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12/22/2024 02:05:19 pm

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Alibaba Lends Cloud Arm to Get Foreign Firms Into China

CeBIT 2015 Technology Trade Fair

(Photo : Getty Images) Alibaba Group Executive Chairman Jack Ma attends the 2015 CeBIT technology trade fair in Hanover, Germany.

Chinese e-commerce giant Alibaba is extending its cloud computing arm Alibaba Cloud to international firms to help them get into the Chinese market.

Alibaba Cloud, which claims to be China's biggest public cloud provider, introduced the so-called AliLaunch on Tuesday to serve as a gateway for international firms for joint ventures, wholesaling and "marketplace partnerships."

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AliLaunch will provide stores for brands such as Samsung, according to Fortune.

Aside from that, Alibaba also unveiled a program entitled "global technology partners marketplace" where international technology companies will be permitted to introduce their respective software products.

"The AliLaunch program and Global Technology Partners Marketplace serve as the perfect platforms for making different software products accessible to business and organizations in China," Sicheng Yu, Alibaba Cloud Global's general manager, said.

While many of the firms that partnered with Alibaba have software products, launching them in China can be a challenge. Thus, Alibaba, which already has established infrastructure such as data centers, will run these software products. Through this, customers browsing on Alibaba's cloud service will not only access Alibaba's products but also its partners.

"We just want Alibaba cloud to be the one-stop shopping place which provides the most comprehensive options to customers," Yu said. Alibaba caters to more than 2.3 million customers, including half a million paying customers, according to CNBC. Although its cloud unit's revenues are up 175 percent year-on-year in three months, it only accounts for merely four percent of Alibaba's total revenues; thus, the company is trying to expand and diversify.

Companies that have teamed up with Alibaba include German software corporation SAP and Hitachi Data Systems; navigation and mapping provider Here; and IT security provider Check Point.

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