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People's Daily Online>>China Business

IBM looks for partner in cloud computing

By Zhu Shenshen (Shanghai Daily)

08:22, November 30, 2011

International Business Machines Corp is seeking a Chinese partner to launch public cloud computing services in the domestic market in a bid to improve its information technology services level, the Big Blue said yesterday.

The Chinese government restricts foreign firms from operating public cloud computing services in the country and they therefore have to partner a local firm to do the business in the country, industry insiders said. Public cloud computing allows users to share resources, software and data through computers and other devices on the Internet.

"We are looking for local partners to provide (public cloud computing services)," Ju Li, IBM China's Global Technology Service strategic initiatives director, said yesterday in Shanghai.

But she said there was no timetable for IBM to debut the service.

Cloud computing is one of the hottest trends in the IT service sector now. In 2010, the revenue in the Chinese cloud computing market hit 55.93 billion yuan (US$8.74 billion), and it may grow more than 50 percent annually from 2011 to 2015, according to Beijing-based research firm CCW Research.

Charles Fan, Ernst & Young's associate director of advisory services, said: "Many foreign firms are negotiating with the Chinese government to provide more cloud computing services. It has great market potential now."

At present, firms have provided so-called private cloud computing services for enterprise clients, which only allow them to use cloud services in their internal networks.

IBM has set up 13 cloud computing sectors globally.


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