Viet Nam News
March 17, 2016 9:12 am
Customers line up at Apple store in Hong Kong in September 2015./AFP
HANOI - The world's leading mobile phone manufacturer Apple Inc. plans to invest up to US$1 billion to build an Asia-focused database center in Việt Nam, according to local media.
The new facility is scheduled to operate as a Research & Development (R&D) centre of the firm. This will be the first project Apple has ever initiated in Việt Nam.
The project is currently still in the planning stage. Apple is considering locations for the facility, possibly in Hà Nội, according to baodautu.vn.
The US technology giant hinted at its increasing interest in the Vietnamese market when it established its wholly-owned subsidiary, Apple Việt Nam LLC, in HCM City last October. The firm is headed by Gene Daniel Levoff, Apple Inc.’s vice president of corporate law and corporate governance, who is also in charge of Apple’s international operations.
Apple recently announced vacancies for both an iPhone distribution director and iOS retail director in Việt Nam, fanning hopes that the US multinational firm will soon open stores in the Southeast Asian country.
Apple products are distributed by its authorised sellers and mobile network operators, such as FPT Shop and MobiFone. About half of the existing Apple products currently in the country are carried into Việt Nam via hand luggage.
Last year, Apple Inc. spent more than $8 billion for R&D activities worldwide. This amount is equivalent to 3 per cent of Apple’s 2015 revenue.
Currently, Apple has R&D centers in the US, the UK, China, Taiwan and Israel. Apple is also building a new R & D center in Japan and is expected to open another in India in June.
Before Apple, many major global electronics manufacturers built their R&D centers in Việt Nam, including Samsung Electronics, Hewlett-Packard, Panasonic, and Nissan Techno.
At present, Samsung Electronics is Apple’s biggest rival in the mobile phone market. Samsung is in the final stages of building an R&D center in Hà Nội for $300 million. The new centre will replace Samsung’s existing R&D centre in the PVI Tower in Hà Nội.
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