THE NEW ZEALANDDATA CENTRE MARKET

AN OVERVIEW"PRESENTED AT THE"

FINANCE & INVESTMENT FORUM FOR DATA CENTRESSYDNEY, AUSTRALIA, 7 NOVEMBER 2012"

"JOHN HUMPHREY"JOHN@JOHNHUMPHREY.CO.NZ"

+64 21 555-933"

1" NEW ZEALANDOVERVIEW"

POLITICAL / ECONOMIC"

Stable politics and a business supportive government"-  2012 Forbes Best Countries for Business"

No. 1 globally"

-  2012 Global Index of Economic Freedom"

No. 4 globally"

-  2012 Legatum Prosperity Index"

No. 5 globally"

GDP growth 3.1% (March 2013 forecast)"

3"

LABOUR / PROPERTY "

- Tourism: outdoor scenery, adventure sports focus"- Clean environment, global food source"- Skilled educated work force"-  Lower wages than Australia"- Real estate prices realistic "-  Low crime rate"- Unemployment 7.3% "

4"

TELECOMMUNICATIONS"

Domestic"- Government investing:"•  Fibre to the home project: 80+% homes GPON fibre"•  Rural broadband: another 15% homes "

International"- Southern Cross: NZ - Australia, NZ – US"•  Auckland to Sydney = 11.5 ms latency"

~ Sydney to Adelaide (via Melbourne) or Perth to Adelaide "

- Pacific Fibre cable project recently failed"

5"

CLIMATE / ELECTRICITY"

- Mild temperate climate"•  natural air-side cooling, ample rainfall"

-  Low cost reliable renewable power"•  65% renewable average"•  up to 85% dependent on weather"•  diverse supply sources,

100% carbon neutral power available"

- Electricity can be very low cost for large users"•  2012: industrial average price NZD 9.8 c/kWh (AUD 7.8 c/kWh)"

6"

NEW ZEALANDDATA CENTRES"2"

GLOBAL PROVIDERS"Number of Data Centres"

Tier 3+" Tier 3" Tier 2+" Tier 2"

Dimension Data" 2"

Fujitsu" Evaluating!

HP" 3*"

IBM" 1" 1"

Unisys" 2"

8"

* upgrading 1 to T3, closing 1"

NEW ZEALAND PROVIDERS"Number of Data Centres"

Tier 3+" Tier 3" Tier 2+" Tier 2"

Datacom" 1 & 1*" 2"

Gen-i" 1" 2*" 10"

Revera" 1" 2"

Maxnet (Vocus)" 1"

Computer Concepts" 4"

9"

* Currently building"

NEW ZEALAND DATA CENTRES"

Increasingly, NZ data centres:"•  serve content to Australia and Asia as part of

Australia/NZ networks"•  provide redundant / diverse hosting for Australia"•  are being upgraded to higher tier capability"

New high tier data centres are being constructed""

A rapidly growing data centre market!"

10"

SUPER DATA CENTRE POSSIBILITIES"3"

SUPER DATA CENTRES IN NZ?"

New Zealand has unique advantages as a location for very large (super) data centres (100+ MW power usage)"•  All the advantages listed above, plus!•  Possible to build a dedicated geothermal power station for base load

(up to 150 MW), with national grid connections for a total load to 500 MW"

•  Could be near a large river for cooling andnear a university town with skilled labour"

12"

NEW INTERNATIONAL CABLE"

For NZ to be completely attractive for super data centres, a new international undersea cable system connecting NZ to Australia and to the US is required"•  To lower international telecommunications costs"•  Provide diversity of bandwidth supply""

New projects now in planning to "replace Pacific Fibre cable project "

13"

FINAL NOTE"4"

FINAL NOTE"

NZ has unique advantages as a location for data centres:"-  Stable politics and a supportive government"-  Skilled workforce, low crime, national fibre build"-  Temperate climate, high natural cooling "-  Low cost power with high renewable %"

15"

If a new cable is built, NZ is an attractive location

for super data centres"  

16"THANK YOU"

John Humphrey " "john@johnhumphrey.co.nz " +64 21 555-933"