The Hyper-connected Economy: An Interview with Ken Sakai, MD of Telehouse Europe
In this interview Mr Sakai discusses what is driving the hyperconnected economy – where people, places, organisations and objects are linked together as never before; and why connectivity is key to overcoming future challenges.
What is driving demand of the data centre market in Europe?
There are three major trends which are transforming the data centre industry as we see it. The first is the popularity of video streaming on mobile devices.
A 2017 study by Level 3 suggests that, viewership of OTT video services, including Netflix, Hulu and Amazon Prime, will overtake traditional broadcast TV within the next five years.
Juniper Research adds that the global OTT market will increase to $18 billion in 2019, up from $8.5 billion just three years ago. The second trend is the emergence of new business models based around the Internet of Things (IoT) which is predicted to grow from an installed base of 15.4 billion devices in 2015 to 30.7 billion devices in 2020 and 75.4 billion in 2025 (1).
The third major trend is that rapid adoption of cloud services worldwide has driven market growth by 25 percent year-on-year and $148 billion in operator and vendor revenues (2).
How will Telehouse help its clients to meet this demand?
It is an exciting time to join Telehouse with the recent development of Telehouse North Two in London which was officially inaugurated in 2016.
The 11 storey building adds 24,000sqm gross space to the Telehouse London Docklands data centre campus where Telehouse pioneered purpose-built, carrier neutral data centres in Europe with the opening of Telehouse North in 1990.
The campus is now one of the most connected sites in the world. The investment in North Two positions Telehouse at the heart of the digital economy, enabling new ecosystems to be built among cloud service providers, content providers, mobile operators, and their users; both consumers and enterprises.
OTT providers can maximise their reach and speed to market by collocating in close proximity to all the major mobile providers, ‘Tier 1’ carriers and hundreds of ISPs in the Docklands campus.
Similarly, an increasing number of companies that want to position themselves ready to take advantage of IoT can find all the low latency connectivity that they need, in a highly resilient and secure, city centre location.
It is the location of this dense connectivity that enables low latency data transfer which translates to better end user experience for the consumer, and a competitive advantage for the enterprise. Hundreds of cloud providers are housed in the Docklands campus and connectivity continues to grow.
Telehouse Cloud Link was launched in Q1 2017, providing direct connections to the major public cloud providers, further establishing the campus as the ideal environment for enterprises and service providers to build their hybrid IT solutions, and for cloud providers to host part of their infrastructure.
What can you tell us about the recent collaboration with Microsoft and Telehouse Cloud Link?
For companies that need secure, reliable access to one or more leading public cloud services, Telehouse Cloud Link, a multi-cloud connectivity exchange, delivers a private connection with predictable and scalable bandwidth between their network and cloud services.
Telehouse’s collaboration with Microsoft allows enterprises and their IT infrastructure partners to seamlessly provision and manage private connections to Microsoft Azure and Microsoft Office 365 using a dedicated and predictable connection.
Telehouse customers can now provision connections instantly through the online portal, and can scale bandwidth as their business demands. Additional cloud service providers are expected to be added to Cloud Link in the near future and this ability to connect to multiple clouds through a single source removes the complexity of traditional network procurement.
What makes Telehouse different?
With 48 premium quality data centres in city centre locations around the globe, Telehouse is home to many of the leading Internet Exchanges, and provides access to the major public cloud providers.
This connectivity and access to end users, makes it the ideal home for OTT providers, digital media companies and cloud service providers to expand their reach and speed to market in a secure environment.
More than 3000 companies already make up Telehouse Interconnect – the global ecosystem of Carriers, Mobile and Content providers, Enterprises and Financial services companies.
This article originally appeared in the Data Economy magazine. To read more on data centres, cloud and data, visit here.
(1) IHS Research
(2) Synergy Research