Kingsoft Cloud and CEC D-Commerce Tech Form Strategic Partnership to Drive Healthcare Cloud Development in China

Nachrichtenquelle: globenewswire
21.09.2020, 23:01  |  140   |   |   

BEIJING, Sept. 21, 2020 (GLOBE NEWSWIRE) -- Kingsoft Cloud Holdings Limited (“Kingsoft Cloud” or the “Company”) (NASDAQ: KC), a leading independent cloud service provider in China, today announced that the Company has recently entered into a multi-year strategic framework agreement (the “Agreement”) with CEC D-Commerce Technology (Shanghai) Co., Ltd. (“CEC D-Commerce Tech”), to invest in and expand healthcare cloud services, re-engineering the data services layer, and improving the analytical capabilities of healthcare organizations across China.

Pursuant to the Agreement, both companies will jointly develop cloud-based healthcare solutions, and provide healthcare organizations with powerful data analysis and application tools which can significantly reduce on-premise IT construction, operation and maintenance costs for hospitals and healthcare agencies across China. Both parties will execute cloud projects at the national, provincial and municipal levels. Flagship projects will first be implemented within a number of regions, and then be gradually expanded to provinces and cities across the country.

CEC D-Commerce Tech will capitalize on its extensive connections with the healthcare supply chain to generate qualified sales leads and commit resources to facilitate healthcare projects, while Kingsoft Cloud will leverage its existing public cloud technologies to further research and develop proprietary technology in healthcare solutions, advise best-fit cloud adoption patterns, achieve enhanced technical interoperability, and successfully execute and deliver projects.

Kingsoft Cloud’s strategic expansion into the healthcare industry is primarily due to the following reasons:

1) Demand for healthcare cloud-native services is still in its infancy and presents an enormous growth opportunity in China. An IDC report asserts that IT spending on cloud services for China’s healthcare industry is expected to reach RMB17 billion by 2023.

2) National policies are supportive of healthcare digitalization, providing guidance on timetable, technology standards, data requirements and accommodative budget allocations.

3) The rapid onset and impact of the COVID-19 pandemic has urged national and local governments to digitalize the healthcare industry. As a result, there has been sustainable demand for the establishment of standardized data centers, unified information standards and data services for the healthcare industry across China.

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