'Google in talks with Tencent, others for cloud services in China'

Waxing moon is seen over the logo of Google at its European Engineering Center in Zurich

The waxing moon is seen over the logo of Google at its European Engineering Center in Zurich Switzerland

What happened: Google is said to be in talks with companies including Tencent to offer its cloud-based products in China.

A Google sign is seen during the China Digital Entertainment Expo and Conference (ChinaJoy) in Shanghai, China August 3, 2018. However, there is some uncertainty as to whether the plans will go ahead amid trade tensions between the U.S. and China.

Google and Tencent did not immediately respond to requests for comment. As a result, Google is reportedly in talks with the conglomerate Tencent Holdings, Inspur Group (a server hardware company), and other companies.

The search engine giant is already developing a special search engine for China that would block information the country's government considers sensitive.

After years of slowly rebuilding a presence in China, Google has pressed the accelerator recently.

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This year, it started building a cloud data center region in Hong Kong and opened an artificial intelligence research center in Beijing.

Partnerships clauses with these major companies are nearly complete. "You can never say never, but that is an incredibly tough proposition", Synergy analyst John Dinsdale said.

Alphabet Inc (NASDAQ:GOOGL) is all-in on its Google Cloud Platform, which competes with Amazon's AWS and Microsoft's Azure, and global growth will no doubt be a big part of the growth story.

Last week we witnessed rumors that Google is planning to return to the Chinese billionaire market with a completely new integrated AI news app that has the ability to censor content itself for this country. This means that Google, which has no data centers in the country, must forge an alliance with local players to run its internet-based services, such as Drive and Docs. While the feature is compatible with other cloud services, it's created to work most efficiently with Google's cloud.

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