Tencent to build Chongqing cloud computing center

CHONGQING - Leading Internet company Tencent has signed a deal to build west China's first cloud computing center in Chongqing, local authorities said on Friday.

The new facility, to be located in the Liangjiang New Area industrial zone, will focus on businesses related to open platform, e-commerce and data processing, the Chongqing Economic and IT Commission said in a statement.

Under the deal, Tencent will establish a new company with a registered capital of no less than $30 million. The company will be responsible for the construction and operation of the cloud computing center and a research and development base.

Huang Qifan, mayor of Chongqing, said the deal is part of the city's plan to become a hub for cloud computing services.

Chongqing is seeking to build itself into a leading data processing center, with the number of servers expected to double to 300,000 in 2015, Huang said.