EMEA Partner Summit 2015 Presented by Kevin Restivo - Datacenter Dynamics

1. 1
Data Center Evolution: From Cabinets to Colocation,
Cloud Computing and Beyond
Kevin Restivo
Istanbul, 7th October 2015

2. Worldwide Data Center Investment Growth 2015
IoT A Major Driver But Growth To Decline Steadily
Source: DCD Intelligence, 2015
 2015 = US$184.4 billion
for an expected 10.2%
spending increase
 Data center investment
will increase by a CAGR
of 9.2% from 2014 to
2020 (US$283.4 bn).
 Investment in
outsourcing space and
services will increase
faster than in-house
facilities investment
NAM
+10.5%
US$53.9B
Latin America
+16.9%
US$20.9B
W. Europe
+5.7%
US$46.6B
E. Europe + MEA
+12.8%
US$15.3B
Asia Pacific
+10.8%
US$47.7B

3. Average Age of Building/Shell, Facility
Equipment, IT & Networking Equipment
Western European Cities Appear Poised for Change
14.8
12.5
9.5
11.4
6.5
13.0
8.6 8.6
9.9
6.1
9.9
6.2
12.3
4.7
8.4 8.4
7.0
5.6 5.1
6.3 6.0
4.6
6.2
4.9 4.8 4.3
6.4
4.36.1
7.7
4.5
3.3
5.0
3.7 4.1
3.4
4.6 4.4 4.0 4.2 4.0 3.4
0
2
4
6
8
10
12
14
16
Years
Shell/building Facility equipment IT & networks
Source: DCD Intelligence, 2015

4. Western Europe Data Center New Build /
Migration
Investment Avenue as a Proportion of Facility Budget
8.2%
9.6%
8.1%
13.1%
16.5%
18.5%
17.7%
19.1%
9.8%
4.1%
39.7%
35.5%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
2013 2014
Migration or
Relocation
Consolidation
Extension of
Existing Facility
Refit / Refresh
Others
New Build
• ‘New Build’ is dominant but has
dropped slightly YoY as an option
• ‘Consolidation’ has grown faster as
an option than
‘Migration/Relocation.’
• ‘Migration / Relocation’ is
potentially more complicated, as
it’s an option dependent on the
availability of external data center
facilities

5. In 2007 the number of data centers
globally was roughly the same as the
number of oil fields (c. 70,000)
In 2014 the number of data centers globally is
roughly the same as the number of branded gas
stations in all of the G7 nations combined
(c. 200,000)
Global Data Center Sites Have Trebled In 7+
Years
Another Measurement of Relative Data Center Boom

6. EMEA Overall / Enterprise Data Center
White Space Growth Slowing
Squaremeters(million)
0.5%
9,075 9,141 9,132 9,134 9,141 9,084 9,037
3,355 3,735 4,106 4,472 4,844 5,257 5,660
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
2014 2015 2016 2017 2018 2019 2020
In-house Co-lo / outsourced
11.3%
Source: DCD Intelligence, 2015
 Data center
importance increases
but enterprise white
space growth to slow
due to:
• Virtualization
• Energy
efficiencies
• Outsourced
services / Multi-
tenant data
centers
• Hyperscale data
center services

7. • The data center is increasingly the anchor of
business; it contains the ‘crown jewels.’
• Investment continues unabated but it won’t be
as ‘white space’ centric.
• Data center growth to shift slowly from in-
house facilities as confidence in the cloud /
outsourced options grows.
Conclusions

8. • The data center boom means the industry
consumes more power than ever; it is a top
cost & problem.
• Shift to virtualisation and cloud architectures
continues with ‘data center as a service’ the
nirvana.
Conclusions

9. twitter.com/dcdintel
twitter.com/krestivo
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https://uk.linkedin.com/in/kevinrestivo
e-mail: kevin.restivo@datacenterdynamics.com