China’s investment in cloud technologies may reach $370 billion in 2016, a new report said.
The report by BroadGroup, also said the cloud massive program will more than double the country’s data center capacity in the next three years.
The report said the Chinese government’s five-year plan has distinguished itself globally by investing significantly in creating new cloud platforms, software and applications supported by a programme of massive cloud data center deployment.
Beginning with the initial government plan for five cloud cities, the report details how this has now proliferated across at least 15 provinces with significantly funded projects.
The report identifies a total of 109 projects, most of which include the construction of new cloud data centers. The North of China forms the nexus of overall project investment, with province by province plans detailed in the report. The top five provinces represent more than 88% of the total investment.
The report documents profiles of key players including carrier neutral, internet data centers, and the three telecom giants, China Mobile, China Unicom and China Telecom.
Challenges to the data center sector are immense, the report said, adding that the success of the project will ultimately depend on business models and demand