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

Google will partner with Tencent to bring its services to the billionaire market

Google will partner with Tencent to bring its services to the billionaire market

Google plans to bring its cloud services to China.

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

The talks are said to have begun earlier this year with Google now having whittled potential candidates down to three companies at the end of March.

Tencent and Inspur are major Cloud service provider in China which can provide solid base to Google as it prepares to launch its Cloud services in the country.

Representatives from Google, Tencent, and Inspur either haven't or wouldn't respond to requests for comment, which isn't surprising. To be specific, there have been reports that Google is working on censored versions of its Search and News apps.

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

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Big partners like Tencent or Inspur in the Chinese market will most likely help Google accomplish these goals against the government's censorship.

Partnerships clauses with these major companies are nearly complete.

The move mirrored a similar set-up between Microsoft and its local partner 21Vianet Group Inc.

China is the second-largest cloud market, but local companies dominate, making it hard for outsiders like Google, according to Synergy Research Group.

Alphabet Inc (NASDAQ:GOOGL) is all-in on its Google Cloud Platform, which competes with Amazon's AWS and Microsoft's Azure, and worldwide growth will no doubt be a big part of the growth story. The agreement came with an understanding that the two companies would team up on developing future technologies.

Google is planning to enter China to offer its Cloud services in the country. Tensorflow, a coding library for AI applications created by Google, is growing in popularity with researchers and software developers in China.

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