Canalys released China's latest cloud computing infrastructure spending data today, and the data is generally on the rise. First, the market size of this market reached USD 2.9 billion in the quarter, a year-on-year increase of 60.8% and accounting for 10.4% of global cloud computing spending. This means that China is currently second only to the United States in terms of total expenditure.
Considering China's late entry into cloud computing, this data is amazing. But given the size of the potential market, this is not surprising. Once the market starts, there is no doubt that scale will help. However, according to Canalys data, it is surprising that China is 3 times closer to the country in terms of market size.
Most of the business goes to Chinese cloud computing companies. Like Amazon, Alibaba, which also has a retail business and cloud computing business, is in a clear leading position, with a market share of 45% (valued at $ 1.3 billion). Tencent ranked second with a market share of 18.6%. This was followed by 8.6% of Amazon AWS and 8.2% of Baidu. AWS is the only non-Chinese company to gain market share in China.
Canalys senior analyst Wong Yih Khai said that driven by the demand for artificial intelligence services, the market demand for cloud computing infrastructure services in China continued to grow rapidly.
"As demand continues to grow, cloud computing service providers must differentiate in a highly competitive environment. One of the key differentiating elements, especially among Chinese local cloud computing service providers, is the development of artificial intelligence capabilities , Whether as a service or embedded in their respective products. Artificial intelligence for face recognition has been deployed in many smart city solutions across the country and will become medical, retail, financial, transportation, and industry cloud computing A key component of the solution. "He said in a statement.
Interestingly, in China, this market share allocation is very similar to the global market. Globally, Amazon leads with 34%, with Microsoft and Google having approximately 15% and 8%, respectively.