Dell to invest $125 billion in China

Dell, the third largest PC maker in the world, announced its plans to invest $125 billion in China in the next five years. Depending on the country’s increasing technology market and fast-growing economy, Dell plans to expand its research and development centre for end-to-end solutions.

On Thursday, CEO, Michael Dell announced the new “In China, for China” 4.0 strategy through a press release via the Business Wire. He also mentioned Dell’s future development plans for the Chinese market, which is the company’s second largest market after the U.S. In 2015, Prime Minister Li Keqiang officially included “massive entrepreneurship and innovation by all” and “Internet+” in the Government Work Report as priorities for China’s future economic growth.

“Being an innovative and efficient technology company, Dell will embrace the principle of ‘In China, for China’ and closely integrate Dell China strategies with national policies in order to support Chinese technological innovation, economic development and industrial transformation,” said Dell in a press note.

Dell will also contribute approximately $175 billion to imports and exports, sustaining more than one million jobs. According to Reuters, in 2010, Dell announced that it plans to invest $250 billion on procurement and other investments over the next 10 years in China.

Entering the Chinese market, Dell Ventures aims to extend support to the entrepreneurship and innovation of Chinese enterprises through its investments. In the line with the national policies of China, Dell Ventures will focus on emerging start-up companies specifically in the field of storage, cloud computing, big data, next generation data center, mobility and security.

“We will take deeper root in the Chinese market, focusing on local innovation, research and development and procurement, to meet the demands of customers,” said Dr. Chenhong Huang, President of Dell Greater China.

The company will collaborate with the Chinese Academy of Sciences for setting up the “Artificial Intelligence and Advanced Computing Joint-Lab,” aimed to serve the country’s market. The lab will emphasise on research and applications of new computing architectures in the brain information processing and artificial intelligence.

The lab will also support innovation and development of brain science and intellect technology research, promoting Chinese innovation and breakthroughs at the forefront of science. Dell’s IT development including desktop, data center, hardware, software and cloud computing will be supported by the Dell Greater China R&D Center.

Dell specified that along with the United States, China’s rapidly developing information industry resulted in the growth of most vibrant enterprises. Dell also entered into a strategic partnership with Kingsoft Corporation to expand their cooperation in the fields of big data and cloud computing. The “Dell-Kingsoft Cloud” services will deal with the growing cloud solutions and services needs of the customers.

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