QingCloud betting on booming opportunities

QingCloud, which has been approved to list on the STAR Market, is betting on booming opportunities for cloud services in the Shanghai and Yangtze Delta regions.

Cloud technology offers basic resources such as computing, storage and networking for epidemic control and resumption of work and production. The cloud not only helps enterprises resist unpredictable risks, but also boosts their digital transformation, according to Jordan Li, product director of QingCloud.

QingCloud, which offers hybrid cloud services covering both private and public clouds, has seen business grow rapidly in recent months, Li added.

After its initial public offering, QingCloud is expected to be the first listed hybrid cloud service provider in China.

Cloud infrastructure services spending in China reached a record US$4.3 billion in the second quarter, growing 70 percent year on year. Fueled by COVID-19 response demand and government stimulus measures, China maintained its position as the world’s second-largest market globally.

With developed information infrastructure and demands for dealing with data, Shanghai and neighboring regions are speeding up the adoption of cloud services.

QingCloud has participated in the digital transformation and has core clients and business including China Taiping Insurance in Shanghai and transport management systems including highway tolling cloud services in Jiangsu Province, Li said.

On September 4, the Shanghai Stock Exchange approved QingCloud’s application to list on the STAR Market, a Nasdaq-like board to boost innovation.

According to IPO files, QingCloud’s revenue reached 377 million yuan (US$55.7 million) in 2019, 33.74 percent growth from the previous year.

The company’s business model as a hybrid cloud, rather than public cloud business only, will help it improve profitability, Li said.