Earnings, cloud wins, strategic, interconnection, new company formation
The sector continued to push forward as results from operators and more public cloud wins underscore the resilience of the sector amid the ongoing global pandemic.
We continue to push through a long earnings season with recently listed Rackspace still to come at the end of August. In the past week, we took a closer look at the results coming from QTS, Limelight Networks and Iron Mountain. QTS had a particularly strong quarter that showed the diversity within its business and the upside it has positioned itself to capture.
Public cloud shows no signs of slowing down and the enterprise segment continues to accelerate adoption. PepsiCo moved workloads to Azure, Rackspace helped customers move to AWS, while Best Buy bet on Google Cloud and Oracle moved Nissan’s HPC workloads to the OCI platform.
On the strategic side, it was relatively quiet, though TWS in The Netherlands made two more smaller deals in the SMB space and South Korea’s SK Corp plans to take a stake in Chinese hyperscale data centre operator ChinData Group. Meanwhile, backup provider Datto is planning an IPO.
There was also a lot of activity on the interconnection side of things. Cloudflare launched new services and partnered with Megaport, while Megaport continues to build its footprint and added Dutch hoster Leaseweb to its partner ecosystem. Google also enhanced its private connectivity options.
Finally, new providers continue to emerge on the data centre side and the latest is IOTDC in Australia.
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