Price rises on the horizon for Chinese cloud firms after Google and AWS set new rates

South China Morning PostCenter-RightEN 1 min read 100% complete by Coco FengJanuary 28, 2026 at 11:00 AM

AI Summary

short article 1 min

Google and AWS have recently announced price increases for some of their cloud services, effective in May for Google and earlier in the month for AWS. Google's price hikes, affecting services like CDN Interconnect, will reach up to 100% in North America and 42% in Asia. AWS raised prices by approximately 15% for its EC2 Capacity Blocks for ML service. These increases are attributed to rising costs for hardware, energy, and growing demand for AI computing power. Analysts suggest these changes may signal a shift in the cloud service market, breaking the trend of consistently decreasing prices. Chinese cloud providers are now evaluating their own pricing strategies, considering the impact of hardware supply chains.

Key Entities & Roles

Key Player Opposition Context

Asia 30% North America 30% Everbright Securities 40% ByteDance 50% Volcano Engine 50% Liu Lihui ×260% IDC China 60% China ×270% Amazon Web Services (AWS) 80% Google 90%

Keywords

cloud services 100% price increases 90% google 70% aws 70% computing costs 60% ai computing power 50% chinese cloud providers 50% hardware supply chains 50% rising demand 40%