London Out-competed for Cloud Storage

Terremark decided to locate their flagship data centre in Amsterdam rather than London after concerns were raised regarding power shortages caused by the Olympic games.

The data centre is going to be one of 50 which are to be dotted around Europe.

Hermann Oggel, president of business at Terremark in a statement said:

“London was full with the Olympics, with no power. And no power is a big issue.”

The server racks in addition to the other equipment are expected to utilise 46MW of power when running at full capacity. The Amsterdam-based Network Access Point (NAP) will possess the highest level of performance, power and connectivity across the company’s entire European datacentre network.

In addition to the Olympics being a spanner in the works with regards to placing the data centre in London the two parties could also not agree on the financials.

“We spoke to utility companies in London and looked at premises, but found it economically better to manage from Amsterdam,” Oggel.

Verison is positioning itself to take a slice of the Cloud market which it predicts will grow to $150 billion by 2020 from around $10 billion – which it is at now.

“We think we’ll have a pretty big share of that” Kelly Baily, group president of Verizon unit Terremark Worldwide. “A lot of companies are moving into this space”

Verizon have already purchased Terremark and CloudSwitch for a collective $1.4 billion and are actively in the process of making further acquisitions.

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