Huawei allots B700m for local public cloud services

Huawei allots B700m for local public cloud services

Huawei Technologies Thailand is investing 700 million baht to provide local public cloud services in Thailand, projecting a market value of 48 billion baht in 2021.

The move distinguishes Huawei from global cloud providers such as Alibaba, Microsoft, AWS, and Google, whose data centres are located outside Thailand.

"The economy in Thailand has been growing rapidly because of digital transformation and investment from Chinese firms in the country," said Zheng Yelai, president of cloud business at Huawei Technologies in China, a business unit that was established in 2017.

The cloud-based data centre is located at Amata Nakorn City in the Eastern Economic Corridor and the official launch of service is scheduled for the end of this month.

With a local data centre in Thailand, customers can access data with low latency and faster speeds compared with other international providers that have data centres in Hong Kong and Singapore.

The public cloud services in Thailand will serve the Southeast Asia market, excluding Singapore. Huawei aims to provide service to enterprises, government and mobile operators.

Having a cloud data centre located in the country will support data sovereignty, in line with regulations that banks and healthcare must store customer data domestically.

Cloud is important infrastructure for digital transformation as it is a foundation for big data analytics and supports Internet of Things.

By 2025, the majority of applications will be cloud-based and 85% of enterprise workloads will be on the cloud, said Huawei.

Next month, Huawei plans to introduce its first artificial intelligence solution on cloud service.

IDC projects that by 2021, enterprise spending in Thailand on cloud service, cloud-enabled hardware, software and services will reach 48 billion baht.

Morakot Kunlathamyothin, managing director of Internet Thailand Plc (INET), said the launch of Huawei's service will add more players to the market.

INET offers not only Infrastructure as a Service but also software as a service by offering Thai software in a subscription model, through collaboration with Dell Technologies, which provides Big Data as a Service.

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