Taiwan's Top 3 Telecom Companies Zero in on Market for Application Services based on Cloud Computing

Taipei, Feb. 9, 2010 (CENS)--In light of promising outlook of the market for application services based on the cloud computing technology, Taiwan's top three telecom service providers, namely Chunghwa Telecom Co., Taiwan Mobile Co., Ltd. and Far EasTone Telecommunications Co., Ltd., have actively taken actions to vie for the huge market pies.

Chunghwa Telecom, the largest telecom company in Taiwan, has decided to spend a total of NT$13 billion on building the largest IDC (Internet data center) in the Greater China in the next three years, and join hands with Microsoft in April to launch its first application services based on the cloud computing technology.

Not to lag behind Chunghwa Telecom, Taiwan Mobile and Far EasTone have been stepping up their business deployment in the emerging segment for cloud computing technology-based services.

For instance, Taiwan Mobile has cooperated with Fubon Financial Group on constructing an extensive cloud computing network for their respective subsidiaries. According to institutional investors, the construction will cost billions of NT dollars. Besides, Taiwan Mobile's subsidiary Taiwan Fixed Networks Corp. has been contacting Hon Hai Group and ITRI (Industrial Technology Research Institute) for formation of an alliance of cloud computing system developers, in an attempt to step up development of the industry.

In the meantime, Far EasTone has also been in talk with HP, IBM, Quanta Computer, Data Systems Consulting Co., Ltd. and related software developers on formation of a cooperative alliance, in which the telecom company will take charge of building a cloud computing platform and other members will supply needed software and hardware for operation of the platform. Noteworthy is that the alliance members will share profits generated from provision of cloud computing-based application services via the platform.