Profile: 21Vianet Group Inc (VNET.O)
6 Dec 2013
21Vianet Group, Inc., incorporated on October 16, 2009, is a holding company. The Company is a carrier-neutral Internet data center services provider in the People’s Republic of China. The Company hosts its customers’ servers and networking equipment and provides interconnectivity to improve the performance, availability and security of their Internet infrastructure. The Company also provides managed network services to enable customers to deliver data across the Internet in a faster and more reliable manner through its data transmission network and its smart routing technology. It operates in 42 cities throughout China, including all of China’s Internet hubs with over 11,900 cabinets under management that house over 67,000 servers. Its hosting and related services include managed hosting service, which dedicate data center space to house its customers' servers; interconnectivity services, which allows customers to connect their servers with Internet backbones in the People’s Republic of China and other networks through its Border Gateway Protocol network; CDN Services, or content delivery network services; Cloud Infrastructure Services, also known as infrastructure as a service; and value-added services, which include firewall services, server load balancing, data backup and recovery, data center management, server management, and backup server services. In September 2012, it acquired Fastweb International Holdings.
The Company primarily generates revenues from providing hosting and related services and managed network services. The Company provides primarily generate revenues from providing hosting and related services and managed network services.
Hosting and Related Services
The Company’s hosting and related services include managed hosting services that dedicate data center space to house its customers’ servers and networking equipment and provide tailored server administration services; interconnectivity services that allow customers to connect their servers with Internet backbones in China and other networks through its Border Gateway Protocol (BGP) network, or its single-line, dual-line or multiple-line networks, and value-added services, including firewall services, server load balancing, data backup and recovery, data center management, server management, and backup server services. The Company’s data centers host the servers of its customers and meet their needs to deploy computing, network, storage and IT infrastructure. In addition, its customers benefit from its data centers’ range of physical security features, including sensitive smoke detection systems, fire suppression systems, secured access, around-the-clock video camera surveillance and security breach alarms.
The Company’s managed hosting services allow customers to lease partial or entire cabinet for their servers. Its customers have full control over their server(s) housed in its data centers. Depending on customer needs, the Company provides different levels of tailored server administration services, including operating system support and assistance with updates, server monitoring, server backup and restoration, server security evaluation, firewall services, and disaster recovery. Its customers’ servers are housed in its secure data centers providing redundant power sources and heating, ventilating and air conditioning systems.
The Company’s data centers host the servers of its customers and meet their customized needs to deploy computing, network, storage and information technology (IT) infrastructure. Customers have the option to either place their servers and equipment in standard cabinets dedicated for their private use, or in cabinets shared with other customers. They can customize their cabinet space for their servers, network connections and equipment. Customers can elect to buy the hardware that they place within their cabinets from their chosen vendors. In addition, customers can also lease power-based space, sometimes in a cage, where they can place their own cabinets in its data centers.
The Company’s interconnectivity services connect its data centers with China’s Internet backbones and other networks through Border Gateway Protocol (BGP) Network Services, Single-Line and Dual-Line Network Services and Multiple-Line Network Services. The Company provides network services that use BGP routing policies. BGP exchanges routing information for the Internet and is the protocol used between Internet service providers (ISPs), backing the core routing decisions on the Internet. Customers connect to ISPs, and ISPs use BGP to exchange customer and ISP routes, bypassing Internet hubs. Dual-line network provides Internet access and ensures business continuity. As a carrier neutral service provider, its data centers are connected to all carrier and non-carrier networks in China, namely, China Telecom, China Unicom, China Mobile, China Education Network, China Satcom, China Railcom (Tietong) and China Science and Technology Network. In addition to the Company’s interconnectivity services, it also provides customers with traffic charts and analysis, gateway monitoring for servers, domain name system setup, defense mechanism against distributed denial of service (DDOS) attacks, basic setting of switches and routers, and virus protections.
The Company provides value-added services, including firewall services, server load balancing, data backup and recovery, data center management, server management, and backup server services. Customers can lease its hardware firewalls, which can be configured according to their specific requirements. Hardware firewalls protect servers from outside attacks and other unlawful invasions. Its server load balancing services are designed to address this issue by providing load balancing facilities to share the increased traffic and therefore moderate the burden on main servers of its customers. It provides data backup services to its customers to recover any lost or damaged data.
The Company’s backup servers can temporarily replace the main servers of its customers when needed. From time to time, it maintains and operates the data centers of other service providers, such as China Telecom and China Mobile. The Company’s server management services allow customers to engage the services of its data center staff to handle problems that occur to their servers.
Managed Network Services
The Company’s managed network services are primarily offered in the form of bandwidth, which is optimized through its BroadEx routing platform and supplemented by its hosting area network and its data transmission network. Its managed network services primarily consist of Hosting Area Network Services and BroadEx Route Optimization. The Company’s data centers are distributed throughout China. It connects most of its data centers with private optical fibers, forming its hosting area network. The Company’s hosting area network connects the servers housed in its data centers so that data transmission among its customers can be achieved without going through telecommunication backbones or Internet hubs. The Company’s BroadEx system is a routing platform, which functions like an intelligent switchboard automatically selecting the routes and directing traffic through either its own or other networks.
Cloud Infrastructure Services
IaaS is designed to allow businesses to run their applications over the Internet rather than having an IT infrastructure on their own premises. Instead of purchasing data center spaces, network equipment, servers and other computing equipment, customers can purchase a portion of the pooled computing resources, load applications onto virtual servers, and pay on an on-demand basis. IaaS providers own the computing equipment and are responsible for housing, running and maintaining it.
The Company competes with China Telecom, China Unicom, ChinaNetCenter, Dnion Technology, Baidu and Alibaba.
21Vianet Group Inc
1 Jiuxianqiao East Road,Chaoyang
BEIJING BEJ 100015