ChinaNetCenter, one of the major content delivery network (CDN) and data center service providers in China, plans to create two companies, one for Malaysia and the other to sell green data centers at home in South China.
The green data center firm, provisionally named Shenzhen Green Cloud Technology Co. Ltd, will focus on offering new generation green data centre solutions and cloud services. It will be jointly funded by ChinaNetCenter and Minjian Chu, vice president and director of the company. Of its total 30m CNY registered capital, 21 million CNY will be funded by ChinaNetCenter, and the other 9m CNY by Mr Chu. The new firm will operates in South China.
ChinaNetCenter’s data center activity already includes a partnership with Amazon Web Services (AWS) in China. But the company also has ambitious to expand outside China.
Green and Malaysian ventures
Alongside this green venture in South China, ChinaNetCenter has now established a wholly-owned subsidiary in Malaysia for providing CDN and data center services to customers in Southeast Asia.
The new subsidiary, named as Wangsu Technology (M) Sdn. Bhd, is funded with MYR1m, which comes through Hong Kong ChinaNetCenter, a wholly owned subsidiary of the CDN and IDC service provider.
Hongtao Liu, vice president of ChinaNetCenter, said the establishment of Malaysian subsidiary represents another important move for the company, continuing its effort to expand in international markets, whch begaqn also saw a US subsidiary founded in 2012.
“By setting up such subsidiaries in various regions of the global market, we are able to understand demands and trends of overseas markets in greater depth with a faster speed, and provide better CDN acceleration services to both domestic and overseas customers who are expanding their business internationally,” he said.
Apart from overseas subsidiaries in the United States, ChinaNetCenter has deployed more than 30 CDN acceleration nodes in Washington, London, Paris, Milan, Stockholm, Mumbai, Singapore, Tokyo, Kuala Lumpur and Sydney throughout Asia, Europe and the Americas.
The company also entered into partnerships with a number of telecommunication operators in Hong Kong, Macao, Taiwan, Japan, South Korea, Southeast Asia and North America to help them improve bandwidth usage efficiency, and enhance cross-network user experience.
The company reported good financial results in 2014. In the first three quarters of the year, the company achieved an operating income of 1.368 bn CNY, an increase of 70.80% over the same period of the previous year.
ChinaNetCenter is not the only Chinese CDN with international ambitions. Earlier in January 2014 ChinaCache opened a London office to sell its services in EMEA.
For Chinese-language coverage of the market, visit Datacenter Dynamics China - where this article was first published.