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China's growing existence in the cloud computing sector has raised issues amongst states and organizations, particularly around data security, personal privacy breaches, unapproved access to information, and the transfer of data to external partiesespecially the Chinese federal government. Another concern is that data collected through Chinese cloud technologies could be exploited for functions beyond its original intentsuch as user monitoring or commercial and security espionage. The Chinese company Alibaba Cloud ranks fourth with 4% of the worldwide market.

The United States business Oracle and IBM follow at 3%and 2.5%, respectively, in addition to China's Tencent Cloud, which holds 2%of the international market. In Qatar, Bahrain, and Israel, United States cloud companies dominate the regional market, while Chinese companies have just a restricted existence. In contrast, in Egypt, the Chinese company Huawei Cloud runs an active cloud region in Cairo, whereas the 3 major United States tech business AWS, Microsoft Azure, and Google do not currently runcloud areas there. In Saudi Arabia and the United Arab Emirates, both United States and Chinese cloud service providers are active, however the United States keeps a more popular existence, with 12 cloud regions in Saudi Arabia and 9 in the UAE. By contrast, China has 7 cloud regions in Saudi Arabia and one in Dubai. In March 2024, AWS revealed strategies to establish a cloud area in Saudi Arabia with an investment of $5.3 billion. In contrast, in May 2024, Huawei Cloud introduced its first cloud region in Egypt and North Africa with a five-year investment of $300 million. China's financial investment volume and geographical spread in the Middle East stay limited compared to those of the United States, Chinese companies aremaking rapid development into the market. China recognizes the potential of emerging markets and the growing need for sophisticated technologies in the Middle East, particularly in the Gulf area. The alignment of interests between China and countries in the region offers a strong structure for long-lasting cooperation, consisting of in cloud computing. China looks for to leverage its technological strengths to gain economic and strategic impact in the region, while Middle Eastern nations view China as anappealing partner for updating digital infrastructure and advancing technological innovationoffering services that are economical, quickly carried out andwithout political conditions. While still limited in scope, this pattern holds the prospective to gradually wear down US digital hegemony in the region.In Israel, Chinese cloud companies have a restricted existence, mainly accommodating private business seeking cost-efficient rates or those operating in Asian markets. Alibaba Cloud services are offered in Israel through the local company Sela, which provides support, guidance, and support to Israeli firms thinking about using Chinese cloud services.

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China's increase in the Middle East's cloud market, through investments in digital infrastructure and local partnerships, includes another layer of tension to the continuous competitors with the United States. This competitors is not just restricted to technological aspects; it shows a broader struggle to shape geopolitical spheres of impact, with the Middle East becoming a crucial strategic arena.

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Second, China's technological expansionespecially in Egypt, the United Arab Emirates, and Saudi Arabiademands tactical and diplomatic attention from Israel, as these are locations of direct geopolitical and security significance for the country. Third, while there is awareness in Israel about data security and the dangers of foreign technological influence, the threats related to Chinese cloud infrastructureeven in seemingly neutral fields like wise vehiclesare not fully acknowledged.

These cars are equipped with wise systems that gather real-time datasuch as place, car movement, and system performance. This data is transmitted by means of cloud facilities and may be saved on servers in China or controlled by Chinese firms, raising issues about the possible usage of such details for espionage, intelligence event, or even push-button control.

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However, provided the recurring reports and concerns about Chinese companies violating data privacy and security, using Chinese-made vehicles in Israelparticularly within government and defense institutionsshould be carefully examined. This includes evaluating potential national security dangers and considering safer alternatives for usage in sensitive environments. Due to the obstacles China presents in the technological and geopolitical arenas, it is important that Israel thoroughly assess the long-term implications of China's growing role as a regional technological power.