FPT Corp., Vietnam's biggest listed telecommunications and software company, has a "commitment" to boost revenue up to 25-fold by 2020, the company's chief executive said.
The Hanoi-based company, which announced a tie-up with Microsoft Corp. Monday, aims to increase sales to $20 billion to $25 billion in 2020 from $1 billion last year, Nguyen Thanh Nam said in an interview. He declined to specify how the company would grow.
The comments came after FPT and Microsoft said they'd formed a partnership to work on cloud computing. The two companies will offer data and communications services, they said in a joint statement announced in Hanoi.
FPT is looking to increase sales as the Vietnamese government targets deriving 22 percent of gross domestic product from the technology industry by 2020. FPT will join companies including Microsoft and International Business Machines Corp. in increasing investment in cloud computing, which lets users access data and services offered on external servers.
"Cloud computing is the most important thing driving innovation," Microsoft Chief Executive Officer Steve Ballmer said in Hanoi Monday. Microsoft is "super-impressed" by FPT's technology, he said.
Microsoft is the only company that has the technology and products to offer cloud computing services to both consumers and corporate customers, Ballmer said. Companies such as IBM and Oracle can only offer cloud computing for companies, while Google has technologies for consumers and is lacking in the corporate market, he said.
FPT rose 4.2 percent to close at VND61,500 in Ho Chi Minh City trading, compared with the 0.5 percent gain on the benchmark VN Index.
The Vietnamese company that supplies to clients including Microsoft, Panasonic Corp. and Hitachi Ltd., last month said first-quarter profit rose 21 percent to VND384.4 billion ($20.2 million) as software sales to the US and Europe surged.