Apple is working to open its first data center in China to comply with local cybersecurity laws. Newer legislation covering how companies deal with user data have forced Apple into a position where it'll need a local center. It's working with a Chinese data management firm on the project.
In addition to becoming compliant with the latest regulations, a local center will improve the speed of Apple's cloud services.
Given the regulations present in China, Apple must work with another company, Big Data Industry, on the facility. Typically it manages its data centers entirely on its own.
Although user data will be stored within the country, Apple is strongly opposed to creating security backdoors for the authorities.
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