The growth of hyperscale cloud infrastructure, which shows no signs of slowing down, continues to have ripple effects across the infrastructure services sector. Colocation providers have pushed into wholesale to go after the hyperscale opportunity, MSPs are pivoting to managed third party cloud and going asset-light and interconnection has become increasingly strategic. These are the big picture shifts taking place, but underneath the covers, there is more happening. And the way things are playing out is definitely not all black and white.
For example, data centre operators have moved into wholesale at different stages in the market’s evolution and are being motivated by different objectives. On the MSP side, things are moving up the value chain as service providers think not just in terms of pure resell and management, but enablement, optimization and driving operational efficiency. Meanwhile, the growing ubiquity of cloud means organizations are heads down trying to fit together the many pieces of a larger puzzle. To optimize performance and efficiency, they need
to directly connect with clouds and be in close proximity to them. They also increasingly need to run on and connect with multiple cloud platforms.
This report takes a closer look at some of the important developments spawned by the aggressive growth of hyperscale cloud platforms. Hyperscale is driving the sector’s overall narrative and it really is just the beginning.