What are your thoughts on Vietnam’s Law on Data taking effect from July 1?

Most users in Vietnam today rely on foreign platforms, while local platforms remain limited in market share, except for a few like Zalo. This raises two main issues. First, the legal framework must ensure that cross-border platforms follow Vietnam’s regulations. Second, technologies for data control and anonymous monitoring must be strong enough to ensure that data is used properly.

Once the Law on Data takes effect on July 1, detailed guidance will be needed, including technical standards, model contracts, insurance mechanisms, and sandbox testing. To move quickly, these steps must be taken without delay to avoid uncertainty and delays in development.

While sandbox models allow for testing and adjustment, decisions involving personal data must be made with caution.

Data is a valuable asset, but using it effectively while protecting citizens’ rights and national interests remains a complex challenge. This will require close cooperation between regulators, businesses, and stakeholders.

What are the biggest challenges Vietnam could face in building a data exchange platform?

The biggest challenge is the outdated legal framework. Vietnam’s laws on cybersecurity and information safety were introduced years ago - the Law on Cybersecurity in 2018 and the Law on Information Security in 2015. Meanwhile, technologies like AI have advanced rapidly, making many regulations obsolete.

Creating a clear and enforceable legal system from the start is difficult. Vietnam must ensure its laws are both practical and aligned with international practices. Cross-border platforms operate globally, and if Vietnam’s regulations are too strict or incompatible these platforms may exit the market.

Technologically, Vietnam is ready. Some companies already have the tools to process data and train AI. With proper legal guidance, data exchanges could be operational soon.

Even developed countries are still figuring out how to regulate data markets. This is a shared challenge, but if Vietnam can act early, it could gain a competitive advantage.

Can data exchange platforms help create a fair playing field for small businesses?

Data is never enough, even for big companies. A telecom provider may have subscriber data but still lack what is needed for e-commerce or marketing.

While large firms will retain some advantages, data exchanges offer smaller businesses flexible access. Instead of buying entire datasets, they can request specific portions tailored to their needs. This lowers costs and lets them focus on real value without needing large-scale data infrastructure.

How will the establishment of a data exchange platform impact research and innovation in Vietnam?

As mentioned, both innovation and digital transformation rely heavily on data. Without data, even the most advanced technologies cannot reach their full potential.

A data exchange will provide essential resources that allow businesses and organizations to access and use data legally and transparently for research and technology development. Data is the fuel that powers innovation. Once operational, the exchange will create new opportunities in AI, big data analytics, automation, and other tech sectors.

Vietnam does not lack data for AI, but the challenge is fragmentation. Digitized data exists but is scattered across ministries, sectors, and cities and provinces, lacking integration. Enterprises also hold large amounts of data but often cannot fully utilize it - like owning a gold mine without the tools to extract it.

The Ministry of Public Security (MPS)’s move to establish the National Data Center is a key step to centralize fragmented data and support AI development.

The exchange will not store all data, but will serve as a hub that connects different data networks. When needed, organizations can query and connect to the appropriate sources, addressing current fragmentation issues.

However, domestic data only accounts for about 10 per cent of what is needed for AI. The rest relies on global knowledge. Fortunately, many global AI models, such as LLAMA and Deepseek, are becoming more open, and platforms like ChatGPT may follow.

AI and data are closely linked. Without data, there is no AI, and without AI, data cannot be fully leveraged. I often compare AI to an engine and data to its fuel - both are essential.

While AI cannot match humans in emotion, it far exceeds us in speed, efficiency, and continuous operation. That is why, despite past concerns about the risk of AI, no one has truly paused development. AI brings massive competitive advantages.

At this point, no country is saying “stop developing AI”, unless it someday becomes as dangerous as nuclear weapons, which would require strict global regulation. Vietnam must stay in the race. If we want to lead in AI, we cannot afford to fall behind.

How should a data exchange platform be structured to ensure both economic efficiency and the protection of stakeholder interests?

A public-private partnership (PPP) model is the most suitable approach. Relying solely on State funding could make the model inflexible and less driven. Involving the private sector would also help leverage capital, technology, and market expertise.

Under this structure, the government would take on the role of regulator, overseeing compliance and legal enforcement, while private enterprises would handle commercial operations, ensuring efficiency and growth motivation.

China’s model is a strong example. It has successfully implemented PPPs, notably with Huawei, a major tech firm that receives strategic government support while still operating under market principles. This type of model strikes a balance between State oversight and private-sector innovation, allowing for strong data control while still promoting a vibrant data trading market.

If data exchanges are launched in Vietnam, how large do you expect the market could become?

It is difficult to quantify the value of data. Since Vietnam’s data exchanges will be overseen by the MPS, the primary goal will not be profit but building a foundation for economic and technological development.

That means the government must invest, just as it has in transportation or telecom infrastructure. While it’s too early to predict the exact scale, I believe the market potential is enormous.

Although regulations are still lacking, data trading remains widespread. What issues arise from the absence of a formalized market?

Unofficial data trading is common, especially on the black market, and often linked to fraud. Some businesses try to stay within legal bounds by using loopholes in current laws, such as sharing data through affiliates. These exchanges are often framed as partnerships rather than direct sales to avoid violating current rules.

Until the Law on Data takes effect, most data transactions remain illegal or operate in grey areas. The new law will help standardize oversight and define the market. Vietnam is now pushing to complete its legal framework, recognizing data as a key digital asset, much like oil or electricity.

Without clear rules on data rights, pricing, and usage, it’s like building cars without a fuel system. A legal foundation is essential to support innovation and digital growth.

Can a formal data exchange fully address these problems?

The exchange alone won’t eliminate illegal trading. Some actors will continue to operate off the grid. That’s why strong legal enforcement is needed alongside the platform.

The exchange will bring transparency and help legalize data use, but success depends on two factors: technical performance (speed, flexibility, and transparency) and strong data security. Without robust protection, data owners may hesitate to join, and buyers may wait for stolen data to appear cheaper elsewhere.

If trust is lost, the market won’t grow. Vietnam is technically ready, but cybersecurity for an open data exchange is still new. Most current security teams focus on internal systems, not public-facing platforms. Attacks on crypto exchanges show that even valid transactions can be exploited.

As the MPS leads this effort, legal compliance will be ensured. Still, public-private coordination will be essential to both operate and protect the system.