Alibaba Group Holding’s cloud computing unit continued to lead the industry in the March quarter, with a commanding 33 per cent market share and a 15 per cent year-on-year revenue growth, Canalys data showed. Hangzhou-based Alibaba owns the South China Morning Post.
Second-ranked Huawei Technologies’ cloud business expanded its market share to 18 per cent, while posting an 18 per cent revenue increase in the same period.
Tencent Holdings’ cloud unit, meanwhile, held a 10 per cent share, but recorded limited revenue growth in the quarter owing to graphics processing unit (GPU) supply constraints and prioritised use of these AI chips for the firm’s internal operations.
These results reflect the robust domestic demand for cloud infrastructure amid a surge in AI-related activities this year, even as service providers contend with US export restrictions that limit China’s access to advanced chips used in data centres.
“Leading cloud providers are actively exploring pathways for AI adoption, unlocking capabilities and building ecosystems through model open-sourcing, while accelerating task execution and scenario delivery via AI agent platforms,” Canalys senior analyst Yi Zhang said in a report on Thursday.
