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Wholesale, massive-scale, third party cloud, divestitures, numbers

  • July 3, 2017
  • Analyst: Philbert Shih

There were fewer high-profile developments in the past week as there was reduced activity across the sector with national holidays in Canada and the US approaching on July 1 and July 4.

The busiest segment within the sector was massive-scale cloud. QTS introduced a new wholesale colocation service offering targeted at the needs of massive-scale clouds and in Asia, GDS confirmed a partnership with Alibaba that will see it take on most of its third party data centre requirements in China. GDS has already pre-leased a deployment from Alibaba in its new Beijing data centre. Meanwhile, IBM continues to build out its global cloud infrastructure footprint and is in the midst of updating its cloud infrastructure platform.

Third party cloud continues to gain momentum. Atmosera shared some insight into its momentum with managed Azure and HOSTING added more compliance capabilities that will be applied to its managed third party cloud offerings. Service providers also continue to build on top of massive-scale. Continuum built an archiving backup feature that service providers can deploy with AWS Glacier as the underlying infrastructure.

There was activity on the strategic side as well. In Australia, media reports indicate that Vocus might be the next telco to divest data centres assets, while Platform9 closed a Series C round.

Earnings season has come to a close, but we took a look at the results from TeraGo Networks in Toronto. On the private company side, Secure-24, Magento, NGD in the UK and Atomosera all shared data points that provide some insight into their current trajectory.

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