Chinese Internet retail giant Alibaba recently announced it was planning to build a second U.S. data center. The facility will be for its cloud division, Aliyun, and will help customers with their cloud computing needs.
Aliyun is China's largest cloud service provider. The new facility is part of the company's global expansion plan, which also includes the construction of Singapore data centers, Japan data centers and Europe data centers.
The announcement came as the company issued a "Data Protection Pact" that guarantees its customers have absolute ownership of their data at all times, meaning Aliyun has no right to change it. This initiative is part of the company's overall goal of being more transparent about their privacy policies.
The company already has one U.S. facility, a Silicon Valley data center that opened in March 2015. The demand for data center space in the Santa Clara area is higher than the supply due to a lack of wholesale data center options in the area. With its cloud data center offerings, Aliyun is poised to gain business.
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