August 2018

Google hopes to return to China and is laying the foundation for a key part of this plan - to introduce its cloud business to the world's second largest economy. Sources said that Google is negotiating with Tencent, Inspur and other Chinese companies to provide cloud services in mainland China. Since the negotiations were private, the source was unwilling to disclose his identity.

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According to sources, this negotiation began at the beginning of 2018, and by late March, Google had narrowed the scope of partner candidates to only three.

The report said that Google is seeking to provide cloud services in the Chinese market at a time when the current Sino US trade tensions are escalating. It is not known whether this plan will be affected.

By cooperating with local partners in mainland China, Google intends to run its Internet based services through local data centers and servers of Chinese suppliers, just like other American cloud service companies enter the market in mainland China.

In most parts of the world, Google Cloud rents cloud computing power and storage space, and sells the smart office suite application G Suite running in its own data center. The Chinese government requires that the digital information of the services provided be stored in China. Google currently has no data center in mainland China, so the company needs to establish partnerships with local enterprises in mainland China.

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