Local Chinese governments are moving services to the cloud, and Inspur Group is making gains in this area.

Inspur Group and the municipal government of Jinan just signed an agreement for the joint construction of an administrative cloud computing center, making it the first comprehensive service outsourcing e-government cloud platform in China.

Financial terms of the contract were not released.

Prior to this, the General Office of the State Council of China issued guidance about the government's purchase of services from outside organizations. The guidance encourages governments at all levels to buy services from these types of organizations.

Before the cooperation between the two parties, a few government application platforms have already been running in Jinan's cloud computing center.

Under the agreement signed by Inspur Group and municipal government of Jinan, the two parties will jointly build a unified Jinan government cloud computing center on the existing Long'ao building public information platform. Meanwhile, they will relocate all non-classified information systems to designated machine rooms and implement centralized hosting, operations and maintenance.

Inspur Group will be responsible for the hardware facilities and the basic supporting software to provide various services, including cloud servers, cloud disaster recovery, exclusive virtual machine services, and cloud hosting.

With the launch of this project, the first batch of 52 agencies will enter the government cloud center, covering over 1,000 servers and networks as well as more than 300 business applications.