Jabez Tan speaks to Data Center Knowledge about STT acquisition of Tata’s data centre assets

• May 23, 2016

Source: Data Center Knowledge 

“The acquisition of Tata’s data center assets gives STT’s data center portfolio a stake in the two Asia-Pacific markets with the most long-run growth potential,” Jabez Tan, research director at Structure Research, who specializes in Asian data center markets, said.

India is unquestionably an attractive long-term growth market, and many data center providers based elsewhere have been eyeing it but shying away because of its operating challenges, Tan said. Power grid infrastructure in the country is relatively unreliable, and it is difficult to build local market presence there from outside.

By acquiring a stake in Tata’s business, ST Telemedia gets a foothold in the market without having to address those hurdles. “In acquiring Tata’s data center assets and partnering, STT has given itself a platform, complete with scale, capabilities and footprint, to jumpstart its presence in this market,” Tan said.