New partnership to create next-gen internet data center

China Unicom and China Telecom joined hands with the State Development and Investment Corp and private data service provider GDS Holdings Ltd on Wednesday to build the next generation internet data center.

The new partnership includes building big data centers and providing global users with basic big-data-related services including co-location, bandwidth renting, server renting and virtual hosting, as well as some value-added services such as data backup.

The latest move reveals the two telecom giants' desire to boost competitiveness in big data to compete with their main rival China Mobile. It also echoes the country's broader efforts to accelerate the implementation of big data strategy.

Efforts should be made to advance national big data strategy, improve digital infrastructure, promote the integration and sharing of digital resources, and safeguard data security, said President Xi Jinping during a collective study session of the CPC Central Committee's Political Bureau recently.

He called for building high-speed, mobile, ubiquitous and safe information infrastructure, integrating government and social data resources, and improving the collection of fundamental information and important information resources in key areas.

"The big data center, as the key infrastructure in the digital economy era, is playing an important role in supporting cloud computing, big data and the internet of things. The four companies can make good of each partner's strengths in financial capital, telecommunications, technology and management to explore a new path," said Wang Xiaochu, chairman of China Unicom.

The four heavyweights will also invest in and establish a group of key projects through merger and acquisition.