BEIJING, April 11, 2014 (GLOBE NEWSWIRE) -- ChinaCache International Holdings Ltd. ("ChinaCache" or the "Company") (Nasdaq:CCIH), the leading total solutions provider of Internet content and application delivery services in China, today announced that it has signed a framework agreement ("agreement") with People.cn (Shanghai:603000), a large-scale information interaction platform constructed by People's Daily, relating to ChinaCache Atecsys International Data Center ("Atecsys"), to address the cloud computing and cloud storage needs of People.cn's growing user base.
Atecsys is a cloud infrastructure strategically located in Beijing's tax free, custom bonded zone. The investment in Atecsys will enable People.cn to reduce long term spending on cloud infrastructure and to leverage ChinaCache's expertise on total network solutions to assist them in the long run.
"We believe our innovative business model can bring tremendous value to large enterprises looking to develop proprietary data centers to meet the rapidly growing demand for cloud computing in China," said Mr. Song Wang, Founder, Chairman and CEO of ChinaCache. "We are leveraging our strategically located land resources and expertise in managed internet data services to meet customer demand in cloud computing, while also generating new business opportunities for our company. We are very excited about this agreement with one of our long term customers, People.cn, and look forward to gaining further attention from other sizeable enterprises looking to cooperate on cloud infrastructure.""With the rapid growth in Internet availability and mobile Internet usage in China, People.cn has seen a surge in active users, Internet traffic and demand for data storage," said Liao Hong, President of People.cn Co Ltd. "Cloud computing, cloud storage and cloud technology have become increasingly necessary for us to keep pace with this growing demand. We believe our cooperation with ChinaCache for cloud infrastructure will effectively provide us with the security and flexibility necessary to scale up our business."