Microsoft Expands Cloud Business in China


Microsoft Corp. (NASDAQ:MSFT)becomes the second biggest cloud services providers in China, behind Alibaba’s AliCloud, the South China Morning Post reports. According to the South China Morning Post, the software giant’s Azure cloud platform has 17.3 percent of market share in China, maintaining its second position behind Alibaba’s cloud business, which has a yearly growth rate of 130 percent. The thirdly ranked is Amazon Web Services, the biggest cloud provider in U.S.

In July, Microsoft named Alain Crozier as the new Chairman and chief executive of Microsoft Greater China. “Partnerships are front and center of our strategy to accelerate the growth of our cloud business in this market. The Microsoft of today is very different from the one [we had] five or 10 years ago.” Crozier told the South China Morning Post.

Since the new CEO Satya Nadella took over, Microsoft has been on the right track. Investors are optimistic on Mr. Nadella’s strategy of getting rid of phone business and focusing on Cloud business. The company now focuses more on its core business and cloud business. Microsoft shares hit all-time highs in November.

Many high-tech companies failed to enter Chinese market due to strict internet regulation. Crozier said collaboration with the government was very important. “Having a relationship with the Chinese government means that everything we do and everything that we will do, is in partnership with China,” Crozier said. “This partnership is really about making our solutions available to all Chinese customers.”

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