Technology firms, including Amazon and Google, are adapting and upgrading their services to support Chinese firms’ global ambitions.
The digital technologies, including cloud computing, incubation resources and cross-border financial services, will benefit Chinese firms of all sizes, including SMEs and startups.
Over 60 percent of Chinese companies have a presence in more than three continents. According to a survey conducted by researchers Sino-Bridges and Amazon Web Services (AWS), more than 65 percent of small and medium-sized businesses want to expand internationally.
AWS, the world’s top cloud service provider, found that more Chinese companies in traditional industries are adopting digital technology to expand globally, compared to the first wave of companies, mostly in “digital industries” such as social apps, short video platforms and gaming firms , to eye the global market.
In 2021, the top cloud infrastructure vendors worldwide were Amazon with 47.4 percent market share, followed by Microsoft with 14.3 percent, Alibaba with 7.4 percent, Google 5.1 percent and IBM 3.1 percent, International Data Corp researcher reported.
Cloud plays an increasingly important role in covering security and compliance, as well as data-driven and artificial intelligence capabilities, according to AWS, which has Chinese clients like TCL, NetEase and Mobvista.
Last week, Google unveiled the Startups Accelerator, which offers overseas marketing, product research, cloud computing and open-source code for Chinese startups. They can apply for the three-month free program by June 19.
Chinese startups are facing huge uncertainties and some limitations in understanding the overseas markets. Google hopes to address those concerns, said Stanley Chen, Google China president, in an online conference.
Shanghai-based XTransfer, which offers cross-border financial and payment services for SMEs, is also helping with global payment networks.
The Shanghai SME Export Index, released by the China Council for the Promotion of International Trade and XTransfer, declined slightly between April 1 and 15 during a strict lockdown.
Shanghai’s SME traders have a decentralized and flexible supply chain, with upstream and downstream suppliers all over the country, which effectively improves their ability to resist risks, XTransfer said.