Under the deal, China Telecom will establish PoPs in Pacnet's Chongqing data centre, CQCS1.
The companies expect the move to enable cloud development in the region, pushing Chongqing to the forefront of the cloud computing industry in China.
“The collaboration enables us to combine our extensive network coverage in China with a tier three data centre service, delivered by a leading regional data centre provider in order to effectively serve the growing cloud communities in Chongqing as well as the rest of the country,” said Zhao Qiang, general manager of China Telecom Chongqing.
Data centre services demand is growing at an annual rate of 12% in Chongqing, and it is estimated that by 2017, the software and information services industry in Chongqing will reach $350 billion.
“A significant milestone for Pacnet’s business in China, our strategic partnership with China Telecom enables us to provide low latency and reliable services for customers with existing operations or expansion plans in southwest China,” said Carl Grivner, CEO of Pacnet.
Pacnet is the only foreign investment company licensed to provide data centre network services in the city.
Earlier this week, China Telecom’s Beijing subsidiary partnered with vendor Huawei to deploy SDN technology in its Beijing Internet Data Centre (IDC).
