Telecommunications service provider Pacnet joins new cloud computing initiative in China

A Memorandum of Understanding (MOU) has been signed between telecommunications service provider Pacnet and the Chongqing municipal government to jointly develop an international cloud computing hub in Chongqing.

The MOU details plans to build leading edge data centres that will facilitate the development of an IT hub to support industry and economic development in the region.

Ten square kilometres of land has been designated in the Liangjiang New Area as a Cloud Computing Special Zone, with three square kilometres reserved for the development of start-of-the-art data centres.

The development will be completed in three phases, with the total investment for the first phase estimated at around US$150 million. Out of that figure, US$30 million will be used to build the data centre, as well as funding cloud computing-related software and equipment.

When the Definitive Agreement is signed, Pacnet will become the first foreign equity telecommunications service provider to be involved in a joint venture to operate at the Chongqing Cloud Computing Special Zone.

The data centre will house at least 1,500 racks to provide cloud computing services.

Pacnet will also be the strategic partner for the provisioning of international submarine cable capacity that will be connected through partners to the Chongqing Cloud Computing Special Zone.