Accepting risk in scientific research and technological development is among the groundbreaking policies recently approved by the National Assembly, aimed at accelerating innovation in Vietnam.

Embracing risk for scientific and technological breakthroughs

As Vietnam strives to build a robust ecosystem for science, technology, and innovation, numerous challenges have emerged due to outdated policies and regulatory hurdles.

Speaking at the 2024 year-end conference for the Ministry of Information and Communications, Tao Duc Thang, Chairman and CEO of Viettel, highlighted a major obstacle: assessing and valuing proprietary technologies when acquiring them. Since such technologies are often unique and exclusive, they are difficult to benchmark or compare.

Viettel, along with other businesses, has called for pilot policies and exemptions that would allow companies to experiment with new technologies and business models. Additionally, Vietnam needs special mechanisms to facilitate research, access, and acquisition of cutting-edge foreign technologies.

Venture investments inherently carry high risks and low success rates. However, when successful, they yield significant returns, covering initial costs and driving the development of new technologies and business models.

For Vietnam to achieve technological breakthroughs, local tech enterprises must collaborate with global industry leaders. However, these major corporations often seek policy incentives that, while unprecedented in Vietnam, are common in other countries. For example, when Samsung established its semiconductor manufacturing facility in the U.S., it received over $6 billion in government subsidies.

Given this reality, Vietnam must adopt policies that encourage partnerships with top global technology firms. In doing so, the country may need to sacrifice certain short-term benefits to secure long-term advantages.

In a recent discussion on science and technology policy challenges, Associate Professor Nguyen Xuan Hoai, Director of the Vietnam Institute of Artificial Intelligence, pointed out infrastructure limitations when using open-source code for AI development.

“The cost of renting infrastructure is extremely high. Some state-funded AI research centers have been set up, but they cannot lease out their facilities or even afford electricity bills due to regulatory constraints,” he explained.

New policies to empower scientists

To address these issues and "unshackle" Vietnamese scientists, the National Assembly recently approved a resolution introducing special pilot policies for science, technology, innovation, and digital transformation.

One of the most significant provisions is the acceptance of risk in scientific research. Under the resolution, researchers and institutions will be exempt from civil liability if their projects - despite following all legal and procedural requirements - fail to yield the expected results. Institutions conducting state-funded scientific research will not be required to repay used funds if their projects do not succeed.

Additionally, public scientific and technological organizations will be granted greater autonomy. They will have full control over financial resources, recruitment, and organizational structures. These institutions can adopt business-oriented management models, engage in joint ventures, commercialize research findings, and even establish or invest in enterprises to bring their innovations to market. Researchers working in these organizations will also be allowed to hold managerial positions in spin-off companies.

Institutionalizing Resolution 57

According to the government's report to the National Assembly, Resolution 57-NQ/TW, issued by the Politburo, served as the foundation for these pilot policies.

The new resolution aims to institutionalize Resolution 57 and bring it into practice, aligning Vietnam’s policies with global trends in scientific and technological innovation.

Deputy Minister of Science and Technology Bui The Duy emphasized that the Politburo has introduced groundbreaking directives to unlock the creative potential of Vietnam’s research community.

“Investing in science, technology, and innovation is a long-term strategy with inherent risks. But without risk, we cannot achieve groundbreaking results that generate high value,” Duy explained.

The resolution also allows for reviewing and updating policies to ensure that research institutions retain ownership of their findings, enabling further development and commercialization.

A transformative shift for Vietnam’s innovation ecosystem

Associate Professor Vu Van Tich, Director of the Academy of Science, Technology, and Innovation, noted that Vietnam has long regarded science and technology as a national priority. Resolution 57 now provides the strongest institutional backing for this vision.

“This is a revolutionary shift in Vietnam’s science and technology policy. It cements the country’s commitment to an innovation-driven development model,” Tich stated.

He believes that quickly implementing Resolution 57 will help Vietnam transition into a high-income nation by 2045.

“We can learn from East Asian countries like South Korea, Japan, and China, where science and technology have been the backbone of economic growth. These nations have also tackled regulatory bottlenecks through high-tech applications and digital transformation,” he added.

Trong Dat