In the case of foreign companies licensing the use of software to customers in Vietnam, do the parties have to register the technology transfer in Vietnam? If only the right to use the software is granted (no source code transfer, no detailed technical documents transfer), is it necessary to register the technology transfer?

Regarding this issue, the Ministry of Science and Technology responded as follows:

According to the provisions of Clause 1, Article 4 of the Law on Technology Transfer 2017:

"1. Technology transferred is one or more of the following objects:

a) Technical know-how, technological know-how;

b) Technological plans, processes; solutions, parameters, drawings, technical diagrams; formulas, computer software, data information;

c) Solutions for rationalizing production, technological innovation;

d) Machinery and equipment accompanying one of the objects specified in points a, b and c of this clause".

Accordingly, "computer software" must be accompanied by formulas, data,... to provide solutions or establish technological processes for production and services to be considered one of the technology objects.

Thus, in the case of purchasing a license to use computer software for use (without transferring the source code or detailed technical documents), it is not a technology transfer and does not require technology transfer registration.