Shanda investment reaches for the cloud
By Zhu Shenshen |
July 23, 2011, Saturday
|
Print Edition
Print Edition
SHANDA Entertainment will invest an additional 100 million yuan (US$15.51 million) this year on cloud computing services for start-up firms and research organizations, the Nasdaq-listed firm said yesterday in Shanghai.
It followed Alibaba Group's recent announcement that it will kick off cloud computing services online and for mobile phones.
Shanda, which has already invested 100 million yuan and established a team of 100 people on cloud computing, kicked off its services, including online-based storage, security, monitoring and digitized distribution services.
In the initial stage, Shanda will provide services for Chinese start-up firms, research organizations and multinationals, said Ji Xinhua, vice president of Shanda Online, which is a subsidiary of Shanda Entertainment.
"It's a strategic business for us, and we will continue to invest heavily in the project, even if it is not profitable at first," Ji said.
In the long term, Shanda will invest 400 million to 500 million yuan to build several data centers with at least one in Shanghai, Ji said.
"Cloud computing, though in its infancy stage in China, has great potential with huge market demand and government support," said Tang Quanrong, vice director of the Shanghai Promotion Center for the Software Industry.
Tang has also been entrusted with drafting a blueprint to develop the city's cloud computing industry.
It followed Alibaba Group's recent announcement that it will kick off cloud computing services online and for mobile phones.
Shanda, which has already invested 100 million yuan and established a team of 100 people on cloud computing, kicked off its services, including online-based storage, security, monitoring and digitized distribution services.
In the initial stage, Shanda will provide services for Chinese start-up firms, research organizations and multinationals, said Ji Xinhua, vice president of Shanda Online, which is a subsidiary of Shanda Entertainment.
"It's a strategic business for us, and we will continue to invest heavily in the project, even if it is not profitable at first," Ji said.
In the long term, Shanda will invest 400 million to 500 million yuan to build several data centers with at least one in Shanghai, Ji said.
"Cloud computing, though in its infancy stage in China, has great potential with huge market demand and government support," said Tang Quanrong, vice director of the Shanghai Promotion Center for the Software Industry.
Tang has also been entrusted with drafting a blueprint to develop the city's cloud computing industry.
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