August 23, 2023

Hong Kong Allows Chinese Residents to Use Local Data Centers

The Hong Kong government has decided to allow mainland Chinese residents to use local data centers, despite Beijing’s censorship and strict rules regarding the transfer of data outside its borders. It is a move that many analysts say is intended to help the city compete with China’s massive internet economy, where companies such as Alibaba and Tencent have invested billions in big-data technology.

The announcement comes amid an ongoing debate in Hong Kong over data protection, as some lawmakers fear allowing mainland users access to the local system could lead to abuses. But others believe that it will give the region a crucial competitive advantage, as it will make it easier for companies to do business with Chinese customers and reduce security risks.

In a bid to attract more foreign investors, the Hong Kong government is also working to improve its cyber-security measures. It has hired a cybersecurity expert from a global consulting firm to ensure the city’s digital infrastructure is safe and secure. It also launched a program last month to help local firms protect themselves from hackers and other threats.

While the Hong Kong government is boosting its efforts to protect data, it still needs to work with other governments to create a global standard for data protection. This is important because of the large amount of data that is transferred between regions and countries, especially when it comes to financial transactions. Creating a common set of rules will enable data to flow freely within the region.

The chief of the city’s Information and Communications Department, James Sun, said “data was gold” in an interview with Hong Kong news site TVB. He also noted that the city’s 16 state key laboratories would be restructured to better answer the mainland’s need for chips, artificial intelligence and aerospace technology. Sun also mentioned that he had visited Guizhou, one of the country’s poorest provinces, which began cultivating a data industry in 2014 and is now home to a number of Apple suppliers.

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