On December 2, canalys, a market research organization, released the latest data report on China's cloud computing infrastructure spending. According to the report, in the third quarter of 2019, Tencent's cloud sales increased 91.6% year-on-year, with a market share of 18.6%, the fastest growth among the five cloud service providers.
According to the Q3 financial report released by Tencent on November 13, Tencent's single quarter revenue is 4.7 billion yuan, more than 50% of the total revenue in 2018. According to the financial report, the increase of Tencent cloud revenue is mainly due to the increased use of existing customers, as well as the expansion of customer base in education, finance, people's livelihood services and retail industry. As the fastest-growing cloud service provider, Tencent cloud's annual revenue in 2018 was 9.1 billion yuan. In the past four years, Tencent cloud's revenue scale has maintained three digit growth.
Behind the rapid growth of performance, Tencent cloud is speeding up the construction of self-developed technology system from the infrastructure layer to the application layer, with more diversified product structure. Meanwhile, with C2B as the starting point, Tencent cloud is actively expanding the development opportunities of industrial Internet. In the third quarter of 2019, Tencent cloud won many awards in government affairs, finance, culture and tourism, industry and other fields, and its ability of comprehensive solutions has been significantly improved.
For example, Tencent Cloud was awarded the operating contract of Shenzhen Luohu District Wisdom Education Cloud platform, the largest pure software project in the vertical field of education in China. Recently, Tencent Cloud released SaaS Ecology
Wong Yih Khai, senior analyst at canalys, said that driven by the demand for artificial intelligence services, the market demand for cloud computing infrastructure services in China continued to grow rapidly. According to canalys report, in the third quarter of 2019, China's total expenditure on cloud computing infrastructure (i.e. market size) increased by 60.8% to US $2.9 billion. In this quarter, China's cloud computing market accounted for 10.4% of the global total, becoming the second largest market after the United States.