Telefónica to offload four more data centres for $120mn
Spanish telecommunications company Telefónica is offloading four more of its data centres, two of which are located in Chile, with the other two in the Spanish cities of Madrid and Terrassa.
Madrid based colocation company Nabiax is reportedly purchasing the four new facilities from Telefónica for just over $120mn. Madrid is the largest data centre hub in Spain and a European gateway to the world with three new submarine cables connecting USA, Latin America and North Africa, making it a communications hub on the global connectivity landscape.
Nabiax is the data centre subsidiary of Spanish investment management firm Asterion. In May of 2019, Asterion acquired 11 of Telefónica’s data centres for around €550mn. The bundle contained two data centres in Argentina, Brazil, Spain, Peru, and one in Chile, Mexico and the United States.
Following the sale, Telefónica continued to offer its services through Asterion’s data centres, with Asterion generating new revenues by renting out excess colocation space. It’s likely that, following the sale of the four new facilities, the same arrangement is likely to stay in place.
Spanish outlet that, while Telefónica will continue to offer its cloud, big data storage and edge computing services for its customers going forward, sustained competition from dedicated cloud providers like Amazon Web Services, Google and Microsoft has deterred the Spanish telco from “continuing to participate in a highly specialised business with little added value.”
Following the closure of the deal, it has been reported that Asterion will aggregate its own 11 data centres with the four now owned by Nabiax to create a new data centre company targeting the Spanish and Latin American markets. While Asterion-Nabiax will hold a controlling stake in the new company, Telefónica will likely hold partial ownership.
Asterion has spent the past two years expanding rapidly throughout Spain’s telecommunications and ICT market. In October of 2020, the company snapped up a series of telecom sector firms, including Axion, which provides audiovisual communication networks, transportation, hosting, and operation and maintenance services for the radio, regional television and telecommunications operators sectors.
Inside the future of Ireland’s subsea cable landscape
On Tuesday, June 15, 2021, experts from Aqua Comms, GTT, euNetworks, the IDA, and European data centre leader Interxion will take part in a virtual panel to explore the evolving relationship between subsea cabling, digital transformation, Data Gravity and the future of Ireland’s digital economy.
You can tune in to the event, which is taking place between 10:30 PM - 11:30 PM JST on Tuesday, here - or view it later on-demand. The hour-long panel will also conclude with a 20 minute Q&A session with the audience, moderated by Interxion’s Senior Director of Market Development, Mike Hollands.
The Gateway to Europe
Since the first transatlantic cable was laid in 1858, briefly connecting Newfoundland and Valentia Island in County Kerry, Ireland has served as a critical gateway for North American organisations looking to gain access to Europe.
Today, some of the largest firms in the world, like Pfizer, Janssen, Zurich, Metlife, Google and VmWare use Ireland for their European Headquarters. The combination of an English-speaking workforce (a boon made all the more important as Brexit makes the UK and the north of Ireland an increasingly complex environment that provides diminishing opportunities to access the rest of Europe), a cultural and regulatory landscape that welcomes foreign investment, and world-class connectivity makes the country an unparalleled choice for firms looking to establish a foothold in the EU.
As a result, Ireland has become one of the world’s leading data centre hubs. And, thanks to the exponential growth of Data Gravity, and the increasingly essential nature of digital infrastructure, Ireland’s role as a launchpad into Europe is only likely to grow more prominent.
The future of Ireland’s digital economy is, experts from Interxion argue, closely linked to its ability to provide connectivity between Europe and North America. The further development of the country’s subsea cable industry will form the keystone of the discussion being held on Tuesday, as experts from throughout the industry share their insights into the challenges and opportunities that face operators working towards a more connected future for Ireland.
Meet the Experts
On Tuesday, speakers from the IDA, Aqua Comms, GTT Communications, euNetworks, and Interxion will discuss key themes, including key facts about Ireland’s existing subsea infrastructure, plans for the future of the industry, the challenges that need to be overcome, the interaction between subsea and terrestrial networks, and the next steps in Ireland’s role as the gateway to Europe.
Ciarán Delaney has served as the VP of Operations and Optical Engineering at GTT since 2017. With more than 10 years worth of experience in the telecoms industry, he’s a leading expert on transatlantic connectivity, with an in-depth knowledge of both submarine and terrestrial cable systems.
Currently serving as the CEO and Director of the Board at Irish submarine cable firm Aquacomms, Nigel Bayliff has more than 30 years of experience in the telecom infrastructure market. His past roles have granted him unique perspectives gained from buying, building and running international submarine cable networks as an operator as well as developing and implementing cables as a constructor.
As the Head of Infrastructure Investment at euNetworks, Toby Williams has spent over a decade developing digital infrastructure throughout Europe, Ireland, and the UK. He has also done extensive work developing dark fibre networks, which are a key component in providing the agility and capacity necessary for operators to overcome the challenges posed by Data gravity.
The Irish Investment Development Agency (IDA) is one of the key drivers of overseas investment in the country, and is responsible for the attraction and development of foreign investment in Ireland. Shane Nolan has worked in various roles throughout the IDA for more than 18 years, and is currently serving as the organisation’s Head of Technology & Emerging Business.
Interxion: A Digital Realty Company, is one of Europe’s leading data centre operators and, as part of Digital Realty’s Platform DIGITAL, is taking a leading role in raising awareness of the threat posed by Data Gravity. Mike Hollands has served as Interxion’s Senior Director of Marketing Development & Strategy since 2017, and is a 15 year veteran of the industry. At Tuesday’s event, he will serve as moderator, guiding the discussion surrounding the evolution of Ireland’s role as a gateway to Europe and regional data centre and subsea cabling hub.