3 Hong Kong, the mobile communications division of Hutchison Telecommunications Hong Kong Holdings Limited, and Alibaba Group have announced a strategic cooperation covering an array of technology and services to develop an ecosystem that underpins Hong Kong’s new digital internet economy.
The agreement signed at Alibaba’s Hangzhou headquarters covers cloud computing, intelligent big data and Internet of Things as well as infrastructure and information security.
The rapidly-developing global IoT market is projectedto be worth USD$1.1 trillion in revenue by 2025, as market value shifts from connectivity to platforms, applications and services. 3 Hong Kong believes IoT is the economic driver of the future and is keen to develop a new economy ecosystem.
As a major telecoms operator, 3 Hong Kong commands a vast pool of integrated big data from a massive customer base and holds a wealth of know-how in reliable high-speed connectivity. All this, coupled with Alibaba’s new economy ecosystem, will help development of new applications to suit various industry scenarios and accelerate Hong Kong’s journey to becoming a smart city.
Alibaba’s economy ecosystem comprises the “One Cloud, Two Ends” operating system for central devices and “edge computing,” as well as the “Three Types of Partners” initiative comprising chip developers, other developers and industry partners; and the “Four Areas” project covering city, home, manufacturing and automobiles.
Cliff Woo, Executive Director and CEO of HTHKH, said: “3 Hong Kong’s strategic co-operation agreement with Alibaba – one of the top-three cloud service providers – enables us to create a new digital Internet economy ecosystem suitable for the Hong Kong market. It will also promote Hong Kong’s development as a smart city with massive-scale connectivity. Alibaba presides over formidable business power and experience in providing an advanced IoT platform, as well as world-class cloud infrastructure and state-of-art big data-processing technology. 3 Hong Kong, on the other hand, offers an extensive and highly-reliable network, along with an advanced mobile telecoms capability, extensive sales and marketing channels, and a vast pool of integrated big data generated by an enormous customer base.”
He added: “3 Hong Kong enjoys global advantages such as close ties with CK Hutchison Group’s 3 Group, and CK Hutchison’s core business interests, such as retail, property management, port operations, energy infrastructure and global network service provision. All this will serve strategic inter-regional co-operation between the two parties and help deliver innovative applications to meet customer demand worldwide.
“As Alibaba Group’s business and ecosystem continues to expand, we are developing our technology, capability, ecosystem empowerment and industry solutions with a view to opening them up to more business partners. We are exporting our cloud computing capability, as well as our prowess in IoT and artificial intelligence, with the aim of enabling enterprises to boost efficiency and innovate quickly and effectively,” said Alibaba Group Vice President Tianhua Zhong.
“We believe collaboration with 3 Hong Kong will combine technologies and resources as we both explore the potential in cooperating in new retail and finance initiatives, along with smart environment protection, general merchandise stores, smart buildings, smart supply chains, smart logistics and blockchain. We aim to use inclusive technology to assist development of Hong Kong’s enterprise community and society in general.”
Launch of IoT platform will lead to new business applications
Alibaba Cloud is one of the leading global cloud service providers and holds a wealth of knowledge and experience in IoT development. The company has completed development of four core IoT application groups to offer convenient connectivity, as well as super-computing power and mature artificial intelligence capabilities. 3 Hong Kong will introduce global applications from the IoT platform to meet local demand. These will address smart buildings, logistics and traffic and so on to enhance quality of life and quicken Hong Kong’s development as a smart city.
Alibaba’s unique ecosystem scale and cutting-edge technology, along with its world-renowned Link IoT platform and cutting-edge artificial intelligence technology, will enable the two partners to introduce more applications for use in today’s digital world, while creating a new ecosystem for a variety of industries. Enterprises large and small, as well as consumer customers, will not need to invest heavily in IT resources, but will still be able to benefit from development of cloud computing and big data. Meanwhile, business-to-business applications can be developed rapidly to achieve a win-win result.
3 Hong Kong will make use of Alibaba’s worldwide ecosystem to build IoT platforms for homes, cities and the manufacturing industry, at the same time support developers to build their own IoT applications. As an example, a 55% boost in IoT development efficiency is achieved in the Hongshan town of Wuxi city, thanks to creation of an IoT ecosystem. Management and operational efficiencies can be significantly improved, thereby giving rise to more business opportunities.