China cloud computing market in Q3 2021; top 4 have 80% market share

In Q3 2021, mainland China’s cloud infrastructure services spending increased by 43% year on year to US$7.2 billion, according to data from Canalys.Operational workload transfer and cloud-native application development continued to drive investment as part of organizations’ digital transformation goals. In mainland China, Alibaba Cloud maintained the market leader, with Huawei Cloud and Tencent Cloud vying for second and third place. Baidu AI Cloud came in fourth place. The top four local cloud service providers dominated the home market again this year, accounting for 80% of total spending. However, Microsoft Azure and Amazon Web Services have both stated their intentions to expand their presence in mainland China through existing partnerships with local companies, and ByteDance has announced its entry into the enterprise cloud computing market through its Volcano Engine brand, adding to the competition. As a result, the main Chinese cloud service providers are concentrating their efforts on expanding their foreign data centers, particularly in Southeast Asia. Visit here for AI Cloud market share. China Cloud Market Share China Cloud Market Share The top four cloud service providers in China were Alibaba Cloud, Huawei Cloud, Tencent Cloud, and Baidu AI Cloud, with a combined 80% market share by total expenditure. Annual CIW subscribers can check out China cloud infrastructure service quarterly spend here. Alibaba Cloud has a 38.3 percent market share in mainland China in Q3 2021. The Internet, financial services, and retail industries all contributed to the company’s 33.3 percent yearly revenue increase. With a 17.0 percent market share, Huawei Cloud was the second-largest vendor. It increased its revenue by 49.1% year over year, focusing on the development of new products and solutions, including enhanced compatibility with Huawei Mobile Services. With a 16.6% market share and 49.5 percent increase, Tencent was the third largest. It accelerated its growth by securing relationships with major e-commerce and financial customers. Baidu AI Cloud came in fourth place with an 8% market share, up 64.7 percent year over year, thanks to a rising client base in the Internet, media, financial services, energy, industrial, and government sectors. Baidu’s Smart Cloud industrial Internet initiative, which is being implemented in various cities across mainland China, has also been a success. Top 10 forecasts for China cloud computing market 2021-2024 Cloud infrastructure services growth in China continued to outpace the rest of the world, supported by the government’s strategic priority in cloud computing. Amazon AWS announced the expansion of its region in Ningxia, and a new availability zone to be available in Beijing later this year. Microsoft announced it will double Azure’s capacity in China with new data centers to be launched in 2022. China’s Public Cloud Services Market to Grow to 10.5% of global share by 2024 In 2020, the overall market size of global public cloud services (IAAs/PAAS/SaaS) reached US$312.42 billion, with a year-on-year growth of 24.1%, according to IDC. The overall market size of China’s public cloud services reached US$19.38 billion, with a year-on-year growth of 49.7%, with the highest growth rate in all regions of the world. IDC predicts that the global share of China’s public cloud service market will increase from 6.5% in 2020 to more than 10.5% by 2024. Check out market share of IaaS and PaaS markets in China here. CIW Subscribers (Annual) can download the chart here to see the comparison of the cloud platforms in China. Download China Internet Overview whitepaper here.

China cloud computing market in Q3 2021; top 4 have 80% market share

In Q3 2021, mainland China’s cloud infrastructure services spending increased by 43% year on year to US$7.2 billion, according to data from Canalys.

Operational workload transfer and cloud-native application development continued to drive investment as part of organizations’ digital transformation goals.

In mainland China, Alibaba Cloud maintained the market leader, with Huawei Cloud and Tencent Cloud vying for second and third place. Baidu AI Cloud came in fourth place. The top four local cloud service providers dominated the home market again this year, accounting for 80% of total spending.

However, Microsoft Azure and Amazon Web Services have both stated their intentions to expand their presence in mainland China through existing partnerships with local companies, and ByteDance has announced its entry into the enterprise cloud computing market through its Volcano Engine brand, adding to the competition.

As a result, the main Chinese cloud service providers are concentrating their efforts on expanding their foreign data centers, particularly in Southeast Asia.

Visit here for AI Cloud market share.

China Cloud Market Share

China Cloud Market Share

The top four cloud service providers in China were Alibaba Cloud, Huawei Cloud, Tencent Cloud, and Baidu AI Cloud, with a combined 80% market share by total expenditure. Annual CIW subscribers can check out China cloud infrastructure service quarterly spend here.

Alibaba Cloud has a 38.3 percent market share in mainland China in Q3 2021. The Internet, financial services, and retail industries all contributed to the company’s 33.3 percent yearly revenue increase.

With a 17.0 percent market share, Huawei Cloud was the second-largest vendor. It increased its revenue by 49.1% year over year, focusing on the development of new products and solutions, including enhanced compatibility with Huawei Mobile Services.

With a 16.6% market share and 49.5 percent increase, Tencent was the third largest. It accelerated its growth by securing relationships with major e-commerce and financial customers.

Baidu AI Cloud came in fourth place with an 8% market share, up 64.7 percent year over year, thanks to a rising client base in the Internet, media, financial services, energy, industrial, and government sectors. Baidu’s Smart Cloud industrial Internet initiative, which is being implemented in various cities across mainland China, has also been a success.

Top 10 forecasts for China cloud computing market 2021-2024

Cloud infrastructure services growth in China continued to outpace the rest of the world, supported by the government’s strategic priority in cloud computing.

Amazon AWS announced the expansion of its region in Ningxia, and a new availability zone to be available in Beijing later this year. Microsoft announced it will double Azure’s capacity in China with new data centers to be launched in 2022.

China’s Public Cloud Services Market to Grow to 10.5% of global share by 2024

In 2020, the overall market size of global public cloud services (IAAs/PAAS/SaaS) reached US$312.42 billion, with a year-on-year growth of 24.1%, according to IDC.

The overall market size of China’s public cloud services reached US$19.38 billion, with a year-on-year growth of 49.7%, with the highest growth rate in all regions of the world. IDC predicts that the global share of China’s public cloud service market will increase from 6.5% in 2020 to more than 10.5% by 2024.

Check out market share of IaaS and PaaS markets in China here.

CIW Subscribers (Annual) can download the chart here to see the comparison of the cloud platforms in China.

Download China Internet Overview whitepaper here.