BEIJING - The State Council, China's cabinet, issued guidance on Friday on development of cloud computing.

China intends to markedly boost cloud computing capacity by 2017, developing an Internet power by 2020, with cloud computing as its backbone. Synthesized development of cloud computing, mobile Internet, the Internet of things and Internet financing will cultivate new businesses.

Breakthroughs are needed on cloud computing and big data. The government will support upgrades of existing e-government systems with cloud computing, and will procure more services from the private sector.

Big data research and development was also highlighted. Demonstration projects will apply big data in disease prevention and control, disaster prevention, social security and e-government.

Authorities will support industry through tax policies, law and regulations, and will encourage investment in cloud computing start-ups.

China's cloud computing market is expected to be worth $37.2 billion yuan in 2017 as demand for the service grows, the China Securities Journal reported in May 2014.