Alibaba Cloud revenue surges 59% $1.7 bn in June quarter

Alibaba said cloud computing revenue grew 59 percent to 12.345 billion yuan or $1.747 billion in the June 2020 quarter.
The growth in Alibaba’s Cloud Computing was primarily driven by increased revenue contribution from both its public cloud and hybrid cloud businesses, reflecting higher average revenue per customer.

Alibaba Cloud leads the Asia Pacific cloud computing market by developing technology and business solutions.

According to IDC (July 2020), Alibaba Cloud was the largest public cloud service provider in China, as measured by market share for IaaS (Infrastructure as a Service) as well as PaaS (Platform as a Service) for the quarter ended March 31, 2020.

Alibaba Cloud expanded and upgraded PaaS offerings, such as data analytics and database management.

Transaction Processing Performance Council has ranked AnalyticDB, the ultra-large-scale database from Alibaba Cloud, as the world’s fastest real-time data warehouse solution for the second straight year.

Alibaba said AnalyticDB allows businesses to perform real-time petabyte-level data analysis and has been widely adopted by businesses in different industries, including e-commerce, finance, logistics, public transportation and entertainment.

Total revenue of Alibaba was 153.751 billion yuan or $21.762 billion, an increase of 34 percent, in second quarter.

Sales from the commerce business alone jumped 34 percent to 133.32 billion yuan or $19.27 billion in the quarter ending in June.

“Our domestic core commerce business has fully recovered to pre-COVID-19 levels across the board, while cloud computing revenue grew 59 percent year-over-year,” Chief Financial Officer Maggie Wu said in a statement.

Alibaba is one of the big businesses seen as a potential target if US President Donald Trump makes further moves against Chinese companies, following restrictions on Chinese-owned video platform TikTok and Tencent’s WeChat.

“Today, we face uncertainties from not only the global pandemic but also increasing tensions between U.S. and China,” Chief Executive Officer Daniel Zhang said.

“We are closely monitoring the latest shift in U.S. government policies towards Chinese companies which is a very fluid situation.”

Related News

Latest News

Latest News