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Alibaba opens second US data centre as cloud expansion continues

Alibaba is opening a second Silicon Valley data centre as it looks to expand its cloud computing business.

The Chinese firm, best known for its portfolio of e-commerce services, launched its first data centre in Silicon Valley back in March as part of an ambitious $1 billion cloud investment drive.

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Customers can apply to access 13 different cloud services from the new AliCloud data centre from Monday, including Elastic Compute Service (ECS), Analytic Database Service (ADS) and Cloud Monitor System (CMS).

Explaining the decision to launch another data centre at the world famous tech hub, Ethan Sicheng Yu, vice president of AliCloud, said that it matched the company’s commitment to innovation.

"Our data centres are typically located in key innovation and commerce hubs around the world, where we expect growing demand for cost-efficient cloud computing and big data analytics services,” he said. “Our second U.S. data centre is situated in Silicon Valley which is the epicentre for technology innovation world-wide."

The new data centre is Alibaba’s ninth globally and the fourth that it has opened this year, following the launch of its previous US facility in March, as well as data centres in Singapore and China. The majority of the company’s other facilities are based in China, but there is expansion planned for Europe and the Middle East.

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Although not as well-known as the likes of Amazon Web Services, Alibaba hopes to use its domestic success as a springboard for international growth. Already the largest cloud services provider in China, the launch of US data centres will also help Chinese online businesses carry out their own international expansion.

Barclay Ballard
Barclay Ballard

Barclay has been writing about technology for a decade, starting out as a freelancer with IT Pro Portal covering everything from London’s start-up scene to comparisons of the best cloud storage services.  After that, he spent some time as the managing editor of an online outlet focusing on cloud computing, furthering his interest in virtualization, Big Data, and the Internet of Things.