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December 21, 2017

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Xunlei eyes cloud computing service in US

CHINESE technology company Xunlei Ltd plans to launch a cloud computing service in the United States and Europe next year, aiming to compete in Amazon’s home market, Xunlei’s chief executive said yesterday.

Xunlei adds to a line of Chinese technology brands that are expanding into developed markets. Huawei, the No. 3 global smartphone brand, said this week it will lift its US presence by selling via American telecom carriers next year.

Xunlei launched its OneCloud service in August, which it says lowers costs for photo storage, video and other functions by having users contribute idle bandwidth and storage capacity.

“Hopefully we will start to do business in the United States market and European market in the first half of next year,” CEO Lei Chen said in a telephone interview.

Cloud computing is growing fast in China but access for foreign providers is limited by official curbs on data handling.

Apple Inc said in July it would open a data center in China to comply with requirements that information about Chinese citizens be stored in the country. In November, Amazon Inc sold the hardware for its cloud business in China to a local partner but said it retains ownership of the intellectual property behind it.

Shenzhen-based Xunlei plans to begin its foreign expansion in January or February in other markets closer to China, Chen said, without giving more details.



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