Cloud computing, a new type of digital infrastructure, can provide the necessary computing power to develop artificial intelligence, enhance the Internet of Things and the Industrial Internet to support their infrastructure layers, and reduce costs and increase efficiency for organizations. However, there has been little adoption or use of cloud computing in China, and it remains unknown what factors influence the diffusion of cloud computing in the region. This study establishes econometric models based on institutional theory and empirically analyzes the impact of three actors, namely, governments, enterprises that adopt cloud computing, and cloud computing suppliers, on the diffusion of cloud ecosystem using relevant data from Shandong Province, China. The results indicate that these participants have varying types of influence on the breadth and depth of cloud ecosystem diffusion in the region through their institutional pressure. This research also put forward some practical implications for the diffusion of cloud computing in the region.