M&A, managed third party cloud, storage, Canada, expansions

  • September 25, 2017
  • Author: Philbert Shih

It was another very busy week across the sector, particularly on the strategic side.

We had a chance to speak with Rackspace and get more details about the Datapipe acquisition along with a look at the financial profile there. Meanwhile, DataBank closed another deal with the acquisition of Baltimore-based Edge Hosting and back in August, EQT took over a stake in application hosting provider Data Intensity. There was also M&A activity on the SMB side as Servers Australia acquired Oz Hosting and Hostopia is said to have closed another deal in Australia. Not to be overlooked, the Digital Realty and DuPont Fabros merger officially closed.

Elsewhere on the SMB side, 1&1 got a new CEO, Acronis shared some data points about its growth and Digital Ocean updated its storage product portfolio. We also took a look at the recent results of Web.com.

There was more activity coming out of Canada. EdgeConneX started a new build in Toronto, Canadian hoster Server Mania set up a new data centre with ROOT in Montreal and CentriLogic won a managed hosting and application development/management customer. Infrastructure service providers looking to expand to and within Canada continue to weigh the pros and cons of setting up shop in either Toronto or Montreal.

There was more US-based data centre expansion activity as Equinix opened up SV10, Iron Mountain opened a new NoVA data centre, Peak 10 is planning a second data centre in Virginia and TierPoint expanded in Baltimore.

The managed third party cloud market was front and centre with the Datapipe acquisition, but other providers continue to build momentum. Logicworks recently won a new customer for AWS that moved its Docker environments from in-house data centres.

As always, the cloud world continues to evolve. AWS has held out on reducing its billing cycle to minutes, while Microsoft and Google have moved on that already, but this past week rolled out billing down to the second. There are some important implications when it comes to the arguments around cost and the role of third party service providers. Google has been active in expanding its capabilities and recently introduced Dedicated Interconnect to help enterprises gain performance benefits by directly connecting to its cloud. And in Asia, data centre operator GDS moved forward in its efforts to enable direct connections to cloud in China.

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