Organization (Tables)

12 Months Ended

Dec. 31, 2017

Summary of Subsidiaries and Consolidated Variable Interest Entities

The Company is principally engaged in the provision of hosting and related services after the disposal of subsidiaries which are engaged in managed network services in September 2017 (Note 4).

(a)	As of December 31, 2017 the significant subsidiaries of the Company and consolidated variable interest entities are as follows:


Entity	Date of incorporation/ acquisition	Place of incorporation	Percentage of direct ownership by the Company			Principal activities
			Direct
Subsidiaries:
21ViaNet Group Limited (“21Vianet HK”)	May 25, 2007	Hong Kong		100	%	Investment holding
21ViaNet Data Center Co., Ltd. (“21Vianet China”) ⁽¹⁾	June 12, 2000	PRC		100	%	Provision of technical and consultation services and rental of long-lived assets
21Vianet (Foshan) Technology Co., Ltd. (“FS Technology”) ⁽¹⁾	December 20, 2011	PRC		100	%	Trading of network equipment, provision of technical and internet data center services
21Vianet Anhui Suzhou Technology Co., Ltd. (“SZ Technology”) ⁽¹⁾	November 16, 2011	PRC		100	%	Trading of network equipment
21Vianet Hangzhou Information Technology Co., Ltd. (“HZ Technology”) ⁽¹⁾	March 4, 2013	PRC		100	%	Provision of internet data center services
21Vianet Mobile Limited (“21V Mobile”)	April 30, 2013	Hong Kong		100	%	Investment holding and provision of telecommunication services
Joytone Infotech Co., Ltd. (“SZ Zhuoaiyi”) ⁽¹⁾	April 30, 2013	PRC		100	%	Provision of technical and consultation services
21Vianet Ventures Limited (“Ventures”)	March 6, 2014	Hong Kong		100	%	Investment holding
Abitcool (China) Broadband Inc. (“aBitCool DG”) ⁽¹⁾	June 13, 2014	PRC		100	%	Dormant company
Diyixian.com Limited (“DYX”)	August 10, 2014	Hong Kong		100	%	Provision of virtual private network services
21 Vianet Zhuhai Financial Leasing Co., Ltd (“Zhuhai Financial Leasing”)	April 9, 2015	PRC		100	%	Provision of financial leasing business services
21Vianet DRP Investment Holdings Limited. (“DRP investment”)	January 10, 2017	Hong Kong		100	%	Investment holding
Shihua DC Investment Holdings Limited. (“Shihua Investment”)	March 14, 2017	Cayman		51	%	Investment holding
21Vianet (Xi’an) Technology Co., Ltd. (“Xi’an Tech”) ⁽¹⁾	July 5, 2012	PRC		51	%	Provision of technical and internet data center services
Foshan Zhuoyi Intelligence Date Co., Ltd. (“FS Zhuoyi”)^(1) /(4)	July 7, 2016	PRC		51	%	Dormant company
Dermot Holding Limited (“Dermot BVI”)⁽³⁾	August 8, 2014	British Virgin Islands		100	%	Investment holding

Variable Interest Entities (the “VIEs”):
Beijing Yiyun Network Technology Co., Ltd.⁽¹⁾^/(2)	October 22, 2002	PRC		—		Provision of internet data center services
Beijing iJoy Information Technology Co., Ltd. (“BJ iJoy”) ^{(1) / (2)}	April 30, 2013	PRC		—		Provision of internet data center, content delivery network services
WiFire Network Technology (Beijing) Co., Ltd.^{(1) / (2)}	April 1, 2014	PRC		—		Provision of telecommunication services

Held directly by BJ iJoy:
Shanghai iJoy Information Technology Co., Ltd. (“SH iJoy”) ^{(1) / (2)}	May 30, 2013	PRC		—		Provision of internet data center, content delivery network services

Held directly by 21Vianet Technology:
Beijing 21Vianet Broad Band Data Center Co., Ltd. (“21Vianet Beijing”)^{(1) / (2)}	March 15, 2006	PRC		—		Provision of internet data center services

Held directly by 21Vianet Beijing:
21Vianet (Xi’an) Information Outsourcing Industry Park Services Co., Ltd. (“Xi’an Sub”)^{(1) / (2)}	June 23, 2008	PRC		—		Provision of internet data center services
Langfang Xunchi Computer Data Processing Co., Ltd. (“LF Xunchi”) ^{(1) / (2)}	December 19, 2011	PRC		—		Dormant company
Shanghai Blue Cloud Technology Co., Ltd. (“SH Blue Cloud”) ^{(1) / (2)}	March 21, 2013	PRC		—		Provision of Office 365 and Windows Azure platform services
Beijing Yilong Xinda Technology Co., Ltd. (“BJ Yilong”) ^{(1) / (2)}	February 28, 2013	PRC		—		Provision of managed network services and virtual private network services
Beijing Yichengtaihe Investment Co., Ltd. (“BJ Yichengtaihe”) ^{(1)/ (2)}	September 30, 2014	PRC		—		Provision of internet data center services
Beijing Hongyuan Network Technology Co., Ltd. (“BJ Hongyuan”) ^{(1)/ (2)}	December 8, 2014	PRC		—		Provision of internet data center services

Held directly by DYX and LF Xunchi:
Shenzhen Diyixian Telecommunication Co., Ltd. (“SZ DYX”) ⁽¹⁾	August 10, 2014	PRC		100	%	Provision of virtual private network services

(1)	Collectively, the “PRC Subsidiaries”.

(2)	Collectively, the “Consolidated VIEs”.

(3)	On August 10, 2014, the Company and its subsidiary, LF Xunchi, acquired 100% equity interest Dermot BVI and its subsidiaries (collectively referred to as “Dermot Entities”).

(4)	On July 7, 2016, the Company through its subsidiary, 21Vianet HK acquired 100% equity interest in the entity, which was accounted for an assets acquisition.

Consolidated VIE before Eliminating Intercompany Balances

The following tables represent the financial information of the Consolidated VIEs as of December 31, 2016 and 2017 and for the years ended December 31, 2015, 2016 and 2017 before eliminating the intercompany balances and transactions between the Consolidated VIEs and other entities within the Company :


	As of December 31,
	2016		2017
	RMB		RMB		US$
ASSETS
Current assets:
Cash and cash equivalents		239,874		233,673		35,915
Restricted cash		68,709		149,375		22,959
Accounts receivable (net of allowance for doubtful debt of RMB80,313 and RMB70,627 (US$10,855) as of December 31, 2016 and 2017, respectively)		555,509		342,276		52,607
Inventories		4,320		—		—
Prepaid expenses and other current assets		636,776		809,546		124,425
Amounts due from related parties		82,350		86,824		13,345

Total current assets		1,587,538		1,621,694		249,251

Non-current assets:
Property and equipment, net		2,501,578		2,331,139		358,290
Intangible assets, net		555,649		45,203		6,948
Land use rights, net		76,044		74,162		11,398
Goodwill		1,146,570		302,956		46,563
Deferred tax assets		97,063		169,224		26,009
Other non-current assets		112,822		67,517		10,377
Long-term investments		266,748		355,894		54,700

Total non-current assets		4,756,474		3,346,095		514,285

Total assets		6,344,012		4,967,789		763,536

Current liabilities:
Short-term bank borrowings		183,676		50,000		7,685
Accounts and notes payable		441,847		157,970		24,280
Accrued expenses and other payables		525,613		368,190		56,590
Advance from customers		201,397		403,244		61,977
Deferred revenue		311,191		49,699		7,639
Income tax payable		25,466		7,400		1,137
Amount due to inter-companies ⁽¹⁾		1,221,897		1,863,780		286,458
Amount due to related parties (Note 23)		53,295		16,053		2,467
Current portion of capital lease obligation		203,394		201,315		30,942
Current portion of long-term bank borrowings		12,564		70,289		10,803
Deferred government grants		5,107		4,574		703

Total current liabilities		3,185,447		3,192,514		490,681


	As of December 31,
	2016		2017
	RMB		RMB		US$
Non-current liabilities:
Amount due to inter-companies ⁽¹⁾		1,052,734		1,020,972		156,921
Long-term bank borrowings		219,055		187,638		28,839
Deferred revenue		62,531		—		—
Non-current portion of capital lease obligations		581,568		687,176		105,617
Unrecognized tax benefits		24,153		13,225		2,033
Deferred tax liabilities		182,877		109,339		16,805
Deferred government grants		25,886		17,861		2,745

Total non-current liabilities		2,148,804		2,036,211		312,960

Total liabilities		5,334,251		5,228,725		803,641


	For the Years Ended December 31,
	2015			2016			2017
	RMB			RMB			RMB			US$
Net revenues		3,066,090			2,938,319			2,578,893			396,369
Net loss		(35,811	)		(674,685	)		(567,395	)		(87,207	)


	For the Years Ended December 31,
	2015			2016			2017
	RMB			RMB			RMB			US$
Net cash provided by operating activities		270,358			141,364			364,246			55,984
Net cash provided by (used in) investing activities		105,635			(470,955	)		(601,368	)		(92,429	)
Net cash (used in) provided by financing activities		(354,408	)		178,283			230,921			35,492
Net increase (decrease) in cash and cash equivalents		21,585			(151,308	)		(6,201	)		(953	)

(1)

Amount due to inter-companies consist of intercompany payables to the other companies within the Company for the purchase of telecommunication resources and fixed assets on behalf of the Consolidated VIEs.

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

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