M&A, cloud expansion, wholesale, South America, managed third party cloud
It was a steady week across a number of segments within the sector. The global cloud build out continued, there were a few notable transactions and we got more insight into the sector’s trajectory from earnings reports.
On the M&A side, Microsoft recently acquired Avere as it continues to invest in technology and capabilities that will help it handle HPC workloads on the cloud. Meanwhile, the hosting sector continues to further consolidate and we saw Pittsburgh-based Pair Networks acquired by podcast hoster Liberated Syndication. The move underscores the increasingly targeted nature of the hosting sector.
The global cloud build out continued. AWS expanded in London, Google revealed forthcoming expansions plans and Joyent added Asia-pacific cloud nodes. Data centres housing cloud nodes and platforms also expanded. EdgeConnex will build its first data centre in South America and in APAC, Chayora broke ground on a wholesale campus in Tianjin. AWS continues to expand in the US as well and it recently secured reduced power rates that will help it continue building massive data centre deployments in Ohio.
Cloud has clearly been a big driver behind data centre expansions. An emerging vertical that is driving demand for colocation is the cryptocurrency market. We take a closer look at the pros and cons of this vertical after dropping in on the Montreal market, where there has been a surge in activity over the last year.
On the earnings report side, we have numbers from United Internet, Adept4 and Veeam. United Internet’s hosting operations are showing relatively sluggish organic growth, while Adept4 in the UK is an example of how providers in the MSP space are growing with the help of managed third party cloud services.
There was also more movement in managed third party cloud. Ensono scored another customer win and Cogeco Peer1 rolled out a full suite of managed Azure services.
or