and $1 billion in revenue by 2030.

When it comes to the semiconductor industry, FPT has a dual goal: supplying chips to more global customers and improving workforce development. The FPT chairman highlighted the company’s ambition to make Vietnam a leader in semiconductors, reflecting its previous success in software exports. According to Dr. Truong Gia Binh will FPT “fully integrate Vietnam into the global semiconductor ecosystem.” “We will establish joint ventures for IC design and testing and work with local authorities to attract foreign investment in the semiconductor sector,” he added.

For the period 2024-2026, FPT also aims to accelerate digital transformation, promote green transformation with intelligent transformation initiatives, and further consolidate its position as a leading partner for global companies in these areas.

To accelerate these goals, mergers and acquisitions (M&A) will continue to be FPT’s strategic focus, particularly in supporting the automotive sector. “FPT wants to acquire companies that manufacture and design cars,” said Dr. Binh. Its M&A activities this year will focus on the US and expand to Japan, South Korea, Singapore and Europe. These are based on successful investments and M&A deals in 2023, particularly with NAC, Cardinal Peak, AOSIS, Landing AI and Intertec International.

In 2023, FPT exceeded its targets, recording a 19.6% increase in revenue and a 20.1% profit before tax compared to the previous year. The year 2023 was also a historic milestone for FPT: revenue from IT services for the global market exceeded $1 billion, generated by its subsidiary FPT Software. In 2024, FPT targets revenue growth of 17.5% and profit before tax of 18.2%.

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Pham Minh Tuan, FPT EVP and FPT Software CEO, said: “As of 2024, the company remains committed to significant investments and is focused on developing high-value technologies such as AI and data, as well as ventures in fast-growing sectors such as automotive, healthcare, banking, Insurance and energy. We are committed to raising our standards and exceeding expectations to become a world-class company.”

About FPT Corporation and FPT Software

FPT Corporation is a global technology company and a leader in advising, providing and delivering technology and telecommunications services and solutions. The company employs more than 48,000 people worldwide and generates total sales of $2.17 billion (2023).

FPT Software, a subsidiary of FPT Corporation, is a global technology and IT services provider headquartered in Vietnam, with revenues of $1 billion (2023) and over 30,000 employees in 30 countries.

The company addresses complex business opportunities and challenges with its world-class services in advanced analytics, AI, digital platforms, cloud, hyperautomation, IoT, low-code, etc. The company has worked with over 1,000 customers worldwide, including 91 Fortune Global 500 companies in aviation, automotive, banking, financial services and insurance, healthcare, logistics, manufacturing, utilities and more. For more information, visit https://fptsoftware.com/