The information technology sector is also constantly expanding, as the world is becoming more reliant and dependent on technology and its products and services. The recent platform that has certainly made a great impact in the sector is cloud-computing platform. Tech giants are competing against each other to build one of the biggest and most prominent cloud-computing platform, thus this is an ongoing ‘battlefield’ for the tech companies. Therefore, according to latest Alibaba news, the company is also planning a global expansion of its cloud-computing business, named as ‘Aliyun’.
Apart from the tech giants, including Microsoft, Google, and Facebook etc., Alibaba Group and Amazon, are two of the dominant forces of the cloud computing sector. Both companies are competing against each other in the market. For the first time in nine years, the latter unveiled the earnings of Amazon Web Services (AWS), where it claimed to have sales worth clocking in at more than $1.57 billion for the quarter. These numbers suggest that it is leading the competition against its peers and rivals. However, the global expansion of Amazon Web Services might slow down the growth of the business due to tough competition from Alibaba.
The American electronic commerce company aims to rule over the cloud-computing sector, as its technology demonstrates its approach to be almost seven years or more ahead of other tech giants, such as IBM or Oracle. There is no doubt that the company is a leader in the domestic market; however, it will have to make its name in the international market. The e-commerce retailer is already accountable for 28% of the worldwide market for cloud business with plans to expand further. The company recently expanded in Brazil, Singapore, and Ireland, and managed to sustain in the new regions. However, expansion plans for China might be a hurdle in its growth.
In contrast, the Chinese e-commerce giant currently dominates in China only. As reported by current Alibaba updates, Aliyun, cloud computing platform, is operating in the region since 2009 and has a huge customer database of more than 1.4 million customers. The company also seeks to expand its cloud-computing business throughout the world in order to offer Chinese businesses across the globe. This depicts the size of Alibaba’s cloud; whereas, Amazon claims to provide cloud services to more than a million across the globe.
It is a win-win situation for the Chinese giant in both situations, either Aliyun expands globally, or Amazon Web Services extends its parameters, because ambitious plans of Chinese cloud-computing platform will gradually affect America’s cloud business in the global market.
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