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Alibaba stakes cloud claim

7/29/2015

Hangzhou, China – A week after unveiling a cloud protection plan and releasing more than 60 new cloud products and solutions through its cloud computing subsidiary Aliyun, Alibaba is not standing still.



The Chinese Internet giant is firmly staking a claim in the cloud with the planned investment of an additional $1 billion to fuel further growth at Aliyun.



The additional funding will be used to expand Aliyun’s international presence, extend and support an alliance-based global cloud computing ecosystem, and for the development of new cloud and Big Data solutions that enable customers to increase productivity, lower costs and scale quickly as their businesses grow.



“Aliyun has become a world-class cloud computing service platform that is the market leader in China, bearing the fruits of our investment over the past six years,” said Daniel Zhang, CEO of Alibaba Group. “As the physical and digital are becoming increasingly integrated, Aliyun will serve as an essential engine in this new economy. We want to enable businesses to connect directly with consumers and drive productivity using data. Ultimately, our goal is to help businesses successfully transition from an era of information technology to data technology.”



Part of the investment will contribute to further international expansion for Aliyun as part of this globalization strategy. Aliyun currently provides public cloud computing services in five data centers in China and in Hong Kong, and earlier this year launched its first overseas data center in Silicon Valley. Another part of this new investment will be used to set up a global network of Aliyun cloud computing centers in the Middle East, Singapore, Japan and Europe.



The additional funding also underpins Aliyun’s vision of a comprehensive cloud ecosystem. One such initiative is the international Marketplace Alliance Program, which is designed to provide global users with one-stop cloud services and contribute to the worldwide development of cloud computing. The first group of alliance partners, which includes Intel, Singtel, Dubai-based Meraas, Equinix, PCCW, LinkByNet, and Hong Kong-based Towngas, covers North America, Asia, Europe, and the Middle East.



Hosted cloud computing is becoming an increasingly hot market. Amazon Web Services (AWS), which recently launched a major Indian initiative in Alibaba’s backyard, maintains a dominant position. Oracle has released a slew of more than 24 new additions to the Oracle Cloud Platform.



Also Google is entering a new partnership that will base the next generation of JDA Software Group of cloud-based omnichannel and supply chain solutions on the public Google Cloud Platform.


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