The largest fundraising in the history of China’s cloud industry has been unveiled. Some years back, multi-billion level funding would have been a crazy thought in the first place, but now it is becoming a reality.
The leading broker in the sector QingCloud is making public the biggest funding in the business in history. The cloud platform announced today that they have obtained funds of about one hundred and fifty-eight U.S. Dollars. This is in addition to a two million dollars series in the year 2012, a 20 million dollars series A in 2013, and also 100 million Dollars.
The company confirmed with TechNode that it has IPO plans, but declined to offer more details. The firm is said to be clearing off their VIE structure to prepare for a local listing, this large round is coming from a group of investors, amongst which are China Merchants Securities International and China Merchants, Riverhead capital investment Management. Existing bankrollers of Lightspeed partners China cloud with Bluerun Ventures were involved.
The source of QingCloud’s is not traced to just an isolated case. It signifies the latest amongst a series of investment ventures in this economic sector, which has elevated a number of firms to the unicorn status recently.
Two firms in this field got a similar volume of support in June alone. Dt Dream and Cloud got 110 million Dollars. Another Alibaba supported cloud initiative Cloudcare got about 147 million dollars C round spearheaded by FOSUN group and Sequoia Capital China. Tencent supported UCloud completed a 141 million dollars series D round earlier today.
Among the companies that have secured multi-billIon level of RMB funding, Dt Dream is the only firm that revealed its Unicorn status with about 1 Billion dollars in value. This may reveal the value of other firms, which have gotten like sum or perhaps greater funding.
At the back of the huge investments is the profitability of the sector. Findings show that china’s cloud market increased about 41.7 percent to 41 billion Dollars projecting that this amount may get u to 83 billion dollars by the year 2019 with a yearly increment of about 20 percent.
The coming to the fore of a number of Unicorns over a quite short time frame is indicating a deeper change in the market. In accordance with second half era proposition put forward by Meituan-Dianping CEO Wang Xing, the cloud startup indicated that the cloud computing market of China is getting into a unique transition phase for a new era.
Although cloud computing systems only made use of noncore investments for financial clientele like banks, insurance, and security companies in the first part of the era, it will, however, get a wider usage in the new period.
Jointly created by IBM alumni Richard Huang, Lin Spencer, Gan Reno, the organisation launched the QingCloud platform in the month of July 2013. 24 data centres are now being run with 10 of them being run independently while 14 are being run by partnerships giving access to service for about 70.000 enterprises.
