Menu
Alibaba sets up second data center in the US in $1B cloud expansion

Alibaba sets up second data center in the US in $1B cloud expansion

The company also plans to expand in the Middle East, Asia and Europe

Continuing the expansion of its AliCloud cloud computing business, Alibaba Group is setting up a second data center in Silicon Valley.

The Chinese company said customers could apply from Monday for  services from the data center, which will span over 10 cloud services including Elastic Compute Service, offering scalable computing services, an Analytic Database Service that provides real-time, high-concurrency online analytical processing, and a Cloud Monitor System using an open platform for the real-time monitoring of sites and servers.

Alibaba did not respond to a request for more information on the new data center.

The company said earlier this year that it was investing US$1 billion in its cloud computing business.  It launched its first data center in Silicon Valley in March, confirming its ambitions to enter the U.S. market.

The new data center is designed to accommodate the cloud and big data requirements of customers in the U.S. West Coast for the next three to five years, the company said. Alibaba has been targeting Chinese enterprises in the U.S, but it eventually wants to also attract U.S. firms there.

The launch of a data center in Silicon Valley enables Internet companies in China to expand their businesses in North America, Simon Hu, president of Alibaba cloud computing, said in May. Beyond that, the strategy would be predicated on consumer demand, the executive said ahead of the launch of the second data center in California.

Although smaller than some of its peers like Amazon Web Services, the company is rated by analysts as the largest cloud services provider in China,  and has the opportunity to expand its business in Asia and other markets as some of its Chinese customers expand their operations outside China.

AliCloud's fast expansion also suggests that the e-commerce company aims to be more than just a bit player in the global cloud computing market.

The new data center in California is AliCloud’s ninth globally. Besides the first Silicon Valley data center launched in March, Alibaba also announced a data center in Singapore in August and another at Qiandao Lake, China in early September. AliCloud, which maintains data centers in Beijing, Hangzhou, Hong Kong, Shenzhen, and Shanghai in China, also plans more facilities in other locations in the Middle East, Asia and Europe. It did not specify when these expansions would happen.


Follow Us

Join the New Zealand Reseller News newsletter!

Error: Please check your email address.

Featured

Slideshows

Sizing up the NZ security spectrum - Where's the channel sweet spot?

Sizing up the NZ security spectrum - Where's the channel sweet spot?

From new extortion schemes, outside threats and rising cyber attacks, the art of securing the enterprise has seldom been so complex or challenging. With distance no longer a viable defence, Kiwi businesses are fighting to stay ahead of the security curve. In total, 28 per cent of local businesses faced a cyber attack last year, with the number in New Zealand set to rise in 2017. Yet amidst the sensationalism, media headlines and ongoing high profile breaches, confusion floods the channel, as partners seek strategic methods to combat rising sophistication from attackers. In sizing up the security spectrum, this Reseller News roundtable - in association with F5 Networks, Kaspersky Lab, Tech Data, Sophos and SonicWall - assessed where the channel sweet spot is within the New Zealand channel. Photos by Maria Stefina.

Sizing up the NZ security spectrum - Where's the channel sweet spot?
Kiwi channel comes together for another round of After Hours

Kiwi channel comes together for another round of After Hours

The channel came together for another round of After Hours, with a bumper crowd of distributors, vendors and partners descending on The Jefferson in Auckland. Photos by Maria Stefina.​

Kiwi channel comes together for another round of After Hours
Consegna comes to town with AWS cloud offerings launch in Auckland

Consegna comes to town with AWS cloud offerings launch in Auckland

Emerging start-up Consegna has officially launched its cloud offerings in the New Zealand market, through a kick-off event held at Seafarers Building in Auckland.​ Founded in June 2016, the Auckland-based business is backed by AWS and supported by a global team of cloud specialists, leveraging global managed services partnerships with Rackspace locally.

Consegna comes to town with AWS cloud offerings launch in Auckland
Show Comments