China's Dedicated Cloud Services Market Grows 11.0% in 2024, Driven by AI and Industry Demand

In the second half of 2024, the market size of China's dedicated cloud services reached 216.8 billion yuan, marking an 11.0% year-on-year increase. The full-year market size for 2024 is projected to be 392 billion yuan. Within this, the dedicated hosting cloud service market grew steadily by 10.3%, reaching 210.5 billion yuan, while the dedicated cloud service market saw a significant 39.5% increase, surpassing 6.3 billion yuan. This indicates a structural upgrade trend in the market.

Dedicated cloud services are driving enterprise cloud architecture upgrades through full-cycle cost optimization. As the complexity of enterprise IT increases, traditional private clouds face bottlenecks in management, agility, and cost. Customers are accelerating the migration of core businesses to consolidated dedicated clouds, leveraging the "hosting + service" model to balance data sovereignty with agile innovation, achieving effective full-cycle cost optimization.

From an industry perspective, the in-depth development of industry cloud platforms continues to drive the growth of dedicated clouds. The demand from the public sector remains dominant, with continuous needs for digital platform construction, domestic replacement, and data infrastructure, stabilizing the market's foundation. Additionally, industries such as energy, healthcare, and transportation are rapidly adopting dedicated clouds to support high-value business scenarios like safe production monitoring, efficient operations, and intelligent responses, becoming important drivers of market growth.

AI is reshaping the capabilities of dedicated cloud services. Customers are increasingly demanding public cloud experiences and intelligent computing upgrades, a trend that is redefining the competitive landscape of the dedicated cloud market. On the demand side, the standardization of PaaS services is pushing dedicated cloud service providers to enhance their capabilities. On the supply side, the deployment of localized intelligent computing clusters is opening up new market opportunities, driving the transition of dedicated clouds from basic resource hosting to core infrastructure for the intelligent era.

The competitive landscape is intensifying, with the top five service providers increasing their market share compared to the previous year, collectively accounting for 65%. The market competition is characterized by resource and service penetration, deep operation of existing customers, and strategic positioning in intelligent computing. The dedicated cloud service market is being driven by structural growth through cost optimization, industry penetration, and AI intelligent upgrades. In a competitive environment where leading manufacturers are accelerating resource penetration and intelligent computing positioning, the market is poised for rapid growth, supported by core advantages such as data sovereignty assurance, security controllability, and hybrid multi-cloud architecture, along with deep adaptation to AI and edge computing scenarios.