GDS and Vnet Rally on Reports of Major China Data Center Investment Plan
Key takeaways
- One of the sources said that state-backed telecommunications companies, including China Mobile and China Telecom, are expected to operate the majority of the planned facilities.
- The news also lifted other Chinese technology stocks.
GDS and Vnet Rally on Reports of Major China Data Center Investment Plan Fiona Craig Tue, June 9, 2026 at 5:10 PM GMT+7 1 min read GDS 601728.SS data centre NEW SIZE ©123Net Shares of GDS Holdings (NASDAQ:GDS) and Vnet Group (NASDAQ:VNET) climbed roughly 8% on Tuesday after reports indicated that China is considering an investment programme worth around 2 trillion yuan ($295 billion) over the next five years to expand the country’s data center infrastructure.
The U.S.-listed shares of the Chinese cloud and data center operators advanced following reports that several government bodies, including the National Development and Reform Commission, are working on a framework to create a nationwide network of interconnected computing hubs, according to sources familiar with the discussions.
One of the sources said that state-backed telecommunications companies, including China Mobile and China Telecom, are expected to operate the majority of the planned facilities. The sources cautioned that the proposal remains at an early stage and that details of the project could still be revised.