CEO of AsiaInfo Technology comments on local database： Can three or five companies survive in the end ｜ Interview with Hai Bin

　　"I think maybe by this point in 2027, everyone can see that most of them may be eliminated and a few may stay." At the media communication meeting on August 3rd, Gao Nianxue, CEO of AsiaInfo Technology, commented on the development of local database enterprises in China.

　　China in the digital wave has brought many opportunities to the database industry. China market has gathered multinational companies such as Oracle Bone Inscriptions, IBM and SAP, as well as many local companies such as Alibaba, Huawei, AsiaInfo Technology and Xinghuan Technology. "The database industry, I think it is a critical period in recent years." Gao Xueshu told the First Financial Reporter.

　　pursuer

　　The database is on the cloud.

　　According to Gartner's statistics, the database deployed in the cloud in 2022 contributed 98% to the overall revenue growth of the database industry. Cloud on the database has become the main trend of the industry, which weakens the strength of traditional database enterprises, such as Oracle Bone Inscriptions, IBM and other traditional database leading enterprises, whose market share continues to decline. In 2022, Oracle Bone Inscriptions's global market share dropped to about 20%, losing 15 percentage points compared with 2017. Amazon AWS, Microsoft Azure and other cloud computing service providers stole the market share of companies such as Oracle Bone Inscriptions and IMB.

　　In the China market, a similar trend is happening.

　　The database industry originated in the United States, and the head enterprises of the industry are also from the United States. China's banking, e-commerce, energy and other fields previously required data storage, mostly done by multinational companies. China database enterprises are the latecomers to catch up.

　　China is the only country that can produce many Internet giants like the United States. Taobao, WeChat and other products developed by companies such as Alibaba, Tencent, Baidu and Meituan need to process a huge amount of data every day, not to mention when shopping demand in double 11 is concentrated in generate.

　　The ordering information of Taobao users, the inventory quantity of platform merchants, and the logistics order quantity all need to be stored and processed, and the food stock of Haidilao and the user deposit information of the bank cannot be lost. Digitalization of thousands of industries brings massive information storage demand and promotes the development of database industry.

　　Take POP MART, a listed company, as an example. In September 2018, the company launched a box-drawing machine applet, which brought the real fun of box-drawing online. Up to now, the number of members has exceeded 26 million. Previously, POP MART used traditional centralized databases such as MySQL, which had limited capacity expansion and contraction. With the popularity of online box drawing, the amount of data is rising, which is easy to cause online jam or delay. The company recently turned to OceanBase of Ant Group, equipped with its cloud database OB Cloud, to build a distributed box drawer system.

　　AsiaInfo Technology didn't start with database, but it was one of the earliest enterprises in China to develop and apply database products. Its AntDB database has been running stably in the domestic telecom operator market for 15 years. In recent years, AsiaInfo has paid more attention to the standardization of database products, and its business has developed well.

　　"AsiaInfo's database has been continuously invested in recent years. Last year, our database order was 60 million, and this year (expected) our order is more than 100 million orders." Gao Xueshu told reporters. According to Mo Tianlun's statistics, AsiaInfo Database ranked 14th among domestic enterprises at the end of last year. "At the beginning of this year, it has already reached 11th place, and I think it must be in the top ten this year."

　　According to the China database ranking released by Mo Tianlun in July, 2023, OceanBase, a subsidiary of Ant Group, continued to rank first, while openGauss developed by Huawei rose to the second place.

　　According to IDC statistics, in the overall database market of China in 2022, the market share of the top five local manufacturers has reached 55.4%. The dominant position of multinational corporations is gradually weakened, and local enterprises gradually occupy favorable terrain.

　　elimination game

　　Xinchuang Raceway, which started in 2020, provides unique opportunities for domestic enterprises. The database enterprises on this track correspond to the core industries such as telecommunications, finance and central state-owned enterprises, and the security and controllability of technology is the core point.

　　In the financial field, there are more and more opportunities for databases of local enterprises. The Gaussian database developed by Huawei is positioned as a cloud database with distributed architecture, focusing on the financial, government and enterprise markets. OceanBase, the distributed database of Ant Group, is applied to more than 1/4 domestic head financial institutions. According to Yiou think tank, by 2027, the scale of Xinchuang database will account for 29.60% of the total domestic database.

　　Nevertheless, it is not easy for domestic enterprises to catch up with international manufacturers.

　　"It is difficult because the database is not decoupled from the application. The database is too closely related to the application layer, which makes the replacement process more challenging and difficult. Therefore, if the database manufacturer does not have a deep understanding of the application and the industry, it is still very challenging to simply replace the database. " Gao Xueshu told CBN: "In addition, it needs good ecological support, and it is very, very difficult to make a database by going it alone. The database must be ecologically coordinated with the upstream and downstream industrial chains such as hardware, operating systems and other applications, so as to have a better development. "

　　There are a large number of local database enterprises in China, and the digital wave in China provides them with relatively sufficient opportunities. But the good days will not last forever, and the fierce competition of survival of the fittest will eliminate a large number of enterprises.

　　"I think there may be big ones, small ones, real ones and fake ones, which add up to less than a hundred." Gao Xueshu told reporters: "In the future, I will judge that the database market will definitely not accommodate so much. It is possible to survive 3-5, and too many may not survive. "

　　Elimination may occur within five years.

　　"I think maybe by this point in 2027, everyone can see that most of them may be eliminated and a few may stay. The database industry, I think it is a critical period in recent years. " Gao Shuxue said.