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Tencent Cloud remains in second place in China - report
Mon, 31st Oct 2022
FYI, this story is more than a year old

Tencent Cloud continues to rank in second place in China for its IaaS, PaaS and SaaS offerings, according to a new IDC report.

The cloud business of global technology company Tencent has seen a 46.7% year-on-year market share growth for its PaaS, as reflected in the IDC China Public Cloud Service Tracker, 2022H1 report.

The report notes that this is higher than the average market growth rate and that Tencent Cloud has comprehensive advantages in IaaS, PaaS and SaaS.

While migrating to the cloud is an important focus for enterprises amid the trend in integrating the digital economy and the real world, they also desire more in-depth cloud applications such as IaaS, PaaS, and SaaS services.

Specifically, PaaS and SaaS are already top priorities in digitising the real economy.

Tencent Cloud has focused on optimising its revenue structure over the past year, bringing down loss-making activities and making its business operations more efficient while maintaining a robust share growth in the overall IaaS, PaaS and SaaS markets.

Because of the increased revenue in PaaS and SaaS, Tencent Cloud now has a more reasonable revenue structure and is positioned for long-term, sustainable growth.

“Tencent Cloud needs to focus on platform products and provide reliable platform tools for the industry ecology through deep technical capabilities,” Dowson Tong, Senior Executive Vice President and CEO of the Cloud and Smart Industry Group of Tencent, said in an interview earlier this year.

“With stronger capability and a higher degree of configurability in our products, we can now better enable eco-partners to integrate and personalise their deployment.”

Further, Tencent Cloud has invested in the R&D of self-developed products, which has allowed it to build its leading technical strength in core areas, including self-developed servers.

For example, the cost performance of the StarLake server incubated in the process of self-developed cloud migration is 30% higher than the industry.

In addition, these self-developed hardware products polished by various Tencent businesses have fostered significant competitive advantages to the company’s PaaS and SaaS products, such as audio and video, database, big data, artificial intelligence, and video conferencing.

Tencent Cloud has been an industry leader with years of experience in the PaaS market. In particular, the company has been the top player when it comes to audio and video solution market share in China for four consecutive years.

The company explains that it is dedicated to continuously supporting different industries, including social, eCommerce, education, finance and medical.

Moreover, Tencent Cloud’s enterprise-level distributed database TDSQL has more than 500,000 clients in a range of verticals, including finance, public services, telecommunications, eCommerce and gaming.