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JD to make $1.6b technology investment in Hunan

By Fan Feifei | chinadaily.com.cn | Updated: 2018-04-08 20:47
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A shopper uses the app of Chinese online retailer JD.com on his smartphone in Ji'nan, East China's Shandong province, Oct 25, 2017. [Photo/IC]

The country's second-largest e-commerce site, JD.com, will invest 10 billion yuan ($1.6 billion) in Xiangtan, Central China's Hunan province, to promote the establishment of an intelligent logistics and delivery system, as well as industrial bases involved in cloud computing and big data.

JD inked a strategic partnership agreement with the Xiangtan government on Sunday, a move to boost the sustainable development of local society and economy. Liu Qiangdong, JD's chairman and CEO, said the company will donate 10 million yuan to Xiangtan University, and the two sides will jointly set up a fellowship to help students from poor families and impel the development of local education industry.

"We will increase investment in Hunan province and ramp up efforts in the construction of local intelligent logistics, cloud computing and big data industrial bases, as well as boost unmanned vehicles and delivery robots," Liu said.

The e-commerce giant will increase input into new energy vehicles for delivery services, drones, unmanned vehicles and other logistics infrastructure, to enhance delivery and distribution efficiency in Xiangtan.

In addition, JD will boost the digital transformation of the local tourism industry by virtue of its advantages in cloud computing, big data and artificial intelligence technologies, as well as the sales of green and high-quality agricultural products. It also plans to cooperate with local government to build up an intelligent manufacturing and innovation center.

Liu said in early March that the booming e-commerce sector is playing an important role in shaking off poverty in rural areas, as it can better bridge supply and demand with its technological and marketing advantages, and channel rural agricultural products directly to meet urban needs.

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