Alibaba expands its cloud business with new data centres in Asia, competes with Amazon
By MYBRANDBOOK
Alibaba plans to open its first data centers in South Korea and Thailand in 2022 as the Chinese technology giant looks to expand its cloud business further overseas.
The company launched a new server chip called Yitian 710 that will go into servers called Panjiu, designed to power artificial intelligence computing as well as for general purpose storage on Alibaba’s cloud.
The e-commerce giant, being the top cloud computing player in China, has previously focused on expanding its footprint internationally, particularly into other areas of Asia, including Singapore, the Philippines and Indonesia.
Cloud computing is seen as a key profit driver for Alibaba over the long term, though it accounts for around 8% of the company’s total revenue at the moment. E-commerce remains its core business.
Alibaba announced the plans recently at its Apsara Conference along with a number of other new cloud products, hoping the custom chips can help it stand out from its competitors in the cloud computing market. With this, Alibaba cloud expansion has focused in Asia to compete against Amazon and Microsoft.
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