New York, London & Singapore Colocation Update
In this latest Data Centre Intelligence Unit report, Citihub provides an update on data centre colocation supply and demand in the key Financial Services metros of London, New York and Singapore.
The market continues to evolve, with a number of key themes:
- Solid returns for investors are driving continued interest and investment in data centre facilities which may lead to oversupply;
- M&A and consolidation is driven by a small number of global players which may limit the supplier choice available to buyers but offer benefits in terms of capacity portability and services;
- Growth in a number of new hosting locations is being driven by telecoms hubs and proximity to hyper-scale Internet and Cloud providers which may reduce the long-term attractiveness of hosting in financial centres.
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This summary report demonstrates the net effect of these factors on wholesale pricing and offers insight into the opportunities and constraints facing Financial Services firms looking to enter the market – to either invest or divest – in the near future.