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COLOCATION HOSTING
THE CHALLENGES OF MEETING GROWING DEMAND
COLOCATION HOSTING
THE CHALLENGES OF MEETING GROWING DEMAND

   Data center operations, including colocation hosting changes almost on a daily basis
   Changes affect current and long-term business
   The goal is to prepare and adapt to these trends with focus on resource optimization and cost
    reduction
   There is a growing demand for colocation hosting in the data center market
   According to Nemertes Research, a shortage of colocation hosting space will occur in 2012 and will
    grow to $1.9 billion facilities gap by 2015
   Nemertes calls this scenario “the colo crunch”. The company concluded supply is growing, but demand
    is growing faster
COLOCATION HOSTING
THE CHALLENGES OF MEETING GROWING DEMAND

Determine Supply
 Nemertes valued the 2012 U.S. market at approximately $18.5 billion, they expect the market will
   grow to approximately $31.2 billion in 2015
 The industry analyst also determined 2011 colocation hosting space in U.S. at 67.7 million square
   feet, by 2015 they expect square footage to expand by 144 million square feet
COLOCATION HOSTING
THE CHALLENGES OF MEETING GROWING DEMAND

Calculating Demand
 Nemertes measured demand by interviewing several hundred enterprises about planned deployments
 The challenge involves separating what percentage of colocation hosting a company will outsource
 Isolation demand for just colocation hosting becomes tricky
 About 8.75% of total enterprise data center space is devoted to colocation. Nemertes expects this
   percentage to increase to 14.11% by 2015
 Colocation hosting providers have an oppurtunity to expand their facilities to support this growth
 When selecting colocation providers, make sure to fully understand their growth strategies
 CyrusOne provides more than 1,000,000 square feet of colocated floor space
 Colocation facilities located in Houston, Dallas, Austin, San Antonio, Cincinnati, Chicago, London and
   Singapore
COLOCATION HOSTING
THE CHALLENGES OF MEETING GROWING DEMAND

Calculating Demand
 Services are targeted throughout a wide range of industries such as: energy, oil and gas, medical,
   technology, finance, consumer goods and services and more
 Design architectures support power requirements exceeding 250 kilowatts per square foot. Facilities
   is designed to provide optimal redundancy, efficiency, security and future-proof reliability
ABOUT THE AUTHOR
NICOLE AGUILLARD IS MARKETING DIRECTOR FOR CYRUSONE, A
GLOBAL ENTERPRISE COLOCATION PROVIDER OPERATING 23
HIGHLY SECURE DATA CENTERS ACROSS THE UNITED STATES,
LONDON AND SINGAPORE. LEARN MORE ABOUT COLOCATION
HOSTING BY VISITING HTTP://WWW.CYRUSONE.COM/.

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Colocation Hosting: The Challenges of Meeting Growing Demand

  • 1. COLOCATION HOSTING THE CHALLENGES OF MEETING GROWING DEMAND
  • 2. COLOCATION HOSTING THE CHALLENGES OF MEETING GROWING DEMAND  Data center operations, including colocation hosting changes almost on a daily basis  Changes affect current and long-term business  The goal is to prepare and adapt to these trends with focus on resource optimization and cost reduction  There is a growing demand for colocation hosting in the data center market  According to Nemertes Research, a shortage of colocation hosting space will occur in 2012 and will grow to $1.9 billion facilities gap by 2015  Nemertes calls this scenario “the colo crunch”. The company concluded supply is growing, but demand is growing faster
  • 3. COLOCATION HOSTING THE CHALLENGES OF MEETING GROWING DEMAND Determine Supply  Nemertes valued the 2012 U.S. market at approximately $18.5 billion, they expect the market will grow to approximately $31.2 billion in 2015  The industry analyst also determined 2011 colocation hosting space in U.S. at 67.7 million square feet, by 2015 they expect square footage to expand by 144 million square feet
  • 4. COLOCATION HOSTING THE CHALLENGES OF MEETING GROWING DEMAND Calculating Demand  Nemertes measured demand by interviewing several hundred enterprises about planned deployments  The challenge involves separating what percentage of colocation hosting a company will outsource  Isolation demand for just colocation hosting becomes tricky  About 8.75% of total enterprise data center space is devoted to colocation. Nemertes expects this percentage to increase to 14.11% by 2015  Colocation hosting providers have an oppurtunity to expand their facilities to support this growth  When selecting colocation providers, make sure to fully understand their growth strategies  CyrusOne provides more than 1,000,000 square feet of colocated floor space  Colocation facilities located in Houston, Dallas, Austin, San Antonio, Cincinnati, Chicago, London and Singapore
  • 5. COLOCATION HOSTING THE CHALLENGES OF MEETING GROWING DEMAND Calculating Demand  Services are targeted throughout a wide range of industries such as: energy, oil and gas, medical, technology, finance, consumer goods and services and more  Design architectures support power requirements exceeding 250 kilowatts per square foot. Facilities is designed to provide optimal redundancy, efficiency, security and future-proof reliability
  • 6. ABOUT THE AUTHOR NICOLE AGUILLARD IS MARKETING DIRECTOR FOR CYRUSONE, A GLOBAL ENTERPRISE COLOCATION PROVIDER OPERATING 23 HIGHLY SECURE DATA CENTERS ACROSS THE UNITED STATES, LONDON AND SINGAPORE. LEARN MORE ABOUT COLOCATION HOSTING BY VISITING HTTP://WWW.CYRUSONE.COM/.