What the BT Data Centre Acquisition Means for Equinix
Equinix is expanding its efforts in the Republic of Ireland by acquiring BT’s data centre business in the country. As a leading data centre company, it is eager to better enable businesses to accelerate their digital transformation across Ireland.
The deal aligns with BT’s asset-light strategy, which includes a transition away from owning and operating data centre facilities and instead moving towards partnering with globally scaled organisations.
It also reflects Equinix’s desire to expand its global interconnection platform and better support its customers with hybrid cloud solutions.
Such a partnership-focused approach for data centre services gives BT a more commercially scalable and flexible model that delivers multiple benefits to customers with services available in over 560 locations worldwide.
Equinix will acquire two data centres in CityWest and Ballycoolin in Dublin and the transaction is worth EUR59 million (US$61.43m) which are carrier-neutral and consist of approximately 150,000 gross square feet.
Specialist data centre offerings for customers
Equinix has jointly developed colocation solutions with BT for some time, offering businesses the chance to be more sustainable and innovative. The data centre company has combined BT’s networking and cybersecurity expertise with its infrastructure to accelerate the digital transformation efforts of its customers.
The decision to sell its data centre business means that BT can now place greater focus on its core connectivity business to better support its enterprise clients.
BT states that divesting its data centre assets will enable it to redirect 5G deployment, cybersecurity and cloud services to other areas.
“This announcement with Equinix marks an exciting new chapter for our data centre business in Ireland,” comments Shay Walsh, Managing Director at BT Ireland. “The deal builds on our existing successful partnership with Equinix and ensures that customers will benefit from top-tier data centre services nationally and globally, allowing BT to specialise in our core strengths in cloud, networking and security.”
Equinix’s acquisition is also a reflection of broader trends in the global data centre industry. As companies continue to prioritise digital transformation, the demand for data centres that are bespoke or more interconnected is higher than ever before.
By acquiring BT’s Irish data centres, Equinix is positioning itself to better capitalise on disruptive technologies like AI, 5G, edge computing and hybrid and multi-cloud solutions to improve its data centre offerings.
Peter Lantry, Managing Director at Equinix Ireland, explains: “Equinix has a vital and long- established business in Ireland, with a strong track record of delivering huge value to individuals and companies throughout the Irish economy.
“This acquisition of assets from our existing facility enables us to continue to offer exceptional interconnection services from our unique global platform, augmenting the EUR35M annual contribution to national economic output arising from Equinix’s direct and indirect spend, measured in 2022.”
What happens next?
As 2025 gets underway, Equinix will support the transition of the datacentres from BT. This will be to ensure uninterrupted operations to customers, whilst positioning the facilities as integral parts of Equinix’s global network.
“We look forward to working closely with BT to ensure a seamless transition, welcoming their datacentre team and customers to Equinix and bringing the scale, expertise and investment that next generation data centre facilities require for excellent service delivery for organisations in Ireland and globally,” Peter adds.
Such an acquisition is a testament to how important Ireland is becoming in the global data centre market. Its geographic position and robust IT infrastructure has made it a strategic and attractive location for enterprises to invest their data centre operations there.
The country also places a strong focus on renewable energy, meaning that it provides an eco-friendly environment for energy-intensive data centres.
Some of the large companies that have a data centre presence in Ireland include Google, Amazon, Meta, Microsoft and TikTok.
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