Wednesday, 4 June 2008

NEC Solutions Merges with Vietnamese Software Company

NEC Solutions Vietnam has merged with Sang Tao Corporation, a leading software company in Vietnam, in what has been described as the first IT industrial merger between a Japanese affiliate and a local company in Vietnam

NEC Solutions Vietnam was jointly established in April 2006 by NEC Soft., Ltd.,based in Tokyo, and NEC Asia Pte. Ltd. based in Singapore (previously known as NEC Solutions Asia Pacific Pte. Ltd.) to expand software development and system integration business in Vietnam. Sang Tao Corporation, whose business ties with NEC Soft date back to 2004, before the establishment of NEC Solutions Vietnam, had proposed strengthening of the relationship through an alliance.

Known for diligence of its people and a national policy to foster IT engineers, Vietnam is regarded as a potential destination for conducting software development businesses.

Given that the country is enjoying rapid economic growth rate of around 8 % annually and the IT investment growth rate in Vietnam is second after India in Asia, the Vietnamese market is becoming increasingly promising.

However, there is intensifying competition as a result of increase in information service companies that have started operations in Vietnam. NEC Solutions Vietnam seeks to retain top-class talent through the merger with Sang Tao Corporation to establish sustainable dominance in the marketplace.