Monday, October 23, 2017

Telia snaps up seven Baltic data centres

Deal makes carrier one of the largest data centre operators in the region with promises to develop the business to answer local IT and telco demand.

Telia’s Lithuanian business arm, Telia Lietuva, has announced its intention to acquire Baltic data centre operator Data Logistics Center (DLC).

The acquisition of Data Logistics Center from shareowners Lietuvos Energija (Lithuania Energy) and Litgrid is subject to approval from the Competition Authority and is expected to be completed in the beginning of 2018.

DLC was founded in 2010 and operates seven data centres in Vilnius and Kaunas, Lithuania. The company also provides data transfer services both nationally and internationally.

Telia Lietuva already owns one Tier III data centre, and will now add more than 3,600 sqf of data centre floor space.

Kęstutis Šliužas, CEO of Telia Lietuva, said: “Having acquired one of the most modern and largest data transfer and data centre operators in the Baltic States, we will undoubtedly be able to strengthen and develop our business in the field of IT and telecommunications.”

Lithuania’s data centre market is seen as relatively small compared to other countries in the region, namely Finland, Sweden and Norway.

The country has a total generation capacity of more than 4,300 MW, according to Invest in Lithuania.

The Baltic nation’s renewable energy footprint was in 2014 22% of the overall power, with government plans to increase this to 23% by 2020.

By the end of the decade Lithuania aims to have 500 MW of installed wind energy capacity, at least 355 MW of biomass, 141 MW of hydro energy and more than 10 MW of solar.

The country also has several dark fiber routes linking it to neighbouring countries such as Finland, Germany and Russia, as well as further cabling systems connecting to Latvia, Sweden and Belarus.

Recently, the Lithuanian government blocked the construction of the country’s largest data centre project ever over fears it would be used by Russian spies to spy on government affairs.

The project was branded as “national security threat” and has never broken ground.

The hub’s initial capacity had been projected to be a 3MW 826 rack facility scalable to 1652 racks (with a power consumption of 6MW at that point). The data centre would sit in a 15 ha piece of land, 14Km away from Vilnius city centre. The data centre had a total expansion limit of 80MW.