Xanh SM, a leader in Việt Nam’s electric ride-hailing sector, is revolutionising mobility with a fleet of zero-emission VinFast vehicles. Committed to sustainability, Xanh SM has achieved a reduction of over 100,000 tonnes of CO2 emissions in just 18 months since its debut and is set to expand its green transportation services globally. Nguyễn Văn Thanh, Global CEO of Xanh SM, shared with media about the company’s strategy of leveraging AWS cloud technology and strategic partnerships to scale up operations and promote sustainable, eco-friendly transportation.

 

What are the main challenges Xanh SM has encountered in expanding EV services across Việt Nam, and what strategies are in place to overcome these obstacles while promoting sustainability?

 

As a pioneer in the electric ride-hailing sector, Xanh SM faced many unprecedented challenges. One of our biggest challenges has been ensuring service quality while rapidly expanding the fleet size and operational scope to meet market demands. To address this, Xanh SM applied a synchronised strategy between vehicle quality and service quality. All vehicles used in operations are new VinFast electric cars and electric scooters, inspected weekly to ensure they meet stringent internal and external standards. Simultaneously, we always prioritise dedication as our guiding principle, closely monitoring the driver training process to deliver an optimal experience for customers.

 

Another challenge lies in the technology factor, as Xanh SM not only has to constantly improve app features but also develop many diverse services. As such, Xanh SM has turned to the cloud, specifically Amazon Web Services (AWS) Cloud, to scale up its operations quickly, securely and efficiently. By leveraging AWS Cloud, Xanh SM has been able to rapidly develop and deploy a cross-national ride-hailing platform, allowing our operating partners to handle increased demand with ease, while AWS’s robust security features ensured the safety of customer and partner data, establishing Xanh SM as a leader in the green mobility space.

 

How does Xanh SM incorporate environmental sustainability into its operations and product offerings to align with Việt Nam's carbon reduction and green transportation goals?

 

Established with the mission of driving green transformation, Xanh SM is committed to providing sustainable mobility solutions, aligning with the Government's goal of net zero emissions by 2050. All of Xanh SM's fleet comprises exclusively VinFast electric cars and scooters – vehicles that are zero-emission, noise-free, odour-free and environmentally friendly vehicles.

 

Xanh SM's building on AWS further amplifies our mission by leveraging advanced cloud technologies to optimise fleet management, improve service efficiency and enhance the overall user experience. AWS’s data analytics and scalable infrastructure enable Xanh SM to expand its services more effectively, ensuring that electric vehicles are available to a diverse range of users, from everyday commuters to transport companies. The AWS Cloud supports our goal of popularising electric mobility, making it a practical choice for all.

 

Moreover, Xanh SM is committed not only to emphasising the environmental benefits but also promoting environmental awareness in the community. By promoting zero-emission transportation and encouraging the adoption of eco-friendly practices, Xanh SM is contributing to a greener society and inspiring collaboration for a sustainable future.

 

 

Launched with a focus on green and sustainable development, within just 18 months of operations, Xanh SM has served tens of millions of customers, completing nearly 820 million kilometres of green, emission-free and noise-free travel. — Photo courtesy of the firm

 

What role do partnerships with local original equipment manufacturers (OEMs) play in Xanh SM’s sustainability efforts, and what benefits have emerged from these collaborations?

 

The collaboration between Xanh SM and VinFast is crucial in the effort to promote sustainable transportation. The exclusive use of VinFast electric vehicles ensures consistent vehicle quality while optimising operation and maintenance costs. This partnership not only supports Xanh SM in providing high-standard services but also positions both Vietnamese brands as leaders in the green transportation trend.

 

By adopting VinFast electric cars and scooters, Xanh SM aims to make EVs available to all, raising community awareness about the sustainable green vehicles both in Việt Nam and globally. According to a March 2024 report by independent firm Mordor Intelligence, within just seven months of operation, Xanh SM had captured nearly 20 per cent of the market share, becoming the second-largest platform in the industry. By mid-2024, its market share had surged to over 32 per cent, solidifying its leadership in service quality and garnering strong support from the community.

 

Can you provide specific examples or metrics that illustrate Xanh SM's impact on urban mobility in Vietnamese cities in line with sustainable development goals?

 

Launched with a focus on green and sustainable development, Xanh SM, within just 18 months of operations, has served tens of millions of customers, completing nearly 820 million kilometres of emission-free and noise-free travel, reducing over 100,000 tonnes of CO2 - equivalent to the photosynthesis capacity of more than 4.7 million trees annually.

 

Embracing sustainability through cloud adoption, AWS stands out as the environmentally responsible choice. By migrating to AWS, Xanh SM can achieve remarkable energy efficiency improvements, up to four times greater than on-premises solutions. When fully optimised, AWS can slash its associated carbon footprint by an impressive 99 per cent (Accenture, 2024). This highlights that selecting AWS is not only a technologically wise decision but also a strong commitment to environmental stewardship and sustainable business practices.

 

Drivers and partners joining the platform can instantly and securely access Xanh SM's technology and its millions of customers, who have embraced the habit of using electric vehicles and actively support the green transition.

 

In what ways does Xanh SM engage with local communities to ensure its mobility solutions are accessible, affordable and equitable for all demographics?

 

Xanh SM offers a diverse range of services tailored to various customer segments, including Xanh SM Taxi for everyday rides, Xanh SM Bike for electric scooters bookings and Xanh SM Express for deliveries. We also provide value-added options like inter-provincial transportation, hourly packages with Xanh Travel, fleet reservation and specialised services like Xanh Wedding, ensuring mobility solutions are accessible for all demographics.

 

To meet the fluctuating demands of peak and off-peak hours, Xanh SM relies on a robust, secure and scalable technological infrastructure. AWS delivers a cloud-based ecosystem that perfectly support these needs, empowering Xanh SM to rapidly scale its operations rapidly and saving costs. This powerful partnership has been pivotal in Xanh SM's rapid growth, helping the company achieve impressive milestones in just over a year since its launch.

 

Looking ahead, what are Xanh SM’s plans for expanding into new regions or international markets, and how does AWS’s cloud infrastructure support the efficiency of your electric vehicle fleet management?

 

AWS infrastructure has enabled Xanh SMto  efficiently manage and scale operations by optimising the operational management system, capable of processing big data from vehicles and applications. This systematisation ensures that, as Xanh SM has rapidly scaled over the past 18 months, it can maintain service quality and meet customer needs flexibly and efficiently.

 

Through our "Go Green Global" strategy, Xanh SM is expanding domestically while leveraging technological advantages to explore international markets. To date, Xanh SM has successfully launched in Laos and recently announced its service in Indonesia.

 

Amazon’s ambitious goal of achieving net-zero carbon emissions by 2040 – a decade ahead of the Paris Agreement's 2050 target – aligns perfectly with Xanh SM’s sustainability strategy.

 

AWS's excellence is further demonstrated by its industry-specific, global technical support teams, which have been instrumental in positioning AWS as the preferred cloud service provider to support Xanh SM's “Go Green Global” mission.