Google in talks with Tencent, others for cloud services in China: BBG

A Google sign is seen during the China Digital Entertainment Expo and Conference in Shanghai

According to reports from Bloomberg, Google has been in talks with Tencent and two other cloud hosting companies since the beginning of this year.

A Google sign is seen during the China Digital Entertainment Expo and Conference (ChinaJoy) in Shanghai, China August 3, 2018.

However, trade tensions between China and the USA are hindering Google's cloud services launch plans in China.

A Google Cloud spokesman declined to comment.

Google, which quit China's search engine market in 2010, has been actively seeking ways to re-enter China, where many of its products are blocked by regulators.


The search engine giant is already developing a special search engine for China that would block information the country's government considers sensitive.

Rumors of Google's attempted return to China have been around for years, but things really started getting going within the past few days.

Partnerships clauses with these major companies are nearly complete.

China is the second-largest cloud market, but local companies dominate, making it hard for outsiders like Google, according to Synergy Research Group. A June report from Synergy ranked Google fourth in the Asian cloud market, behind Amazon, Alibaba and Microsoft. And most recently, it seems that the company wants to expand its influence in this market by bringing the G Suite service to China through its domestic partners and services that provide cloud storage inland.

Google has touted the security and AI strengths of its cloud division. While the feature is compatible with other cloud services, it's created to work most efficiently with Google's cloud.

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