Alibaba Cloud cracks 1M customers worldwide

Alibaba Cloud cracks 1M customers worldwide

Notches up new milestone in the quarter ending June

Alibaba Cloud has notched up a new milestone during the three months ending June, with the business surging past the one million paying customer mark.

The milestone represents an increase of 137,000 customers over the previous quarter, and contributed to 96 per cent year-on-year growth for the company’s cloud computing revenue, compared to the same quarter the year prior, to RMB2,431 million (US$359 million).

It should be noted, however, that the cloud business’s adjusted pre-tax earnings (EBITDA) in the quarter came in at a loss of RMB103 million (US$15 million), compared to a loss of RMB158 million in the same quarter of 2016.

It is likely that Alibaba’s continued re-investment in its cloud business has something to do with the earnings figures.

In late July 2015, the company revealed plans to pump US$1 billion into the Alibaba Cloud business in a bid to accelerate the global rollout of its cloud computing footprint.

Regardless, much of the revenue growth for the cloud computing business in the past quarter has been driven by customer growth and an improved revenue mix of higher valued-added services, which is reflected in ongoing increases in average revenue per user.

“Market expansion remains our top priority, and we will continue to invest to acquire customers by developing innovative solutions and deploying efficient and cost effective products and services,” the company said in a statement.

During the quarter, Alibaba Cloud launched several new offerings aimed lowering the barrier of migrating large-scale data to cloud services for traditional companies.  

Additionally, as of mid-August 2017, Alibaba Cloud claims 19 types of Elastic Computing Service offerings that can be applied to 173 application scenarios, such as artificial intelligence, healthcare, video streaming, finance, e-commerce and the Internet of Things (IoT).

Meanwhile, Alibaba Cloud continues to expand its global footprint and customer base. During the quarter, the company announced plans to build two new data centres in Malaysia and Indonesia, adding to its presence in over 14 countries and regions, including Australia.

The company’s Sydney data centre opened up in November last year, effectively launching the company's cloud services in the local market and, along with it, a tentative local channel approach.

“We recognise that only if we work with local partners here, we will see success,” Alibaba Group managing director of A/NZ, Maggie Zhou, said late last year.

Follow Us

Join the newsletter!


Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags CloudAlibaba Cloud



The making of an MSSP: a blueprint for growth in NZ

The making of an MSSP: a blueprint for growth in NZ

Partners are actively building out security practices and services to match, yet remain challenged by a lack of guidance in the market. This exclusive Reseller News Roundtable - in association with Sophos - assessed the making of an MSSP, outlining the blueprint for growth and how partners can differentiate in New Zealand.

The making of an MSSP: a blueprint for growth in NZ
Reseller News Platinum Club celebrates leading partners in 2018

Reseller News Platinum Club celebrates leading partners in 2018

The leading players of the New Zealand channel came together to celebrate a year of achievement at the inaugural Reseller News Platinum Club lunch in Auckland. Following the Reseller News Innovation Awards, Platinum Club provides a platform to showcase the top performing partners and start-ups of the past 12 months, with more than ​​50 organisations in the spotlight.​​​

Reseller News Platinum Club celebrates leading partners in 2018
Meet the top performing HP partners in NZ

Meet the top performing HP partners in NZ

HP has honoured its leading partners in New Zealand during 2018, following 12 months of growth through the local channel. Unveiled during the fourth running of the ceremony in Auckland, the awards recognise and celebrate excellence, growth, consistency and engagement of standout Kiwi partners.

Meet the top performing HP partners in NZ
Show Comments