initial evaluation of opportunities in european … · economic expansion in 2010 compared to other...

INITIAL EVALUATION OF OPPORTUNITIES IN EUROPEAN MARKETS

Prepared for:

ENTERPRISE IRELAND

01_Introduction 02_Executive Summary 03_Market Information

03.01 Major Markets 03.01.01_United Kingdom 03.01.02_Germany 03.01.03_France 03.01.04_The Netherlands 03.01.05_Spain

03.02_Secondary Markets 03.02.01_Italy 03.02.02_Russia 03.02.03_Belgium & Luxembourg 03.02.04_Switzerland 03.02.05_Sweden 03.02.06_Norway 03.02.07_Denmark 03.02.08_Iceland 03.02.09_Austria

03.02.10_Hungary 03.02.11_Greece 03.02.12_Portugal

Prepared by

Nick Parfitt Nivedita Mohanty Datacenter Research Group, DCD Holdings Limited 28 Scrutton Street London EC2A 4HB Tel: +44 (0)20 7377 1907 [email protected]

Enterprise Ireland: Initial Evaluation of Opportunities in European Markets: June 2010 © DatacenterDynamics 2010. All rights reserved

01_Introduction

This Report has been prepared to assist Enterprise Ireland and its datacenter industry stakeholders to develop sales opportunities in European markets. The Report presents a profile of 17 European markets with the objective of matching potential opportunity against local client capacities to establish where the best match between the two occurs. This will then be used to develop strategies for maximizing the revenue‐generation opportunities of each opportunity: capacity match.

For each market or group of markets the report is structured around the following issues:

1. The economic context of datacenter development 2. Market size, growth trends & sectorial analysis 3. Investment activity, trends & sectorial analysis 4. Key market trends and drivers 5. Competitors and key players within each market.

The following sources of information have been used to compile this report:

• Our research database which across European markets specified includes information on 3500 end users and their facilities. This includes detailed information from 10 of the 17 markets covered in this report. Since DatacenterDynamics events attract datacenter owners and operators across national boundaries, information have been collected from include representatives from all of the markets covered in this report

• Our CRM database which holds information on c.30,000 organizations across the five markets

• The knowledge bank we have built up on each market through the development of events • Discussion with DatacenterDynamics personnel working in each market and research that

has been conducted into the Scandinavian markets in preparation for the event in that region later in the year.

Data in this report has been validated using other published sources of research data and media information and through models developed to estimate the size of datacenter markets and likely investment levels.

While every effort has been made to ensure accuracy in the collection, analysis and reporting of the data included in this research, we cannot take responsibility for decisions that may be taken wholly or in part on information contained herein. As with any analysis based wholly or in part on sample surveying, these findings may be subject to sample error whereby the information collected does not necessarily represent the views, intentions or behavior of the market population.


02_Executive Summary Note that recommendations derived from this research will be presented and discussed at the meeting in Dublin on 24th June.

GDP 2009 ($US bn)

IT Spending 2009

($US bn)

No of Racks (x 000)

Facility Growth (%)

Investment (€m or

equivalent)

Notable drivers

UK 2183 60 162 8 2300 Power consumption TCO, environmental impact, legislation

Germany 3352 90 122 2 1700 Power consumption, cooling, power costs , TCO

France 2675 65 92 15 1150 Cooling, power consumption, DC management

Netherlands 794 20 53 7 750 Power consumption, cooling, energy efficiency

Spain 2118 35 39 12 260 Energy efficiency, downtime, power consumption

Italy 1464 50 27 5 950 Downtime, power consumption, cooling

Russia 1229 18 15 12 100 Cooling, power & space shortage

Belgium & Luxembourg

470 13 24 4 320 Energy efficiency, cooling, capacity planning

Switzerland 495 15 15 8 270 Energy efficiency, cooling & DC design

Sweden 405 17 30 5 300 Energy and associated costs, facility migration

Denmark 309 12 20 10 275 High costs, meeting future demand

Norway 383 10 15 5 100 High investment and build costs, meeting future demand

Austria 382 9 20 5 75 Power consumption, cooling, space

Portugal 228 6 4 5 50 Power consumption, cooling, efficiency

Hungary 129 3 20 4 120 Power costs, credit crunch

Greece 331 4 4 3 50 Efficiency, cooling , vendor performance

Iceland 12 NA (50) () (350) Ability to attract inward investment, skills shortage


03_Market Information

03.01_Major Markets

03.01.01_United Kingdom

Economic Context

• The UK is the third largest economy in Europe after Germany and France. Despite a more protracted exposure to economic reverse, the UK is expected to have faster economic expansion in 2010 compared to other industrialized nations (OECD quoted in Financial Times)

• Reflecting this return to growth, private sector IT spending jumped 9.2 per cent from Q3 into Q4 for 2009. Public sector IT spending is projected to decline slightly as per announcements in this year’s Budget speech on the back of considerable (and sometimes controversial) investment in IT; the outlook for public sector investment will become clearer after May 6th

• The UK has the largest number of datacenters and datacenter investment activity in Europe

• If the recommendations of the Digital Britain initiative to increase connectivity on a nationwide basis are followed through the construction of large numbers of datacenters will be required

• In terms of vendor and consultant activity the UK can be considered one of the most competitive markets in Europe based on the attraction of high investment levels, its size relative to other markets, London’s status as a leading financial centre and the openness/ accessibility of the market.

Size & Scope of Facilities

• The size of the UK market continues to grow and is projected to increase further over

the next 12 to 18 months in terms of key facility measures – racks, space and power demand

• It is noticeable that while most measures have increased, the space occupied and the number of facilities is decreasing due to consolidation and virtualisation activity, and to denser server upgrades within existing facilities.

FACILITY PROFILE 2008 2009

2010 (projected)

Number of Racks 125,000 150,000 162000 Dedicated Space (m2) 800,000 750,000 NA Average Power Consumption

3.7 kW/rack 4.4 kW/rack 4.7kW/rack

Highest Power Consumption

9.3 kW/rack 11.3 kW/rack 12 kW/rack

Inlet Air Temperature 20.90 C 20.90 C NA


• Based on the number of racks, the largest sectors within the sample are finance, hosting/colo/managed facility services (which includes those provided by IT service organisations) and commercial end‐users (retail, professional, business services)

• Relative growth into 2010/11 is projected for the telecoms and IT services sectors.


Investment Activity

Going into 2010/11 overall investment in the UK datacenter sector is projected to continue the increase seen since the moderate decline brought on by the economic circumstances of two years ago. All investment avenues (new build, relocation, extension, refit and outsourcing) are expected to maintain their overall level of investment with virtualisation now representing a significant investment option.

The analysis of investment by vertical sectors indicates a similar profile to relative facility sizes with past and future investment activity strongest among financial organisations and hosting/colo/managed facility services. However, investment activity is more evenly divided between sectors than the facility profile, indicating broad opportunity across the UK market


The growth in Government datacenter investment would appear to run counter to the ‘hold’ in overall public sector IT spends. This indicates the continued criticality of datacenters to the UK public service and to the drive towards ‘e‐Government.

Market Trends & Drivers

• As across many markets, the focus of investment has shifted with the emphasis moving

from increasing IT capacity and the power required to enable this to investment strategies based on improving energy efficiency, reducing TCO, meeting increased cooling requirements and preparing for virtualization.

• Power provision, the containment of costs and total cost of ownership continue to be the highest priority for UK end users. Concerns about the ability of the Grid to deliver necessary power, the availability of suitable Real Estate particularly in the London/South East, the roll out of the Carbon Reduction Commitment and possible legislation to curb the freedoms enjoyed by the banking sector are considered the major impediment to the growth of the sector but there is little evidence to date that this is happening.

• The criticality of cooling to efficiency strategies and the success that the industry has had in at least recognising this explains why datacenter owners and operators feel more comfortable about this issue than in previous years.


Key Market Organisations

End Users:

• Royal Bank of Scotland • Zurich Group • Bank of America • Merill Lynch • Lloyds Banking Group • UBS AG • Barclays Capital • Standard Chartered Bank • Morgan Stanley • Citigroup • HSBC • Deloitte & Touche • Credit Suisse • AVIVA • JPMorgan Chase Bank • Fidelity Investments • Nottingham Building Society • Scottish life • Virgin Money • Airbus • Tesco • Royal Liver Assurance Ltd • British Telecom • T‐Mobile • Vodafone • Yahoo • PricewaterhouseCoopers • Department of Health/National Health Service • Man Investments • NYSE Euronext

Colo/ Hosted Facilities/ Managed Service:

• Interxion • Telecity • Telehouse • Interoute • T‐Systems • Tiscali • Global Switch • SunGard Availability Services LP • Capgemini Service • Equinix • HP • Node 4


• Computacenter

• EMC Corporation • Norland • Digital Realty Trust • Future Tech • E‐ shelter • IFL • Savvis • Advantage Interactive Ltd • Terremark Worldwide Inc.

Consulting Engineers/ Designers:

• HP • Unisys • Mace Technology • ARUP Consulting Group • Getronics • Logica • Balfour Beatty Engineering Services • Cundall • Red Engineering Design Ltd • CST Technology • Davis Langdon • Bruceshaw • Imtech • Arcadis • Norman Disney & Young • Turner & Townsend • Boulting Group plc • PTS Consulting

Vendors:

• APC Schneider • AF Switchgear • Rittal • Nexans • Panduit • Hitachi Data Systems • AEG Power Solutions • Comtec • IBM • Trox AITCS • Hitec • Starline • Siemens • Oracle • Tyco Electronics • Liebert Emerson Knurr • ABB


• Airedale • Chloride • Anixter • Minkels • Perle Systems • Hitec Power Corporation • Riello.


03.01.02_ Germany The Economic Context

• Germany is the largest economy in Europe and is expected to grow by more than 2% in 2010 after having contracted by 5% in 2009 according to Deutsche Bank Research. This level of growth has now however been revised downwards given Germany’s exposure to the economic problems within the Euro‐Zone.


• The considerable increase in the number of racks between 2008 and 2009 is only partly due to a broadening of the sample between those two years. Among organisations consistent between both samples there is evidence of facility growth accentuated by several years of sluggish growth in facility profile. Power consumption per rack continues to grow also, if cautiously.


2010 (projected)

Number of Racks 40,000 120,000 125,000

Dedicated Space (m2) 400,000 500,000 NA Average Power Consumption



10.6 kW/rack 9.6 kW/rack NA

Inlet Air Temperature

21� C 20.1 � C NA


• The German sample profile is balanced in both years between the finance, telecommunications and colo/hosted sectors:

Investment Activity

• Datacenter investment across all avenues – new build, refit, consolidation/ relocation and outsourcing have increased into 2009 and are projected to continue doing so into 2010 to an overall level between €1.5 and €1.8 billion


• In 2009 the major sectors in terms of investment were IT services, telecoms and finance. Going into 2010, there will increases in investment among commercial and retail organisations and the colo/hosting sector.


• The key reasons given for datacenter investment activity in the preceding 12 months include required expansion to IT capacity, required increase in power provision and increased cooling requirements, As in many other markets in 2010 efficiency and cost reduction will play a greater role.

• Power provision and power costs are of particular concern to German owners and operators while the continuing growth in IT requirements and coping with the speed of technological change are also growing pain points.


Competitors & Key Players

End Users

• Deutsche Bank

• Bayerische Landes Bank

• Eurohypo AG

• Bankhaus Metzler seel. Sohn & Co.KGaA

• Commerzbank AG

• Alte Leipziger Versicherungen

• AXA‐ Tech Germany GmbH

• Basler Securitas Versicherungs AG

• ITERGO Informationstechnolgie GmbH

• R+V Versicherung

• LBS Landesbausparkasse rheinland Pfalz

• Volksbank

• HCI Capital AG

• Kepler Equities Germany

• Versicherungskammer Bayern

• Telefonica

• Pan Dacom Networking AG

• EWE Tel GmbH

• DBD Deutsche Breitband Dienste GmbH

• DFMG Deutsche Funkturm GmbH

• Gebr. Kirchner Gmbh & Co.KG

• Albwerk Gmbh & co KG

• ArvinMeritor GmbH

• Kermi GmbH

• Linde AG

• WERNER & MERTZ GmbH

• ELTEC Service GmbH

Colo/ Hosted Facilities:

• Wusys Data Center • WiTCOM • Rackbase • MK Ketzdienste RZ FFM • Aixit 2 • Databurg • TeliaSonera International Carrier • Lamdanet Berlin • E‐shelter Berlin • Speedbone • Versatel


• Strato • Hetzner • MiVITEC • KPimos‐ RZ Stuttgart • myLOC


• Schnabel AG • proRZ Rechenzentrumsbau GmbH • Abacus Secure –IT GmbH • Detecon International GmbH • ECBS Consulting • Apfel & Waschke Datentechnik • Planunsburo Zimmermann • Junctim GmbH • ContiTech techno‐ Chemie Gmbh • GISA gmbH • Tuev Nord

Equipment Vendors:

• Schnabel • AEG • Emerson Liebert Knurr • Raritan • StulzJungmann • Sch�fer Werke • Reichle & De Massari • Opsware • Emulex • Rosenberger‐OSI GmbH & Co • Trox AICTS • Covidence GmbH • Karl Kirsch und S�hne GmbH


03.01.03_France

The Economic Context

• The Government plays a more significant role in the French economy than among other G‐7 nations owning shares in corporations across a range of sectors

• Economic recovery gained pace in the last quarter of 2009, with growth of 0.6 percent. Although the economy has moved out of recession, growth continues to be fragile and may be endangered by the current Euro‐Zone crisis.


• The French datacenter samples indicate strong facility growth into 2009 in terms of racks, space and power demand. These trends are projected to continue into 2010.

• The French datacenter sector appears to have developed a range of space‐dense facilities in the 12 months to May 2009. This is probably linked to the finding in 2008 of space under‐utilisation. This does however mean that facility build‐out is now one of the most major concerns in the French industry going forward.


2010 (projected)

Number of Racks 30,000 80,000 92,000 Dedicated Space (m2) 450,000 600,000 NA

Average Power Consumption




Inlet Air Temperature

19.7 OC 20.6 OC NA


• Telecommunications represents the largest single set of facilities in the French sample followed by IT services, finance and colo/hosting. This profile will remain into 2010

Investment Activity

• The total value of investment on datacenters owned and operated by the Paris sample in the 12 months to April 2009 was in the region of €830 million with a strong projected increase through the current year to investment levels in the region of €1150 million

• The major category of investment in the period of research is new build, followed by refit, consolidation and outsourcing. Levels of new build investment appear consistent year on year; strong growth in refit appears partly prompted by gaps in ‘suitability for purpose’ in new build development identified in previous research. In recent years part of the growth has been the preparation for virtualisation:

Enterprise Ireland: Initial Evaluation of Opportunities in European Markets: June 2010

© DatacenterDynamics 2010. All rights reserved

• In both 2009 and projected into 2010, the share of investment is fairly evenly divided between different verticals – IT services, telecoms, finance, colo/hosting and Government.


• The key unprompted concerns expressed by the French owner and operator sample in 2009 include the cooling of higher densities, power consumption, datacenter management, and the threat of downtime, the total cost of ownership (including power costs), power consumption and shortage of space

• Since 2007, there has been a considerable increase in all of these major areas of concern. Concerns about datacenter management and space shortage are more recent, although they are unsurprising given the higher space density that has emerged over the past 12 months.

• The key reasons given for datacenter investment activity in the preceding 12 months include required expansion to capacity, the power provision for that, and increased efficiency and cooling requirements. These reasons will be supplemented into 2010 with factors of running out of space and cost reduction/containment. The need to prepare for virtualization has increased strongly since 2008:



Key Data Centre end users:

• ARKEMA

• Banque Populaire/Natexis

• Natixis

• MAIF

• Banque de France

• COFIDIS

• Credit Agricole

• Cetelem

• NavLink

• La Banque Postale

• Credit Immobilier de France

• Albireo

• Rothschild

• Banque Martin Morel

• SFR NEUF CEGETEL

• Nortel Networks

• Bouygues Telecom

• France T�l�com Group

• BT Radianz

• SFR

• Aeroport de France

• Air France

• EDF

• Atos Origin

• Capgemini

Key Colos & Telcos

• Claranet Faubourg Elys�es

• MDC VeePee

• Iliad‐ Entreprises VTY

• Savehouse Montreuil

• COLT

• Neuf Courbevoie

• Equinix

• Interxion

• Cogent

• Interoute

• TelecityGroup

• Level 3


• Global Switch

• Telehouse

• ADC

• AdValem

• Neuf

• Cogent Schiltigheim

• FranceTelecom

• Altitude VDR

• Maxnod

• THDGlobal

Design Engineers/ Consultants:

• HP France

• Apis Engineering

• COFELY Services GDF Suez

• Critical Building Consulting

• BL International Consultant

• Norman Disney & Young

• Havas

• Akka Technologies

Equipment Vendors:

• APC Schneider

• Eaton

• Emerson Liebert Knurr

• Legrand

• Lennox

• Piller

• Schroff

• Conteg

• Corning

• Siemens

• Huber & Suhner

• GEA Happel

• Chloride

• Extreme Networks

• Valeo France

• Socomec UPS

• Wabco

• Niscayah

• Somfy


03.01.04_The Netherlands


• According to the Dutch Bureau for Economic Policy, economic growth in 2010 is likely to be 1.5 percent

• As Europe’s second largest exporter, the Netherlands benefits from economic growth in the rest of the world. Having fallen in 2009 to 2005 levels, international trade and global industrial production are reviving gradually.


• The samples of Netherlands datacenter owners and operators indicate a market where the number of racks and dedicated space has remained consistent since 2007 and is projected to increase slightly into 2010. Power demand per rack is also consistent year on year.


2010 (projected)

Number of Racks 50,000 50,000 53,000 Dedicated Space (m2) 250,000 250,000 NA

Average Power Consumption


Maximum Power Consumption


Inlet Air Temperature 21.3 OC 21.4 OC NA

• The financial, telecommunications and colo/hosting sectors account for the highest number of racks in 2009 and this is projected to continue into 2010:


Investment Activity

• The total value of investment on datacenters owned and operated by the Amsterdam sample in the 12 months to November 2009 was in the region of €700‐€750 million with an increase projected through the 2009/10 year to investment levels in the region of €750‐€800 million. This represents a strong increase over 2006‐8 investment levels:

• In 2008‐9 the highest proportion of investment is accounted for by the telecoms, colo/hosted and Government sectors. Into 2010 the proportion of investment accunted for the finance, utility sectors will increase.



• The key unprompted concerns expressed by the owner and operator sample in 2009 include power consumption, cooling higher densities, energy efficiency and availability.

• The key reasons given for datacenter investment activity in the preceding 12 months include end of facility lifespan, increased cooling requirements and cost reduction/containment.

• Going into 2010, most priorities appear to have increased in importance, in particular those for energy efficiency, cooling needs, cost reduction/containment and power provision:


Key Data Centre end users:

• ABN Amro Bank

• Fortis Bank

• Rabobank Nederland

• Nortel Networks

• Atos Origin

• DAF Trucks

• KPN

• XS4ALL Internet bv

• DTO

• FedEx

• ING Bank

• Orange

• Phillips IT

• SNS Bank

• TNT Post

• SWIFT

• VTS Politie Nederland NW


• Interxion • Telecity • EvoSwitch • NIKHEF • Versatel Gyroscoopweg • SARA Computing & Network Services • Capgemini • Citadel • Global Crossing Joop


• KPN Cybercenter • Intradesk Data Center • GrafiX Capellea/d Ijssel • ICT Room • Trammell Crow Nederland • COLT Telecom


• Koning & Hartman • Green Server Room • Royal Haskoning • Apac Group • Cofely GDF Suez • Ordina Technical Automation • Isolectra • Deerns • Arcadis • C‐IT • Compertius • Thale • 2e2 • Scheelen • Struckton

Equipment Vendors:

• APC by Schneider Electric • Emerson Liebert Knurr • Tyco Electronics • Daetwyler Cables • Panduit • QHI Group • Adder Technology • Net App, Inc • Active Power • Rosenberger • Lindner • Newave • Socomec UPS • Ecoserver


03.01.05_Spain


• GDP is anticipated to contract over 2010, making Spain one of the last European economies to come out of recession. Struggling to recover because of continued crisis in the housing sector, high unemployment and excessive private‐sector debt. There are strong fears at the time of writing that the Spanish economy although the fifth largest of the markets studied here may require assistance from other member states in the Euro Zone to meet debt repayments.


• The number of racks in the Madrid samples has more than tripled since 2008 ‐ this can be attributed both to a 50% increase in the owner/operator sample and the growth in facilities among the sample consistent across both years. The average and averaged maximum power consumption and the inlet air temperature have increased slightly since 2008 and both racks and power demand are projected to do into 2010:


2010 (projected)

Number of Racks 10,000 35,000 39,000 Dedicated Space (m2) 100,000 150,000 NA Average Power Consumption




Inlet Air Temperature 21.90C 22.40C NA


• The financial sector followed by telecoms and colo/hosting services account for the highest number of racks in 2009 and this situation will continue into 2010:

Investment Activity

• The total value of investment on datacenters owned and operated by the Madrid sample in the 12 months to June 2009 was in the region of €300 million with a projected decline through the current year to investment levels in the region of €260 million

• There is a clear investment trend in the Spanish sample away from new build, which indicates a year on year decline towards refit, relocation and outsourcing activity. Part of this growth has been the preparation for virtualisation


• In both 2008/9 and projected into 2009/2010 the highest proportion of investment is accounted for by the financial, telecoms, Government and colo/hosting sectors.


• The key reasons given for datacenter investment activity in the preceding 12 months include required expansion to capacity, the increased power provision for that, and the end of facility lifespan. The reasons for investment over the next 12 months represent a sea change from those of the previous 12 months – improving energy efficiency, increasing redundancy; improvements to cooling and cost containment/reduction will be key going into 2010. Investment required to prepare for virtualization has also increased strongly since 2008.

• The key unprompted concerns expressed by the owner and operator sample in 2009 include energy efficiency, downtime, power consumption, the cooling of higher densities, security issues and increasing IT demands.



End Users:

• Bankinter • Unicaja • Banco Popular • Banco de Espano • BANCAJA • Caixa Terrassa • Caixa Galicia • Banco Popular Espanol, S.A. • Banco Sabadell • Canal • Caixa Ontinyent • Infocaja • Rural Servicios Informaticos • Cajasol • Banesto.DPRO. Technologia Aplicada • Grupo CESCE • Caja Cantabria • Caixa Tarragona • Susquehanna International Group, LLP • Jazztel • Telefonica • Tele2 • R Cable y Telecomunicaciones de Galicia, SA • Ministerio de Admiinistraciones Publicas • Ministerio de Industria Turismo y Comercio


• Eurociber • NAP de las Americas Madrid • Telvent • Global Switch • Iberbanda Madrid • Nexica • Centro de Datos • ONO • Digital Parks • DC ICM • NIXVAL • Interoute • Interxion



• ARUP Consulting Group • Deerns • ENTEL IT Consulting S.A.

Equipment Vendors:

• ARX

• Hitec

• ADC Krone

• APC by Schneider Electric

• Bosch Spain

• Rittal

• Eaton

• Emerson Liebert Knurr

• Avocent

• Stulz

• Chloride

• Corning Inc


03.02_Secondary Markets

03.02.01_Italy


• Italy divides into a developed industrial north dominated by large private companies and which is home to six of the world's hundred biggest companies (Eni, Assicurazioni Generali, Fiat, UniCredit, ENEL and Telecom Italia) and a more agricultural, state‐assisted southern region

• According to Standard & Poor’s Italy’s economy is expected to grow 0.5% in 2010.The predicted growth will rise to 1.0% next year but will be half the Euro‐zone average

• Italy is the largest European datacenter market outside those markets defined as ‘Tier 1’ (UK, Germany, France, Netherlands and Spain).


• As at April 2009 the Milan sample of Italian datacenter owners, operators and outsourcers were responsible for around 25,000 racks occupying around 100,000 square metres of dedicated space. While the market is based on substantially smaller portfolios than Tier 1 markets (38% operate portfolios of 50 racks or fewer), the sample indicates a market larger than Spain was in 2008 and equivalent to France in 2007.

• In terms of broad facility profile, Italian facilities are operating at a slightly higher kW/rack than the Western European average (for both the average across facilities and for maximum power demands as well). Going into 2010 the increased adoption of blade and high density servers will result in rises in averaged and maximum power consumption.

FACILITY PROFILE 2009

2010 (projected)

Number of Racks 25,000 26,500 Dedicated Space (m2) 100,000 100,000 Average Power Consumption

4.6 kW/rack 4.8kW/rack


10.4 kW/rack 11.4W/rack

Inlet Air Temperature 21.60C NA


http://en.wikipedia.org/wiki/Eni

http://en.wikipedia.org/wiki/Assicurazioni_Generali

http://en.wikipedia.org/wiki/Assicurazioni_Generali

• There is a balance in facility operation based on racks between different verticals. The largest proportions of the market in terms of numbers of racks are accounted for by the IT and telecommunications sectors followed by colo/hosting facilities. Going into 2010, the proportions between different verticals will remain similar.

Investment Activity • The sample indicates a consistent level of investment among the Milan sample from €865 million

in the 12 months to April 2009 to investment levels in the region of €950 in the 12 months to April 2010. New build is attracting the higher proportion of investment showing a rise into 2010 along with a doubling of the investment in virtualization associated activities.


• IT services and telecoms combined have the biggest share of total investment followed by colo/ hosting facilities. Into 2010, the share of investment represented by IT services falls markedly and that of industrial/utility and Government rise into 2010 but from low initial levels.


• Investment drivers for the 12 months into April 2009 includes required expansion to IT capacity, the power provision for that, and increasing redundancy requirements. Going into 2010 these drivers are supplemented by key drivers of improved efficiency, the need to refresh cooling, cost containment and preparation for virtualization. The sample in Italy indicate a strong disposition to increase both average and maximum power consumption, to continue to introduce blades at a high rate and their concern about losing availability is based on the increased possibility of ‘hot spots’ within their facilities as a result of increasing densities.

• Broader concerns expressed by the owner and operator sample include the threat of downtime, increasing facility power consumption, the cooling of higher densities, total cost of ownership and the need for greater energy efficiency. In comparison to the overall Western Europe results of 2009, Italy shows a greater degree of concern about power consumption, downtime and to a lesser extent power shortage as well.


Key Market Organisations

End Users:

• San Paolo IMI Bank • Intesa San Paolo • Poste Italiane SpA • UniCreditBank • Banca D’Italia • Banco Popolare • Stefanel • SMA Supermercati • Sogei • FIAT • Ferrari • Almaviva • Delta Tre Informatica • Pirelli


• Cedacri • Cineca • Acantho • Tiscali • CSI Piemonte • H3G Telecomunicazioni • Infracom Italia • Aruba SpA • ITGate Torino PdF • Telnet


• DBA Progetti SpA • Manens Intertecnica • NPO Sistemi • Perucci Engineering • Atel Sesti SpA • Lombardini 22

Equipment Vendors:

• Riello UPS • Liebert Hiros SpA • Vem Sistemi • Siel UPS


03.02.02_Russia


• The IMF indicates that Russia has embarked on moderate recovery with growth expected to reach 3.5% in 2010

• IT spending in Russia 2009 was around 443 billion RUB ($17.8 billion). From the end of 2008 to the end of 2013, IT spending will grow 7.1% a year to meet the growing needs of companies especially those in the natural resources, financial, and telecommunications sectors [IDC].


• The sample of organisations at DatacenterDynamics Moscow 2009 own and/or operate around 5,000 racks occupying around 30,000 square metres of dedicated space. These are the youngest facilities in Europe ‐ almost two‐thirds of organisations have at least one facility under one year old. The average power consumption is 4.7kW/rack and the averaged maximum at 11.8kW/rack. Both these figures are higher than the European average. Both the number of racks and average power consumption are projected to increase strongly:


2010 (projected)

Number of Racks 15000 5600 Dedicated Space (m2) 50,000 NA Average Power Consumption

4.7 kW/rack 5.9kW/rack


11.8kW/rack NA

Inlet Air Temperature 20.60C NA


• In percentage terms colo/ hosted account for the highest number of racks followed by finance and telecoms. This is projected to continue into 2010:

Investment Activity

• The total value of investment on data centers owned and operated by the Moscow sample projected to increase through the current year to investment levels in the region of RUB 3.5 billion (c. $130 million). Going into 2010 a fall in investment level for new build is more than offset by the increase in the amount to be invested on relocation:


• Going into 2010 colo/hosting organisations account for the highest proportion of investment :


• The Russian sample is far more likely than the European average to express any concern about the operation of their datacenter particularly on issues of power availability and, cooling high densities. Both of these are mentioned by over half the sample

• The key reasons given for data center investment activity in the preceding 12 months include required expansion to capacity, preparation for virtualization, increased cooling requirement and increased power provision. These reasons will be supplemented into 2010 with the need to reduce costs and to increase energy efficiency.


Key Players in the Market

End Users:

• Dexia Bank • VTB Bank • Sberbank • Bank of Moscow • Uralsib • Rosbank • Ingosstrakh • RTS • Moscow Industrial Bank • International Bank of St.Petersburg • Russ Invest • Cetelem • Renaissance Capital • MDM Bank • Moscow Bank of Reconstruction and Development • Nomos Bank • Petrocommerce Bank • Spasskiye Vorota Insurance Company • Transkapitalbank • Gorodskoy Ipotechniy Bank • Datadome • Quoros Holding • TransTelecom Company CISC • Vimpelcom • Rostelecom • Moscow City Telephone Network • Uralsvyazinform • Sibirtelecom • Informsvyaz • Verysell Project • Borodino Telecom • Novolipetsk Steel • Severstal


• HOSTKEY • G‐system • Moscow M9 • CSS MPS • Linxtelecom



• Saturn • Mercury Engineering

Equipment Vendors:

• Zycko • Zeppelin Power Systems • Tripp Lite • Eltek Valere • Lampertz • Weiss Klimatechnik • Knuerr • M+W Group


03.02.03_Belgium & Luxembourg


• Belgium is the sixth‐largest economy in the Eurozone; the Federal Planning Bureau’s 2010 economic growth projection is 1.4% for Belgium

• According to Eurostats real GDP growth for Luxembourg should vary between 2% to 2.5% from 2010 to 2011. It has a highly competitive financial services sector representing more than 85% of the national economy

• According to IDC IT spending in 2009 around 9 billion EUR ($12.6 billion) for Belgium and Luxembourg combined. From the end of 2008 to the end of 2013, IT spending will grow at 2.4% a year.


• The 2010 Brussels/Luxembourg sample operate around 24,000 racks in a space of around 100,000 square metres. Average power consumption is lower than the European average. There is projected to be a slight increase in both the number of racks being built and a more considerable increase to power consumption (to around 3.4 kW/rack):


Number of Racks 24,000 Dedicated Space (m2) 106,000 Average Power Consumption 2.9kW/rack Highest Power Consumption 11.6kW/rack Inlet Air Temperature 20.60C


• Based on the information provided by the sample of end users who attended the Brussels event the highest number of racks is accounted for by colo/hosting services providers followed by the telecoms sector:

Investment Activity

• The total value of investment on datacenters owned and operated by the Brussels sample in the 12 months to June 2010 was in the region of €290million with a projected rise through the current year to investment levels in the region of €320 million:

Enterprise Ireland: Initial Evaluation of Opportunities in European Markets: June 2010

© DatacenterDynamics 2010. All rights reserved

• The majority of investment in the years back and forwards from June 2010 is accounted for by the telecoms sector. There is evidence of substantial investment made by the healthcare sector in the 12 months to June 2010 which drops back going into 2011.


• The concerns expressed by the Brussels sample focus on energy efficiency and power consumption followed by cooling and temperature monitoring. Some also expressed their concerns pertaining to capacity planning and the building of green datacenters and the need to drive greater efficiency and reduce or contain costs continues as the major drivers of investment.



End Users:

• COLT Telecom • KBC • COFIDIS • SWIFT • Allianz • Isabel • National Bank of Belgium • BNP Paribas Fortis • Belgacom • Telindus Belgacom ICT • Ericsson • Siemens • Punch International • ArcelorMittal • IBTI • Jean Schmit Engineering S.a.r.l. • P & T Luxembourg • Dunlop Tyres Europe • CFL


• COLT • BELNET • Interxion • Interoute • LCL • Level 3 • Verizon • AXS Datahouse • KPN • LCL • DCoostkamp • Hostbasket • BCE Broadcasting Center Europe • Resilience Data Center • E‐Business & Resilience Centre • Root • European Data Hub • Data Center Cloche D’Or • Visual Online • Luxconnect Data Center



• ATS Automation • Cebeo • Ingenium • DLB Associates Consulting Engineers P.C. • Arcadis • Trasys • Bel V • Secure IT Luxembourg • Dimension Data

Equipment Vendors:

• Conteg • ATEN Technology Inc. • Bergvik Flooring • Euro Diesel • Star‐ Apic • Opnet Technologies • Bull • CE+T • Flex‐ip • IMC Networks • Carrier Belgium N.V.


03.02.04_ Switzerland


• Swiss GDP grew 0.7% in Q4 of 2009; The Swiss National Bank’s growth forecast for 2010 is 1.5%

• According to IDC IT spending in 2009 about 16 billion CHF ($15.2 billion). From the end of 2008 to the end of 2013, IT spending will grow 2.3% a year

• Growth in the IT market will drive the creation of more than 700 new businesses between now and the end of 2013 most of which will be small and locally owned organizations

Facility Scope & Size

• The 2010 Swiss sample operate around 15,000 racks in a space of around 75,000 square metres. Average power consumption is lower than the European average. There is projected to be an increase in both the number of racks being built (to around 17,000) and in power consumption (to around 3.3 kW/rack):


Number of Racks 15000 Dedicated Space (m2) 75000 Average Power Consumption 3.1 Highest Power Consumption 11.2 Inlet Air Temperature

22.8


• The highest number of racks is accounted for by IT services followed by the financial and colo/hosting sectors. This profile is projected to continue into 2011:


Investment Activity

• The total value of investment on datacenters owned and operated by the Zurich sample in the 12 months to May 2010 was in the region of €80 million with a substantial rise through the current year to investment levels in the region of €270 million, based largely on a program of new build.


• In terms of investment over the past 12 months the highest proportion is accounted for by colo/hosting companies – over the next 12 months the highest proportion will be accounted for by IT service organisations.


• The concerns expressed by the Zurich sample focus on energy efficiency and power usage followed by cooling and temperature monitoring. Some also expressed their concerns pertaining to capacity planning, building of green datacenters, IT infrastructure & design and IT security



End users:

• Zurich Group

• Swiss Re

• AXA

• CSS

• Basler Securitas Versicherungs AG

• UBS AG

• Raifeisen

• HDI Gerling

• Z�rcher Kantonalbank

• Suisse

• SIX

• Swiss National Bank

• Swiss Life

• Julius B�r

• Bank Sarasin

• Halsana Versicherungen

• SNB

• Swisscom

• W�RTH

• Alstom

• Xstrata plc

• Alfa Laval Inc

• Bobst

Design Engineers/ Consultants:

• Boess + Partner AG

• Datacenter Coaching

• Amstein + Walthert

• Divtech GmbH

• Weyer and Partner

• GlassHouse Technologies. Inc.

• Axeba AG

• Itecor

• Olor

• EAG

• Eicher Pauli

• Derungs Architekten AG


Key Colocation/ Hosted/ Managed Services Providers

• Colozüri.ch AG • Layer One AG • ICT‐Center AG • Equinix • Interxion • Interoute • green.ch(3) • Safe Host SA • ColoBâle AG • bâldata Telehouse

Vendors

• APC by Schneider Electric • Emerson Liebert Knurr • Siemens • Tyco • Rittal • Walter Meier • RDM • Jaeggi • Minkels.


http://www.datacentermap.com/company/colozuri-ch.html

http://www.datacentermap.com/company/layer-one.html

http://www.datacentermap.com/company/ict-center.html

http://www.datacentermap.com/company/interxion.html

http://www.datacentermap.com/company/interoute-communications.html

http://www.datacentermap.com/company/greench.html

http://www.datacentermap.com/company/safe-host.html

http://www.datacentermap.com/company/colobale.html

03.02.05_Sweden


• Sweden tops the list of ten most “innovation driven countries’’ as per a study by London Business School. It also tops the rankings of The Global Information Technology Report 2009‐2010 for Internet adoption

• Government economic growth is forecast at 2.5% in 2010 with the economy expected to grow by 3.9 percent in 2011

• According to IDC IT spending in 2009 was about 111 billion SEK ($16.8 billion). From the end of 2008 to the end of 2013, IT spending is projected to grow at 3.0% a year.


• Sweden accounts for around half the racks in Scandinavia, an estimated 25,000 to 30,000. Where information is available it indicates that the metrics of average and maximum power consumption stand around the European average

• Datacenter growth is expected to be higher than broader ICT growth at around 5% although it should be noted that Sweden is pursuing an aggressive inward investment strategy and this will contribute to a higher rate of growth and a number of relatively large projects are due for completion over the next 12 months.

FACILITY PROFILE 2010 Number of Racks 30,000 Dedicated Space (m2) 100,000 Average Power Consumption

3.3 kW/rack


10.1 kW/rack


Investment Activity

• Based on calculations from the number of racks, reports from major datacenter suppliers and of major projects it can be calculated that the investment value of the Swedish datacenter market is in the range €250 to €300 million.

• Facility and investment profiles indicate the major sectors to be finance, Government, colo/hosting and telecommunications.


• The major concerns in the Swedish data center market are to reducing energy and associated costs and the migration of older legacy infrastructure.

• While Sweden enjoys the advantage of natural and renewable energy sources the high capital costs of utilising them in datacenter development are also of concern.

• There appears also to be problems associated with space and the attempts to convert disused industrial buildings into ICT facilities.

• The point of development of the Swedish datacenter market into maturity indicates a continued strong dependence on hosted and colo facilities which are in relatively short supply and in common with the other Scandinavian countries some of the highest colo prices in Europe.



End Users:

• Skandinaviska Enskilda Banken

• Handelsbanken

• NASDAQ OMX Stockholm

• IKEA

• Hennes & Mauritz

• Atlas Copco

• Tele2

• ISA

• Electrolux

• Astra Zeneca

• Ericsson

• Scania IT

• Hennes & Mauritz

• SSAB

• SEB

• Bahnof(ISP)

• Handelsbanken

• Gambro

• Apoteket

• IBM

Key Colocation/ Hosted/ Managed Services Providers:

• STOKAB • Interxion • Interoute • Telecity Group • Telia • Verizon Communications Inc. • Pionen • IP‐Only Malmö Limhamn • Fortlax IT AB • Sungard

• Phonera

• Berget Boras

Design Engineers / Consultants:

• Unisys • Coromatic AB • ENACO



http://www.datacentermap.com/company/telecity-group.html

http://www.datacentermap.com/sweden/stockholm/telia-haninge.html

http://www.datacentermap.com/company/verizon-communications.html

http://www.datacentermap.com/sweden/stockholm/pionen.html

http://www.datacentermap.com/company/fortlax-it-ab.html

http://www.datacentermap.com/company/phonera.html

http://www.datacentermap.com/sweden/boras/berget-boras.html

Equipment Vendors:

• Rittal • Panduit • Konica Minolta Business Solutions • Bergvik Flooring • Fujitsu • Hitachi Data Systems • Schneider Electric • Bergvik Flooring • Sun Microsystems • Eaton • HP


03.02.06_Denmark


• Danske Bank predicts economic growth in 2010 for Denmark to be around 1.3% • It is placed third in the rankings of The Global Information Technology Report 2009‐2010,

released by the World Economic Forum in terms of uptake of technology

• It is ranked highest in the world for the proportion of its population who are broadband subscribers per thousand inhabitants and third in the world for the availability of information technology skills (The World Competitiveness Yearbook, IMD 2009)

• According to IDC, IT spending in 2009 was around 60 billion DKK ($11.6 billion). From the end of 2008 to the end of 2013, IT spending will grow at a rate of 2.3% a year.


• Denmark accounts for 20,000 racks, around one‐third of the racks in Scandinavia. Where information is available it indicates that the metrics of average and maximum power consumption stand around the European average

• Datacenter growth is expected to be higher than broader ICT growth at around 10% per annum as the country acts as a significant communications hub for Northern Europe and to cope with the high technological demands of its businesses and population and as the process of consolidating a high number of smaller facilities continues. One estimate suggests that the floor space requirement in Denmark will double by 2013.


3.4 kW/rack


10.6 kW/rack

• 80% of Denmark’s datacenter capacity is private and 20% public sector with an estimated 12% as hosted/colo facilities. The private sector is spilt between telecoms, IT services and commercial organisations.

Investment Activity

• Strong projected growth in Denmark indicates that investment levels will be equivalent to those of larger datacenter markets and spread across all investment avenues ‐ new build, refit, consolidation/relocation and outsourcing activities. The rate of growth from 2009 to 2011 is more muted than some estimates would suggest due to the recent completion of major projects in Denmark. Based on calculations from the number of racks, reports from major datacenter suppliers and of major projects it can be calculated that the investment value of the Danish datacenter market is in the range €250 to €300 million.


• Facility and investment profiles indicate a particular push for collocation and hosting facilities. This is based partly on the demand: supply imbalance in this sector which has led to the highest average costs per rack in Europe, and also by the highest costs of datacenter construction in Europe.


• Qualitative comment indicates that costs and the inability to meet demand represent the most major areas of concern to Danish datacenter owners and operators. While sustainability and associated operational costs is indicated as an issue capital costs appear higher than the European average.

• The confidence on the sustainability issue is based in part on the high proportion of generation accounted for by carbon ‐free electricity (20% wind now, growing to 30% by 2015). Some areas in Denmark would enable a datacenter to use 100% C‐free electricity and free cooling.



Key End users:

• Topnordic

• Alectia A/S

• Duelco A/S

• CSC

• Moeskjaer International

• Dansk Computer Center

• Dampskibsselskabet Norden

• Azelia

• Atea Sverige AB

• ITEK


• Interxion

• Fuzion

• Jay.net Smedeland

• Nianet

• Global Connect

• Siminn Hostingcenter

• DIX

• Telia

• Netgroup Datacenter

• house4iT Hosting

• ScanNet

• WWI

• Hostingcenter

• HostNordic Datacenter

• NMNET

• Datacenter Skanderborg

• DanDomain

• DLX.DK

Engineering Consulting

• Unisys

Equipment Vendors

• Huber & Suhner

• Schneider Electric

• Atek Infrastructure Aps


03.02.07_Norway


• Norway has a far more primary profile than other Scandinavian economies. It is the world’s sixth‐largest oil exporter. Excluding gas and shipping, Norway’s economy is expected to grow by 2.8 percent in 2010 year and 3.2 percent in 2011, according to the OECD

• IT spending in 2009 will be 54 billion NOK ($9.5 billion). From the end of 2008 to the end of 2013, IT spending will grow 3.4% a year [IDC].


• Norway accounts for around 10,000 racks, around one‐sixth of the racks in Scandinavia. Based on a small sample of facilities, the metrics of average and maximum power consumption stand slightly lower than the European average

• Datacenter growth is expected to be moderate, in line with overall ICT spending growth and linked to a small number of schemes undertaken by universities, Government and primary producers.


2.1 kW/rack


7.6 kW/rack


Investment Activity

• Investment levels in Norway can be calculated as in the range €75 to €100 million. Much of this investment can be linked to specific projects (such as those being undertaken by the University of Oslo and Local Host)

• The low average power consumption suggests that the refit of current facilities in order to increase its IT capacity is also an investment priority in Norway.


• As elsewhere in Scandinavia concerns are based on the high investment and build costs and on the inability of low demand facilities to meet future demand. Again, sustainability and power‐derived operational costs is indicated as an issue of capital cost as datacenter owners and operators seek to capitalise upon the availability of renewable (hydro‐) energy sources. This level of capital investment is in part based on the premise of inward interest in Norwegian facilities.



Key End users:

• SWECO NORGE AS

• Tandberg Data

• Remtech

• Capitol Places

• Norwegian National Bank

• TDC

• NSA AS

• Institute of Theoretical Astrophysics


• DigiPlex Norway AS • TeliaSonera International Carrier • Verizon Communications Inc. • SSC Networks Norge AS • Gigahost • ITsjefen AS • Enitel • Telenor • Nethome DataCenter • Local Host

Equipment Vendors:

• Rittal

• Eaton


http://www.datacentermap.com/company/digiplex-norway.html

http://www.datacentermap.com/company/verizon-communications.html

http://www.datacentermap.com/company/itsjefen-as.html

03.02.08_Iceland


• Iceland has been plunged into an acute financial crisis and shrinking domestic demand as a result of the collapse of its banking sector and the demand for compensation from a number of the countries affected by this (principally the UK). The economic outlook continues to be bleak as the economy is forecast to contract further through 2010 and 2011

• Of all the markets studied in this report, Iceland has the smallest population, the smallest GDP and is the most remote.

• Datacenters are seen as one means of generating income into Iceland based on the availability of free cooling throughout the year, the presence of renewable energy sources ( geothermal and hydro) and power cheaper than many European countries and Iceland’s nodal position on trans‐Atlantic undersea fibre optic cabling routes.


• Aside from a cluster of small datacenters associated with the damaged local finance industry and with Government, Iceland’s facilities depend upon inward investment from colo (Verne) and hosting (Thor) facilities. While between them these two facilities may account on completion for around 50,000 square metres of space and up to 50 mW of power demand, initial build out will be much less extensive and based on modular and scalable design principles in order to match demand. Further development may arise from the successful applications of software company Greenstone to build datacenters in Iceland.

Investment Activity

• As the facility details above would indicate the investment value of the Icelandic datacenter market will be progressive. The overall projected value of the projects described above may be as high as €350 million although the exact figures will depend on the speed of roll‐out.


• Concerns about Iceland’s datacenter industry are focused largely on its capability of attracting inward investment. Such concerns include:

o Vulnerability to volcanic activity, in particular any interruption to the undersea cables which connect Icelandic datacenters to their overseas clients

o Scarcity of skilled labour given the remoteness of the location and the mission critical nature of the datacenter.


http://www.thewhir.com/web-hosting-news/012510_QA_Lisa_Rhodes_Verne_Global

http://www.thewhir.com/web-hosting-news/012510_QA_Lisa_Rhodes_Verne_Global



• Verne Global

• Thor DataCenter

End Users & Vendors:

• Municipality of Skagafjordur

• Enterprise Ireland

• Hitastyring hf

• Farice


03.02.09_Austria


• The Austrian National Bank predicts economic growth of 1.2% in 2010 and 1.6% growth for 2011

• IT spending in 2009 was about 6.4 billion EUR. From the end of 2008 to the end of 2013, IT spending is predicted to grow 3% a year [IDC].


• Austria accounts for around 20,000 racks and 75,000 meters of dedicated space where both average and maximum consumption figures are in line with European averages. Expansion will be moderate at around 5% into 2011.


Number of Racks 20,000 Dedicated Space (m2) 75,000 Average Power Consumption

4.3 kW/rack


11.6 kW/rack

• The Austrian market is relatively mature which means it is balanced between different

verticals‐ finance, industrial, commercial, telecoms, IT services and the colo/hosted services sectors.


Investment Activity

• The levels of investment in the Austrian datacenter market will probably remain steady at around €75 million into 2010. Qualitative input suggests that this will be balanced between different investment avenues.


• Responses indicate that the major investment drivers in Austria are the need to reduce power consumption, the cooling of higher density racks and space utilisation.



Key End users:

• Strabag property and Facility Services

• Boehringer Ingelheim

• Kraft Foods

• KPMG

• Falconstor

• Citrix Systems

• Baxter BioScience

• NetGear

• Hitachi Data Systems

• Infineon • Nortel Networks

• Microsoft • Tele2

• Suzuki International Europe GmbH • T‐Mobile

• Fluke Networks • Orange

• Hilti • Magirus

• Sandoz • Allied Telesis Austria GmbH

• Unicreditbank • Technische Universitaet Graz

• Voestalpine AG

• SPAR Osterreichische Warenhandels AG

• MAN Nutzfahrzeuge

• Alfa Laval Inc.

• OeNB

• Wustenrot Datenservice GmbH


• Interxion

• Interoute Communications Ltd

• TeliaSonera International Carrier

• Raiffeisen Informatik GmbH

• ÖBB Telekom Service GmbH

• ANEXIA Klagenfurt



http://www.datacentermap.com/company/interoute-communications.html

http://www.datacentermap.com/company/teliasonera.html

http://www.datacentermap.com/company/raiffeisen-informatik-gmbh.html

http://www.datacentermap.com/company/obbtel.html

Engineering Consultants:

• Brain Force • VTU

Equipment Vendors:

• NetGear • Hitachi Data Systems • IBM • Tele2 • T‐ Systems • Brain Force • Aperture Technologies • Suzuki International Europe GmbH • T‐Mobile • Fluke Networks • Alcatel‐ Lucent

• M+ W Group • Schneider Electric

• Wagner • ACP IT Solutions AGs


03.02.10_Hungary


• According to European Commission, Hungary’s economy is expected to stabilize and return to positive growth in 2010 after having contracted by 6.5% in 2009

• IT spending in 2009 will be 558 billion HUF ($3.2 billion). From the end of 2008 to the end of 2013, IT spending will grow 2.9% a year [IDC]

• Hungary has had some success in attracting IT and telecoms organisations to set up their R&D activities with attendant ICT facilities.


• Hungary is a substantial datacenter market with around a dozen major datacenters and overall around 80,000 meters of dedicated space. The size of the Hungarian datacenter market is ‘inflated’ by the presence of the largest data center in central Europe operated by Dataplex/Magyar Telekom and measuring 14,000 square meters in area

• Based on data provided by attendees at DatacenterDynamics conferences, both average and maximum consumption figures are in line with European averages.

FACILITY PROFILE 2010 (estimated)


3.1 kW/rack


8.9 kW/rack

• The main verticals in the datacenter industry are, in common with other nascent datacenter markets, hosting/telecoms, colo, IT services and, to a lesser extent here, finance.


Investment Activity

• The levels of investment in the Hungarian datacenter market will probably decline into 2010 as 2009 data includes investment in the extension of the Dataplex facility and as the impact of recession kicks into datacenter investment. It is likely that investment in outsourcing will continue to increase.


• Responses indicate that along with concerns about uptime, power consumption, cooling and efficiency, Hungarian datacenter owners and operators are concerned about the fallout from recession on both capital availability and operating costs.


Competitors & Key Players Key End users;

• Matav (Magyar Tavkozlesi Rt.)

• Digitel

• FHB

• Magyar Posta

• Konzumbank in Banking

• T‐ Online (Magyar Telekom)

• HP‐Compaq

• Nokia

• Siemens

• Ericsson


• ProServer Ltd.

• Dataplex/ Magyar Telekom

• Invitel

• SAP

• Interware Zrt

• Dataneum


http://www.transnationale.org/companies/matav_magyar_tavkozlesi.php

http://www.transnationale.org/companies/digitel.php

http://www.datacentermap.com/company/enternet-invest-holding.html

03.02.11_Portugal


• Growth in the Portuguese economy is sluggish ‐ according to the Bank of Portugal the economy will expand 0.4% in 2010 and 0.8% in 2011. Portugal is one of the economies of concern in the Eurozone crisis

• IT spending in 2009 was around 3.8 billion EUR ($5.5 billion). From the end of 2008 to the end of 2013, IT spending will grow by 2.8% a year [IDC]

• The Algarve, Portugal’s popular tourist destination benefits from a Cisco Data Center network solution that has enabled improving e‐government services for citizens and information access for tourists saving €360,000 a year


• The estimated size of the Portuguese datacenter market is in the range of 3,000 racks occupying around 10,000 square metres. The average power demand per rack is on a par with the European average while the maximum is lower due to the predominance of legacy facilities.

• It is likely that growth projections for the datacenter industry in Portugal will be limited as the country suffers zero growth.



(4.0 kW/rack)


(6.0 kW/rack)

• The three key datacenter sectors in Portugal in terms of both facilities and investment are

finance, colo/hosting and telecoms. This is common to other smaller European markets that have not attracted significant inward investment.


Investment Activity

• Levels of investment in the Portuguese datacenter market will probably increase a little into 2010 at a level around €50 million.


• Datacenter owners and operators in Portugal are concerned about power consumption, cooling and efficiency as well as the prognosis for both capital investment and TCO in the fall‐out from recession.



Key end users:

• EDP (Electricity of Portugal)SA

• Sonae Investimentos

• Galp Energia

• Portugal Telecom

• Banco Commercial Portuguese SA

• CIMPOR(Cement Portugal)

• Banco Espirito Santo

• FCCN – Government

• Refer Telecom

• LMSI – Servicos Partilhados

• Nonio Hiross LD

• Nokia Siemens Networks

• 100 Limite, Lda.

• Imprensa Nacional Casa da Moeda


• CTD EDD

• Mainroad

• PT Prime

• GigaPix

• nfsi

• Telvent Carrierhouse

Equipment Vendors:

• Fujitsu


03.02.12_Greece


• The economy is struggling to recover from the debt crisis and contracted by 0.8 percent in the fourth quarter of 2009 [Eurostat]

• According to IDC IT spending in 2009 about 2.4 billion EUR ($3.5 billion). From the end of 2008 to the end of 2013, IT spending will grow 5.0% a year. It should be noted that these prediction were made before the impact and the bailout hit

• The Greek ICT market is service oriented and roughly 85% of the sector is focused on telecommunications

• Greece reached 1.75 million broadband lines in mid 2009, a 40% year on year growth.


• The estimated size of the Greek datacenter market is in the range of 4,000‐4,500 racks occupying around 15,000 square metres. The average power demand per rack is lower than the European average while the maximum is higher due to the particular capacity of one large colo provider.

• Any growth projections for the datacenter industry in Greece are currently under review although the major colo providers are likely to continue to expand. This will depend upon whether IT is seen as a cost or as an investment in the current economic climate.



(2.9 kW/rack)


(14.5 kW/rack)

• The three key datacenter sectors in Greece in terms of both facilities and investment are

finance, colo/hosting and telecoms.

Investment Activity

• Investment into Greek facilities in 2008/9 was in the region of €50 million. Projections into 2010/11 cannot be made with any degree of certainty although it is likely that the colo sector (which accounted for an estimated 40% of the above figure) will continue to expand.




• Usual concerns about costs, uptime, efficiency and cooling are also coloured also with some suspicion of overseas vendors ( a trait Greece has in common with the Middle East) competence

• These readings were taken however before May 2010.


Key End users:

• National Bank of Greece

• EFG Eurobank Ergasias

• Alpha Bank

• Group Hellenic Telecom (OTE)

• Piraeus Bank

• Areva Hellas AE

• Avantlumiere

• Upcom Ltd


• LAMDA Hellix

• Mediterranean Nautilus

• Northwest Communications

Suppliers & Equipment Vendors:

• Consolidated Contractors Company • Panduit

• Gloman SA

• Areva Hellas AE

http://www.datacentermap.com/company/northwest-communications.html

initial evaluation of opportunities in european … · economic expansion in 2010 compared to other...

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