Demand for co-location services is strong, driven by cloud computing, growth in data consumption and the growing trend for telecommunication and managed IT service providers to acquire data centre space in carrier-neutral facilities to supplement their existing data centres. It is estimated that over three-quarters of organisations with a data centre service are utilising outsourced providers to some extent. Both co-location and managed hosting services are expected to grow strongly over the next few years, given increased customer requirements for improved security, redundancy, power and cooling.
Additionally, a large proportion of Australian companies and government entities prefer data centre providers with a domestic presence for reasons of security, performance and regulatory considerations. Multi-national cloud providers are not pushing data out of Australia, they are pushing data into Australia because Australian customers want their data housed locally.
Demand for co-location services is strong, driven by cloud computing, growth in data consumption and the growing trend for telecommunication and managed IT service providers to acquire data centre space in carrier-neutral facilities to supplement their existing data centres. It is estimated that over three-quarters of organisations with a data centre service are utilising outsourced providers to some extent. Both co-location and managed hosting services are expected to grow strongly over the next few years, given increased customer requirements for improved security, redundancy, power and cooling.
Additionally, a large proportion of Australian companies and government entities prefer data centre providers with a domestic presence for reasons of security, performance and regulatory considerations. Multi-national cloud providers are not pushing data out of Australia, they are pushing data into Australia because Australian customers want their data housed locally.