A Break-Through Of Cloud-Computing On Chinese Market

As we all know China is experiencing a growth in number of SMEs on the mainland. Together with wider internet access, this will fuel the growth of the cloud-computing.

Cloud computing can be defined as the delivery of on-demand computing application as well as a storage of data via internet.

Analyst forecast that mainland SME cloud services will reach 16.7 billion Yuan this year, that Is 54% increase from 10.8 billion Yuan in 2012. According to research released last week by Parallels, a hosting and cloud services enablement provider, it could increase to 33.6 billion Yuan. It is all driven by increasing demand from SME users for the communication, collaboration and business applications delivered by cloud computing market.

According to Hong Bo, founder of mainland information technology website Donews, Cloud computing is a virtual host computer system that enables enterprises to buy, lease, sell or distribute software and other digital resources over the internet as on-demand service. It no longer depends on a server or a number of machines that physically exist, since it is a virtual system.

Parallel’s research found that two-thirds of SME’s prefer to buy application bundles, so service providers that can meet this demand will put themselves in a good competitive position. The potential of cloud in China is huge. Just 5% of Chinese SMEs now use hosted servers. It is a small share that is growing fast and rose by 31% last year.

Original Source: http://www.scmp.com/business/china-business/article/1370552/cloud-computing-takes-among-chinese-smes

By Sophie Yu