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The data centre market is mature and supposedly booming. Some of these sectors are going through temporary recession. People need to optimise cost. They prefer building their own private data centres and the private infrastructure. Sharad Sanghi, MD & CEO, Netmagic, an NTT Communications, tells us more
Thomas George

How is the DC market shaping up? What is the future outlook from your perspective?

As you know the market is booming and there are many reasons for this hike. One of the reasons is that most big companies have moved to cloud, and all applications are being served through the cloud. So, the cloud needs to be hosted somewhere. Therefore, it requires a lot of space. There is an improvement in infrastructure with its connectivity. A lot of applications, video content, OTT etc., have created a demand for cloud and data centers to house and to serve this content.

There is also growth in banking, manufacturing, etc. Some of these sectors are going through temporary recession. In the recession, people need to optimize cost. They prefer building their own private data centers, and the private infrastructure. Also, the government’s data localization policy has resulted in that many clients are coming to India. The hyperscale cloud is in demand. Initially, there were primary players in this space. Now, there are 10-12 top players across the world entering in India. So, there’s going to be intense competition.

If you look at the data center, it is a very mature market. There are specialized players, like Equinox, etc. They are focused on co-location. There are the telco players that want to serve network and co-location. In India, there are several specialists in various areas. We started earlier and serve the demands of data centers.

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December 2019