Aliyun, the cloud computing arm of Alibaba Group, announced that it will set up a new cloud data center in Singapore, where the company will also base the headquarters for its overseas business. The center will launch next month.

The company notes that the center utilizes a $1 billion investment in cloud computing from Alibaba Group, which will lead to more businesses being able to take advantage of the company’s cloud services.

“Singapore is a natural destination to be our headquarters for overseas expansion. The city state is a natural springboard into the Asia Pacific region, not only for us, but for our target audience. We are seeing healthy demand for cloud-related data management services in Singapore because of the ease of doing business, comprehensive transport and telecommunications connections and robust intellectual property regime. The stable geo-political climate and abundance of highly skilled talent are advantages too,” said Sicheng (Ethan) Yu, Vice President of Aliyun.

The Singapore center will have direct connections to Aliyun’s data center network in Beijing, Hangzhou, Qingdao, Hong Kong, Shenzhen, and Silicon Valley.

“The cloud data center in Singapore is a key milestone in our strategy to help businesses of all sizes innovate and scale, wherever they are based, and however they choose to grow,” Yu said. “Aliyun offers a unique combination of services for success in the cloud, including high-volume cloud-based transaction support and quality assurance for cloud computing services.”

The company notes that in the June quarter, Aliyun’s revenue growth from cloud computing and Internet infrastructure increased 106% year-over-year.

Image via Aliyun