Beijing Federation of Supply and Marketing Cooperatives Cooperates with ChinaCache for Data Center Field

On Jan 16, Beijing Federation of Supply and Marketing Cooperatives (BJ Co-ops) and ChinaCache International Holdings Ltd. ("ChinaCache") hold a strategic cooperation signing ceremony in the conference center of Beijing Tianzhu Free Trade Zone. It was decided by both companies to develop their strategic cooperation in data center filed, start from Beijing and Guiyang.

In 2010, ChinaCache started planning to build Shouming International Data Center in Beijing Tianzhu Free Trade Zone, which was officially started for construction in 2014 and expected to be completed in July 2015 with a total construction area of 80,000 square meters. Upon completion, this center can accommodate more than 7,500 cabinets, as China's most competitive high-level large-sized cloud data center, and will mainly offer large-scaled customers with customized data centers and provide subsequent professional operation and maintenance.

During the period when ChinaCache was building its Shouming Center, BJ Co-ops was also actively seeking new business growth points, and making development plans of big data industry, with determination to take data center infrastructure as the breakthrough point, which matches the development direction and positioning of ChinaCache. After more than one year’s investigation, communication and argumentation, ChinaCache and BJ Co-ops both agreed on the development trend of domestic data center industry. On this basis, both companies signed a strategic cooperation agreement. Under the framework of the strategic cooperation, they reached a specific agreement for data centers in Beijing and Guiyang, including that BJ Co-ops will customize a data center in ChinaCache’s Shouming International Data Center with RMB 960 million, BJ Co-ops will delegate ChinaCache to run its data center resources in Beijing, and both companies will jointly invest and build a large-scale high-grade data center in Guiyang.

Founded in 1998, ChinaCache has been one of the earliest domestic high tech companies offering Internet services, with 30,000 clients around the globe, owning over 4T bandwidth core networks and 25,000 servers deployed in 110 cities in the world. ChinaCache has always been offering Internet acceleration and content delivery service to government, enterprises and consumers, leading the industry in the past dozen years. In 2010, ChinaCache made its debut on NASDAQ market, and began working on cloud computing and big data market deployment. Given its own advantages accumulated in the early period and market trends, ChinaCache finalized the data center – the infrastructure for cloud computing and big data - as key point, which also becomes a new growth point for ChinaCache in the future development.

BJ Co-ops is an affiliated unit to Beijing Municipal SASAC, with a long history. In recent years, through elaborate arrangement, BJ Co-ops has been progressive and initiative, developing several business sectors such as financial investment and commercial real estate development. It is known that BJ Co-ops has stock asset of about 11,000 acres of land and 3.4 million square meters building area currently in Beijing; it also has more than 20 financial business licenses and a professional financial services group, with private equity fund management companies, petty loan companies, pawn companies, guarantee companies, land consolidation companies, trust companies, and consulting services under the group. In this way, the choice of BJ Co-ops to enter the data center sector will be backed up by its rich land resources and strong investment and financing ability.

Mr. Wang Song, Founder, Chairman and CEO of ChinaCache, mentioned in the signing ceremony that:” with this strategic cooperation, both companies will set up an all-around consortium from land acquisition, financing, construction and development, marketing sales, to long-term operation, committed to constructing domestic high-grade, large-scale data center infrastructure and offering high-end clients at home and abroad with infrastructure service of cloud computing and big data.

This time, the two companies are working together to enter the data center industry, achieving a win-win situation. For ChinaCache, the financial operations and commercial development business of BJ Co-ops can give strong support in terms of capital, land and development to the construction, development and operation of ChinaCache Shouming Cloud Data Center support. And for BJ Co-ops, entering into a new territory will encounter all sorts of issues, and the cooperation with ChinaCache will help it to develop in a healthy and rapid way in the data center field.