Connect with us

Business

Alibaba will discontinue its data center operations in India and Australia.

Published

on

Alibaba
Credit: Michael Kan/IDGNS

(VOR News) – The Alibaba Cloud (or Aliyun) data facilities in Australia and India will soon be shutting down.

The business issued a statement on its website that read, “As part of Alibaba Cloud’s infrastructure strategy update, we have decided to cease operations at our data centers in Australia and India while enhancing our investment in Southeast Asia and Mexico after careful assessment.”

The two countries’ data centers, in Mumbai and Sydney, are expected to close in July and September, respectively. Data centers in Mumbai will be shut down by July 15th, and those in Australia will be shut down by September 30th.

The corporation had “issued multiple rounds of notifications and technical migration plans to affected customers” since December 2023, according to the notice.

Alibaba has also asked impacted customers to move their data to the Singapore area or another appropriate location as quickly as possible. Analysts believe that customers will not be charged for the move, even though Alibaba did not answer to an email asking for clarification on whether or not these migrations will be paid.

Also, I sent an email asking why the data centers in those two nations shut down, but nobody answered.

Concerns about growth and geopolitical tensions

Possible influences on the decision to shut down operations in both nations include geopolitical tensions and Alibaba’s struggles with the expansion of its cloud business in those two nations.

“Alibaba is closing its operations in these two countries due to the limited business opportunities in these markets,” expressed Rajiv Ranjan, associate research director at IDC.

According to Ranjan, there are a number of factors, including the level of market maturity, that contribute to the limited opportunities for business expansion in these countries.

When it comes to cloud computing, Australia is well-established and has major providers like AWS, Google, and Azure. According to Ranjan, Alibaba’s data center size betrays its restricted operations, and the company’s small client base and lack of operations make it difficult to build a respectable market position.

Contrary to the company’s tradition of building huge data centers, Ranjan explained that the data center in Australia is a colocation facility. This, he added, is also true in India, where the business has two small availability zones in Mumbai. While Google and Oracle are quickly increasing their footprint in the Indian public cloud industry, Azure and AWS remain dominant.

This creates problems for Alibaba, says Ranjan.

According to Jain, the use of Chinese brands is not well-received in both markets, but more so in India due to the stagnation of diplomatic relations between the two countries.

Mexico and Southeast Asia are on Alibaba’s expansion list.

Analysts agree that Mexico and Southeast Asia should be Alibaba Cloud’s primary investment targets.

A stronger brand presence in Southeast Asia has been achieved through Alibaba’s e-commerce operation. Their decision to focus on that sector is a direct result of that, Ranjan noted. To elaborate, Ranjan said that the data localization policy was the impetus for Alibaba to build a second availability zone in India’s data centers in 2022.

The goal of the firm, as Ranjan explained, was to get the most clients possible by using the investment.

In addition to their main client, Paytm, they have clients including Oppo, Vivo, DLF, and Reliance Entertainment in India. But according to Ranjan, their plans for expansion were thwarted since hyperscalers existed.

Alibaba’s public cloud products were on sale for up to 59% off in April. It was seen by analysts as a move to lessen the impact of competition from bigger hyperscalers in nations including the US, UK, UAE, SK, IL, SG, MM, PH, and TT.

The growth of Azure and AWS is expected. Businesses leaving Alibaba Cloud will face higher costs associated with switching to a new cloud provider, says Charlie Dai, a principal analyst at Forrester.

Despite this, analysts said that customers may choose other cloud service providers since they are uncomfortable sending their data abroad. Most of the customers that are going to leave Alibaba Cloud will probably go to Azure or AWS. Ranjan claims that AWS might gain from its Infrastructure as a Service (IaaS) status because it controls 60% of the Indian IaaS market.

Some budget-conscious customers may be interested in Alibaba Cloud because its costs are more in line with those of Google and Oracle, according to the analyst.

Azure and AWS could seem pricey to certain customers. But Azure has raised prices for the first six months of 2024,” Ranjan went on to say.

SEE ALSO:

Under Pressure On Plane Safety, Boeing Is Buying Stressed Supplier Spirit For $4.7 Billion

Canada’s WestJet Cancels 235 Flights After Sudden Mechanics Strike

Salman Ahmad is a seasoned freelance writer who contributes insightful articles to VORNews. With years of experience in journalism, he possesses a knack for crafting compelling narratives that resonate with readers. Salman's writing style strikes a balance between depth and accessibility, allowing him to tackle complex topics while maintaining clarity.

Continue Reading

Business

Sonic the Hedgehog Dominates Christmas Wish Lists

Published

on

Sonic the Hedgehog
Sonic the Hedgehog Merchandise are hot Christmas Items

Sonic the Hedgehog is dominating Christmas wish lists this year. The lovable blue hedgehog is back in the spotlight, from sonic the hedgehog toys and games to sonic the hedgehog coloring pages and movie hype.

Sonic-themed holiday merchandise is on fire, from quirky sweaters to action figures flying off shelves. Sonic the Hedgehog Christmas outfits for kids are selling out fast, making them a go-to gift option for festive fun.

Retailers have been quick to recognize Sonic’s holiday appeal. Special promotions and exclusive items, like the Sonic holiday t-shirts, are everywhere.

Everyone’s stocking up on Sonic merchandise, from big-box stores to boutique retailers.

Online shopping platforms are seeing a surge in searches for Sonic items. Whether it’s Sonic Christmas-themed tops or Sonic the Hedgehog coloring pages, Sonic the Hedgehog toys or Sonic and the Hedgehog 3, the demand is skyrocketing.

Retailers who tap into this trend are sure to see strong holiday sales.

Sonic has been around since the early 90s, but his popularity never wanes. With the release of Sonic 3, fans are more excited than ever.

sonic the hedgehog 4

Sonic the Hedgehog 4

Meanwhile, Paramount Pictures is preparing “Sonic the Hedgehog 4,” with the newest addition in the family-friendly genre set for a spring 2027 release.

The announcement comes as “Sonic 3” opens in theatres on Friday, estimated to gross $55 million to $60 million from 3,800 North American locations.

The sequel is shaping up to be a good holiday season blockbuster for Paramount, which explains the desire in future “Sonic” adventures. On the international front, the film will be released on Christmas Day in 52 markets.

On Rotten Tomatoes, critics gave “Sonic 3” an outstanding 87% fresh score.

The first two films grossed a total of $725.2 million at the global box office and generated over $180 million in global consumer expenditure through home entertainment rentals and digital purchases.

They also inspired a spinoff Paramount+ series, “Knuckles,” which premiered earlier this year.

Related News:

Man Creates Candy Cane Car to Spread Christmas Cheer

Continue Reading

Business

Amazon Strike Called By Teamsters Union 10,000 Walkout

Published

on

Amazon Strike Called By Teamsters Union
Teamsters members were demonstrating at "hundreds" of other Amazon locations.

An Amazon strike has hit facilities in the United States in an effort by the Teamsters union to pressure the corporation for a labour agreement during a peak shopping season.

The Teamsters union told the Associated Press that Amazon delivery drivers at seven facilities in the United States walked off the job on Thursday after the firm failed to discuss a labour contract.

According to the union, Amazon employees in Teamsters union jackets were protesting at “hundreds” of additional Amazon facilities, which the union billed as the “largest strike” in US history involving the company.

The corporation, which employs over 800,000 people in its US delivery network, stated that its services will be unaffected.

It was unclear how many people, including members of Germany’s United Services Union, participated in Thursday’s demonstration. The Teamsters union reported that thousands of Amazon employees were implicated in the United States.

Amazon Strike at 10 Locations

Overall, the group claims to represent “nearly 10,000” Amazon strikers, having signed up thousands of people at roughly ten locations across the country, many of whom have joined in recent months.

The organization has claimed recognition from Amazon going on strike, claiming the firm illegally neglected its obligation to bargain collectively over salary and working conditions.

The Teamsters is a long-standing US union with nearly one million members. It is well-known for securing lucrative contracts for its members at companies like delivery behemoth UPS.

Most of the Teamsters’ Amazon campaigns have concerned drivers working for third-party delivery companies that partner with the tech behemoth.

Amazon denies that it is liable as an employer in those circumstances, which is a point of legal contention. In at least one case, labour officials have taken a preliminary stance in favour of the union.

Stalled Contract Negotiations

Amazon employees at a major warehouse on Staten Island in New York have also chosen to join the Teamsters. Their warehouse is the only Amazon facility in the United States where labour officials have formally recognized a union win.

However, the Amazon strike is because contract negotiations have not progressed since the 2022 vote. It was not one of the areas scheduled to go on strike on Thursday.

Amazon, one of the largest employers in the United States, has long received criticism for its working conditions and has been the target of activists seeking to gain traction among its employees.

Related News:

Amazon Releases Nova, a Fresh Set of Multimodal AI Models.

Continue Reading

Business

Amazon Encounters Numerous Strikes As Unions Aim At The Holiday Shopping Surge.

Published

on

Amazon

(VOR News) – Thousands of Amazon employees at various sites across the country were scheduled to go on strike on Thursday in an effort by the Teamsters union to pressure the retail behemoth to acknowledge its unionised workers in the United States.

The walkout is expected to concentrate on seven Amazon locations across the country during the holiday purchasing surge and may be the most significant union action against Amazon in the nation’s history.

The business announced on Thursday morning that there had been no effect on operations. It also stated that it is “continuing to concentrate on fulfilling customers’ holiday orders.”

The International Brotherhood of Teamsters maintains that it represents more than 10,000 Amazon employees and contractors in aviation centres, warehouses, and delivery centres.

Amazon has refused to acknowledge the union for many years.

The retail giant, which employs approximately 1.5 million individuals, excludes contractors and part-timers. A strike has been initiated by delivery couriers and warehouse employees at seven distinct locations in order to exert pressure on the company to negotiate a collective bargaining agreement that would encompass modifications to compensation, amenities, and working conditions.

Picketing was intended for New York, Atlanta, Los Angeles, San Francisco, and Skokie, Illinois.

Also, the Teamsters assert that they are establishing picket lines at “hundreds” of additional warehouses and delivery centres by encouraging non-unionized workers to picket under U.S. labour law, which protects workers’ ability to take collective action to further their interests.

“Amazon workers are exercising their power,” Randy Korgan stated to NPR.

“They now realise there is a pathway to take on a corporate giant like this – and that they hold the power.” Amazon responds by accusing the Teamsters of fabricating information regarding the strikes, asserting that the participants are “entirely” outsiders rather than employees or subcontractors of the corporation.

Amazon spokesperson Kelly Nantel stated that “the reality is that they were unable to secure sufficient support from our employees and partners and have invited external parties to harass and intimidate our team.” For more than a year, the Teamsters have been intentionally misleading the public by claiming to represent “thousands of employees and drivers.” They do not.

The Teamsters did not provide a specific duration for the strike; however, they informed NPR that it would extend beyond one day. Workers would receive $1,000 per week in strike money, as per the union.

Teamsters President Sean O’Brien issued a statement in which he stated, “If your package is delayed during the holidays, you can attribute it to Amazon’s insatiable greed.” We established a firm deadline for Amazon to attend the meeting and treat our members equitably. They disregarded it.

The Teamsters granted until December 15 to convene with its unionised employees and develop a collective bargaining agreement.

Amazon has opposed all unionisation efforts in court, asserting that unions were not advantageous to its employees and emphasising the compensation and benefits that the organisation currently provides.

Amazon has been accused of discriminatory labour practices on numerous occasions, including the termination of labour organisers. Furthermore, it has disputed its official status as a contract employer.

Teamsters organize Amazon delivery couriers and other employees.

In June, Amazon established its first unionised warehouse in Staten Island, New York, two years after making history by voting to join the fledgling Amazon Labour Union, which is also affiliated with the Teamsters.

The union is one of the most influential in the United States and Canada, with 1.3 million members. On Thursday, the German United Services Union declared that Amazon employees in Germany would participate in a strike in conjunction with their American counterparts.

In the past, Amazon has experienced demonstrations in Germany and Spain that were related to the holiday season in order to advocate for improved wages and working conditions.

“The holiday season has arrived.” Delivery is anticipated. Patricia Campos-Medina, the executive director of Cornell University’s Worker Institute, asserts that “this is the moment in which workers have control over the supply chain.”

The Teamsters have reported that Amazon’s profits have increased both during and after the pandemic. The corporation is currently valued at over $2.3 trillion, with net income of $15 billion in the most recent quarter alone. It is the second-largest private employer in the United States, following Walmart.

SOURCE: NPR

SEE ALSO:

SoftBank Is Courting Trump With a Proposal To Invest $100 Billion in AI.

TVA News Montreal Becomes Most-Watched News Source in Quebec

 

Continue Reading

Trending