Alibaba Cloud doubles data centre capacity in Hong Kong to meet enterprise demand

PUBLISHED : Monday, 13 February, 2017, 3:40pm
UPDATED : Monday, 13 February, 2017, 11:06pm

Alibaba Cloud, the cloud computing arm of e-commerce giant Alibaba Group, said on Monday that it has doubled both the data storage and processing capacity of its data centre in Hong Kong to meet the rising demand for secure and scalable computing services in Asia-Pacific, as the city aims to position itself as a regional cloud computing hub.

The expanded data centre will meet demand for disaster recovery and offer greater access to data storage and analytics, as well as cloud security services.

“More companies have come to realise the importance of changing their traditional IT mindset to embrace the new data technology. We are confident that the expanded data centre facility, together with our scalable and secure cloud offering, will better meet the needs of the digital transformation in key local sectors such as hospitality and financial services,” said Ethan Yu, vice president of Alibaba Group and general manager of Alibaba Cloud Global.

More companies have come to realise the importance of changing their traditional IT mindset to embrace the new data technology
Ethan Yu, general manager of Alibaba Cloud Global

A data centre is a secure, temperature-controlled facility built and equipped to house large capacity server computers and enterprise data storage systems, with multiple power sources and high-bandwidth connections to the internet.

“Hong Kong plays a key role for Alibaba Cloud’s globalisation. We are the only cloud [provider] who has more than one availability zone in Hong Kong, which meets customers’ demand for disaster recovery and scalability,” said an Alibaba Cloud spokesperson.

Alibaba owns the South China Morning Post.

Data centres are largely used to host cloud computing operations. Cloud services enable companies to buy, lease or sell software and other digital resources online, similar to electricity from a power grid.

Alibaba Cloud’s data centre expansion comes as Hong Kong seeks to beef up its cloud computing industry. Other data centre operators, such as Chinese telecommunications firm China Unicom and Hong Kong’s PCCW, have opened data centres in the city.

PCCW pushes IT services expansion into eastern China

In December last year, Sunevision, the technology arm of developer Sun Hung Kai Properties, also said that it had plans to open its “Mega Plus” data centre in Tseung Kwan O this year. At 470,000 square feet, the Mega Plus complex is set to be the city’s largest data centre.

The Hong Kong government has also offered incentives and amended lease regulations so industrial buildings can be renovated into data centres, and has put aside two plots of land measuring about one hectare each for high-end data centre development in the city.

Aside from Hong Kong, Alibaba Cloud currently has data centres in Germany, Australia, Japan and the United Arab Emirates.