Baidu, the China internet search giant, has launched a cloud computing service in Singapore. The newly launched, Baidu cloud service, is expected to boost Baidu’s growth.
The rivals of Baidu, Alibaba Group Holding and Tencent Holding, have accessed the biggest information technology market in Southeast Asia, earlier. Alibaba, for instance, has set up its overseas cloud headquarters in Singapore in 2015. Therefore, currently, Baidu ranked fourth behind the market leader Alibaba, Tencent, and Amazon Web Service (AWS).
With its cloud service, Baidu will focus on supporting mainland Chinese companies expanding in the region. Besides, it will also realize its goal to be high-performing, secure and reliable cloud services.
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The company is offering a full stack of cloud services for a range of industries. That includes gaming, finance and internet services in Singapore.
The country is chosen since the country is going to spend $30 billion on enterprise technology in 2019 and 2020 to lead all economies in Southeast Asia.
Singapore Demand for Cloud
Singapore possesses huge demand for cloud computing service. The demand comes from its prime geographic location in Asia. Besides, Singapore’s role as one of the world’s largest international financial centers also increases demand.
Southeast Asia has become one of the vocal points for global investors, startups, and Chinese technology conglomerates. Thus, Baidu brings its cloud services into the country.
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Cloud Computing
Cloud computing enables companies to buy, sell, lease, or distribute resources over the internet as on-demand service. The resources range from software to other digital resources. Then, through a data center, the customers can manage the resources.
Cloud computing has become a growing business for Baidu, especially in mainland China. Experts estimate that it had an 8.8 percent market share in the first quarter.
Compares to Alibaba and Tencent, Baidu owns a smaller cloud services operation. However, Baidu has bet on its know-how in artificial intelligence. Thus, Baidu remains optimistic to gain a competitive edge in the race to develop advanced cloud services.
