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The back-end intelligent system of Internet of Things (IoT) needs the powerful computing ability to support its service, and therefore, IoT is often constructed on the cloud platform. However, the resources for cloud computing are limited, and different types of services will have different demands for the resources. This paper proposed a service-oriented virtual machine (VM) placement strategy in cloud data center and divided the roles of VM into Web role, worker role, and storage according to the function types. On the basis of service orientation and in consideration of communication overhead between VMs in the data center, the genetic algorithm was used to conduct the optimal configuration for different types of VMs under the situation of limited resources to achieve the minimum communication overhead and total power consumption. The proposed cloud VM placement strategy is also suitable for the intelligent computing platform of IoT back end.