BizLIVE - An IT park project will be revived after years of standstill.
IT Firm Revives Stalled “Silicon Valley” Project in Da Nang
A perspective view of DITP. Photo:
The authority of Vietnam’s central coastal city of Da Nang has agreed to a plan to revive the Da Nang Information Technology Park (DITP) project which has come to a standstill for years due to the foreign investors’ lackluster interest.
Trung Nam JSC has received approval from the local government to acquire a 65% stake in Da Nang Information Technology Park Company, the owner of the project, from Rocky Lai & Associates-Danang and U.S. investors.
Trung Nam has paid off 60 billion dong ($2.64 million) in land rental and other debts to the state budget. It has also committed to pay $2.25 million in site clearance and removal of unexploded ordnance, reported Infonet, the mouthpiece of the Ministry of Information and Communications.
The $278-million DITP was originally invested by Rocky Lai & Associates-Danang and investors from the U.S., with Japan’s KDDI being the IT partner. It was designed to follow the model of the U.S. Silicon Valley and Hshinchu Science Park in Taiwan.
Bui Xuan Dinh, deputy general director of DITP, told Infonet that the company will put efforts and resources in the construction to make the park operational by end-2018.
According to the initial schedule, it would be carried out in two phases. The first phase has a cost of $82 million and was about to be implemented on an area of 131 hectares from 2013 to 2017. The second phase would cover 210ha at a cost of $196 million.
The IT Park was designed with six functional areas that are an IT production area, an area for research & development and incubator-consulting, an office area, an area for technical infrastructure, an area for product exhibition, and one for healthcare services, supermarkets, and a school.
It was expected to lure foreign scientists, engineers, as well as IT and hi-tech specialists to Da Nang, and encourage training at universities.