TATA Communications: Expanding the Global Data Centre Footprint
TATA Communications: Expanding the Global Data Centre Footprint
TATA Communications has acquired the status of one of the biggest data centre providers in the nation. But this corporate group is not content with capturing domestic markets alone. It has formed its first partnership with countries such as Malaysia, Australia and Germany to expand its footprint and establish more data centres across the globe. More and more firms are becoming comfortable in keeping data on the cloud and TATA Communications has set out to capitalize on this rapidly expanding market. The TATA group has tied with firms such as Interxion in Austria and Germany.
NEXTDC is another firm which is collaborating with TATA Communication in Australia for this venture. Pacific Link Telecom in Malaysia is another important firm which is providing linkages to this TATA group for expanding linkages across the world. Customers are increasing in number in these regions and more companies are expanding their global footprint. TATA Communications is joining in a bid to make data centres available in key countries. Indian companies are now working with MNCs to gain access to larger markets. This is becoming an interesting move to overcome the challenges of tapping the global market.
These partnerships and collaborations also pave the way for a single window for providing key services. TATA Communications currently has approximately 1 million square feet of space for data centres. Green field data centres and partnerships are progressing further so that the company can expand when it comes to profits. This firm is launching a green field data centre in New Delhi soon. It is also expanding the capacity of the data centre in Singapore to keep up with important demands. Data centre space which is currently available in India was approximately 3.7 million square feet towards the close of 2012.
The scope for the expansion of the data centres is massive in India currently. According to a research firm called Gartner, data centre space is expected to increase to 6.3 million square feet by 2017. TATA Communications is also expanding the capacity of its data centre in the island nation of Singapore. Currently, this company is evolving in terms of size and services. TCOM currently focuses on 2 basic business segments namely global voice and global data services. It gets almost equal revenue from each of these. However, establishing data centres ensures that the services contribute in a bigger way to profitability. On the data side, operating margins are 20% higher as compared to single digit voice margins.
TATA Communications has the right assets and initiatives to be able to tap growth from the IT telecom convergence trend. It is basically an internet services company and it seeks to increase its global data centre footprint through strategic partnerships. Such collaborations are assisting TATA Communications to expand its data centre offers in many regions and deliver uniform consumer experienced across different segments and geographical locations. While businesses are currently expanding to global markets, it can translate into a lot more challenges for the telecommunications industry as a whole.
Customers can now access a single vendor operation and contract for ensuring the establishment of a well developed data centre network. The inclusion of consumers from new geographical markets also means one has to expand one’s base to different areas which vary in terms of their tastes and preferences. A massive advantage of data centres established by TATA Communications is that they are fully integrated into the firm’s global IP network. This ensures maximum traffic capacity within and from its facilities. Expanding the data centre footprint is part of the strategy to provide better infrastructural facilities for different organizations.
Maximizing the development of digital infrastructure is one of the top requirements in current times. Companies such as TATA Communications are revolutionizing the field of digital infrastructure and enhancing organizational capabilities. New technologies are currently evolving. Trends such as BYOD or bring your own device and video streaming are the forefront of advancements in technology. They have also become a central part of the effective functioning of any organization. These applications must be hosted on a global data centre so that a good experience is provided to the end user. TATA Communications is tapping this market for reaping gains. With adequate planning and such strategic partnerships, they will definitely have hit the mark and secured healthy profits.
