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Leading IXP meets hyperscale Datacenter demand

Voiped Telecom

April 03, 2019 DE-CIX

In Europe, the last 12 months saw unprecedented growth in the datacenter space and this surge in new deployments is at a stage where organic builds are becoming more prevalent, according to a report published by the data economy.

The rapid growth of the data center industry is well documented in several other quarterly reports such as BroadGroup’s Colocation Market Quarterly (CMQ), which also highlights the surge in data power and space capacity available across Europe.

In a recent report by "State of the Dutch Data Centres 2018, Always On", the largest annual survey of the Dutch data center, a publication by the Dutch Data Centre Association (DDA), the growth and developments in the data center sector over the past 12 months is clearly reflected.

The feedback indicates that the demand for regional data center services in a radius of 50 km around Amsterdam has grown by an average of 18% over the last year and this growth has occurred annually and consistently over the past 7 years.

This growing demand for data services primarily stems from IT companies, local authorities, education, and healthcare institutions, and Voiped Telecom ensures that mission-critical operators, companies, and institutions who are increasingly dependent on IT services, can operate with agility and be continually productive.

With the growth of Edge Computing, the publication predicts that the data industry will also see continued growth in the region and international companies are also increasingly seeking datacenter space in the 98 regional data centers across the Netherlands.

"Due to the relatively short distances and excellent connectivity to DE-CIX, companies can profit cost-effectively from Voiped's local peering services, a unique role that organizations are consciously opting for," said Ferry Stienstra, CEO, Voiped Telecom.

New access drives hyper-scale demand for Cloud Data in Europe

Analysts at the different research houses seem to agree that hyper-scale cloud demand is responsible for the staggering growth witnessed in the data sector and which broke records.

“Demand was very strong in the quarter and again driven by hyper-scale cloud players and it was not just the five main US hyper-scale cloud players, but growing demand from Chinese players, and companies such as Oracle which undertook some major deployments in Frankfurt,” it reads in BroadGroup’s CMQ.

Data demand drivers led by two key factors:

1) the trend of future demand is driving even more aggressive plans for data expansion in the future.

2) access to funding is not only coming from ‘traditional investors’ in the sector but a new wave of investors such as pension funds and sovereign wealth funds - BroadGroup’s CMQ.

With a market share of no less than 32 %, the Amsterdam region occupies a unique position because it's both a colocation hub and a hyper-scale cluster and this exceptional combination makes Amsterdam the second-largest market in Europe after London.

The demand for cloud data capacity in this region will not slow for the foreseeable future and data from the DDA report forecast some 184,000 m² of floor space in new multi-tenant data centers that are planned to be built in the coming years.

Datacenter sustainability

Datacenters have significant economic importance and Voiped Telecom partner with those that are transparent and that has a positive role in the importance of energy transition.

In the Netherlands, for example, the sector relies almost entirely on green energy and quantum steps have been taken in the field of energy efficiency. Further to this, unconsumed heat generated by data centers is now increasingly being recycled.

The DDA study shows that no less than 64% of the DDA participants actively recycle their residual heat, Stijn Grove said: “This residual heat is now mainly used for heating the data centers".

Internet Peering routes

Voiped Telecom is committed to building an ecosystem of partners and innovation to help our customers achieve success when deploying solutions from the datacenter to the edge.

By peering, operators significantly enhance the speed and reliability of all IP products and reduce IP transit and network costs. IT operators also have direct control over traffic flows and shortened AS paths, a feature that businesses are quickly realizing increases competitivity within the market and this has created a huge uptake in new data connections.