Up to now, Zhongke Shuguang has established 22 urban cloud computing centers nationwide, facilitating the exchange and sharing of over 30PB of data. The company's service system is capable of reaching 50,000 units, with more than 1,000 currently in active use. This impressive scale highlights the company’s growing influence in the smart city sector.
When it comes to big data, companies like BAT, Amazon, and others often come to mind first. These tech giants have successfully monetized their business data through integration, analysis, and development. However, Zhongke Shuguang, listed on the Shanghai Stock Exchange under the ticker 603019.SH, has been working in this space for eight years, focusing specifically on government data. Their strategy involves tapping into both vertical industry data and horizontal urban management data to uncover new opportunities.
Wuxi, recognized as China’s top smart city, serves as a strong example of this approach. In just five years, Wuxi has transformed into a model for smart urban development, demonstrating the potential of integrating government data with cloud infrastructure.
In 2009, Zhongke Shuguang introduced an innovative model where enterprises invest in building cloud computing centers, and the government purchases the services. By 2011, Wuxi was selected by the National Development and Reform Commission as one of the first five “cloud computing innovation service pilot cities.†It also received recognition from the Chinese Academy of Social Sciences and Guomai Internet as the leading smart city for three consecutive years.
At the heart of Wuxi’s Smart City Data initiative is government data. All operations, from municipal departments to social organizations and businesses, are aggregated into a massive dataset. These include nearly one billion operational and economic factors stored within Zhongke Shuguang’s cloud computing platform.
Thanks to Zhongke Shuguang’s information system, government departments can apply online for data needs, such as setting up civil affairs systems or requesting resources. After submission, the Wuxi Information Administration reviews and approves the request, then forwards it to the cloud computing center. This process, which once took at least one to two months, can now be completed in just 10 to 20 minutes.
According to Zhang Keping, Director of the Wuxi Information Technology and Radio Authority, "Once this data becomes truly useful, combined with our internet and industry data, we can gain more accurate insights over time."
The challenge of data integration in large cities is far more complex than in smaller ones. While smaller cities lack the capacity to collect and manage data effectively, medium-sized cities offer an ideal balance—both capable of collecting data and having enough scale to make it meaningful.
Zhongke Shuguang’s business model revolves around local governments building cloud computing centers, with the company charging service fees based on usage. Initial investments are relatively low—under 10 million yuan—and grow alongside the number of services, allowing for flexible expansion.
Zhang Lin, a cloud service manager at Zhongke Shuguang, recalls the difficult transition period: "We had to take over outdated government equipment until it reached its physical lifespan. Dealing with this convergence issue created many challenges."
Despite these hurdles, the effort has paid off. Nie Hua, President of Zhongke Shuguang Cloud Computing, said, "Our goal is to capture regional informationization opportunities, seize the commanding heights of the government big data industry, and build smart cities."
Wuxi’s smart city project is now officially being inspected. Some non-confidential data is already being merged. For instance, the floating population system of the Public Security Bureau now sends non-sensitive data to the big data center, enabling efficient registration, address verification, and residence permit applications.
Looking ahead, the next step is to develop more smart applications that enhance public services and improve urban governance.
While Zhongke Shuguang has achieved significant efficiency, questions remain about whether this model is sustainable and profitable. Urban data centers are typically localized, making it challenging to attract other local governments. However, the cloud model offers unique advantages, especially for small and medium-sized enterprises (SMEs), which can access affordable IT solutions through the cloud mall.
For example, an innovative company can develop apps, websites, or office software and leverage Zhongke Shuguang’s sales channels to reach a broader audience. With over 2,000 SMEs currently using the cloud mall, 70–80% of users are not based in Wuxi.
Nie Hua emphasized the importance of developing a scalable investment model. He said, "Business data requires mining gold from sand, but government big data is more structured. Once it breaks through, it will significantly change the business model."
Potential partners include IT regional agents, integrators, software developers, traditional enterprises undergoing transformation, and venture capitalists interested in urban cloud projects. The goal is to support these partners in becoming regional cloud computing and big data service providers, fostering a new wave of innovation.
Zhongke Shuguang’s city cloud investment model includes sole proprietorship, joint ventures, and other arrangements to form a three-tier technical support and operation team: local, headquarters, and external experts. Operation centers are independent legal entities, built according to the technical structure and service system.
There are two main models: holding and authorization. In the holding model, Zhongke Shuguang leads the investment, while in the authorization model, the franchisee takes the lead, with Zhongke Shuguang providing brand and intellectual property support.
Nie Hua admits that city cloud franchising is imminent. Two key reasons are time pressure and operational challenges. Within 3–5 years, big data presents a strategic opportunity for growth, and the company aims to expand its “100 Cities and 100 Lines†strategy during this window.
In his view, the true value of cloud computing lies not in construction, but in creating a platform for collaboration. "The best outcome is to focus on government data, people’s data, and industrial economy data to drive social governance, urban management, and economic competitiveness," he said.
Photovoltaic Bracket,supporting structure ground solar,ground solar mounting structure,solar mounting structure,solar ground mount
Hebei Shuobiao New Energy Technology Co., Ltd. , https://www.pvbracketsystem.com