York Region Cloud Computing & Data Centres Expand Your Business In the Greater Toronto Area Canada

Transcription

1 York Region Cloud Computing & Data Centres Expand Your Business In the Greater Toronto Area Canada

2 CANADA: $5 BILLION DATA CENTRES & CLOUD COMPUTING MARKET he Canadian market is underserved Geoff Hamspon, CoreLink CEO, DatacenterDynamic T Leading Market for Data Centres and Cloud Computing, Globally Canada ranked 2nd top place worldwide for data centres (Cushman & Wakefield 2011 Data Centre Risk Index) The Canadian data centre market is valued at $4B (IDC Canada, 2009). Additional 250,000 sq. ft. of space to come into the market by 2013 Canada s Cloud Computing market growing at a 30% CAGR to $1B by 2014 (IDC Canada) Canada s hosting market is estimated at $684M market growth 9.7% CAGR, or over $400M (IDC Canada) Canadians rank 2nd among 34 OECD countries in internet traffic per capita (OECD Communications Outlook 2011) Rank Data Centre Risk Index 2011 Index Score 1st = 100 Country UNITED STATES CANADA GERMANY HONG KONG 5 82 UNITED KINGDOM 6 81 SWEDEN QATAR SOUTH AFRICA FRANCE AUSTRALIA Greater Toronto: Fast Growing Customer Base 5th largest metro area in U.S. & Canada (6M consumers). Projected to become 3rd largest by 2036 Canada s largest business centre - 183,000 local business establishments. 95% of which SMEs under 100 employees North America s 3rd largest Information & Communications Technology (ICT) industry cluster with 11,500 ICT firms Canada s largest retail centre accounting for 15% of total retail sales in the country North America s 3rd largest financial services centre and a top 10 globally: Vast majority of Canada s large financial services companies and 90% of foreign bank head-offices Home to 10 domestic banks (3 among world s top 25), 18 Foreign Bank Subsidiaries, 21 Foreign Bank Branches and 129 Securities Firms Headquarters for 60 Life Insurance companies (2 of global top 10) and 130 P&C insurers (3 of Canada s top 5) Home to 80% of Canada s Investment Management/ Mutual Fund industry representing $700 billion AUM 3rd largest stock exchange in North America 58 Pension Funds of which 5 with combined assets of over $300B. Four among world s top 100 Operations of 7 of the top 10 largest hedge fund administrators in the world Top 10 ranking in the Global Financial Centres Index (QFC Financial Centre Futures 2010) York Region: Leading Location for Data Centres and Cloud Computing Firms in Canada York Region is home to leading Data Centres, Cloud Computing and Hosting firms in the Canadian market: Home to IBM s $42M Canadian Cloud Computing Centre Central location in greater Toronto, 3rd largest financial centre and 5th largest metro area in the US & Canada Access to 140M residents within 500 mile radius, more than any other major city-region in US or Canada 65% of Canadian head offices located within one day s drive Under 90 min flight radius to New York, Boston, Chicago, Washington, Montreal, Ottawa or Philadelphia Home to Canadian headquarters of Fortune 100 financial service firms such as American Express, State Farm Insurance and Allstate Insurance Canada s highest concentration of ICT firms including IBM, AMD, Huawei, Oracle-Sun, Motorola, Alcatel-Lucent, Avaya, China Telecom, ADC, Open Text, CGI, and Apple Computers Direct access to Canada s largest freeway network Only 20 min to Toronto s Pearson International Airport, 4th largest airport in North America Extensive & Reliable Power & Data Networks Ontario s power generation capacity is 37,000 MW with Ontario Power Generation (OPG) responsible for 70%, one of North America s largest generators York Region s PowerStream is the 2nd largest municipally owned electricity distribution company in Ontario: 8.3 GWh delivered in World-class local distribution system consisting of 2,551 km overhead circuit wires, 4,830 km underground cable, 11 transformer stations and 55 municipal substations Winner of Province of Ontario LDC 2010 Performance Excellence Award and Ontario Energy Association 2010 Energy Company of the Year PowerStream s reliable service in York Region: two high voltage feeders with automated switching on loss of one, 2 step down transformers, control centre monitoring Greater Toronto (incl. York Region) has one of the most extensive Fiber-Optic cable networks in North America and a highly integrated telecom network The Greater Toronto Area is safe from most natural disasters Canada GREATER toronto AREA York Region 2 3 Canada GREATER toronto AREA York Region

3 Our largest customers have been asking us to expand into Canada Jim Ousley, Savvis CEO, DatacenterDynamics Jun 10 Business Cost Advantage 33% lower Corporate Income Tax and 60% lower employer healthcare costs than the US average York Region s utility offers significant electricity cost savings for medium/large power users compared with many other hi-tech business hubs in the US and Canada Canada has the lowest overall business cost in G7 countries. Specifically, Toronto offers lower business costs than 22 largest cities in the US (KPMG) Toronto offers 8% cost advantage over the US average in the IT services sector (KPMG) Lower cooling costs: Avg. monthly temp range -5.9 C (21.3F) to 20.9 C (69.6F) throughout the year; Great Lakes location guarantees availability of water for cooling York Region offers the lowest industrial property taxes in the greater Toronto area and lowest tax ratios among all large municipalities in Ontario Powerstream s Conservation Incentive Program offers up to 50% of energy conservation project costs in financial incentives for Data Centres in York Region North American Business Cost Comparison Index Mexico City 79.7 Toronto Atlanta Dallas Detroit Chicago Philadelphia U.S. Average Los Angeles Boston New York San Francisco Source: KPMG Competitive Alternatives, Salary Comparison 0 20for North 40American 60 ICT Clusters Source: TRRA based on ERI Salary Assessor Business Systems Analyst Computer Hardware Engineer Computer Programmer Quality Assurance Analyst Toronto region $82,442 $91,922 $75,541 $86,900 Washington, DC $85,949 $93,588 $79,943 $87,751 Seattle, WA $85,575 $92,043 $79,762 $87,343 Boston, MA $90,271 $98,092 $83,867 $92,189 New York, NY $92,697 $98,982 $86,197 $94, S. Francisco, CA $96,625 $104,33 $89,881 $98,642 Software Engineer $95,859 $98,566 $98,076 $103,70 $106,41 $110,748 Average electricity price for large commercial users (5,000 kw) (April 2010 Data) City/Municipality c/kwh Miami, FL 6.9 York Region, Chicago, IL Ottawa, ON 9.07 Toronto, ON 9.65 San Francisco, 9.81 Boston, MA 11.9 New York, NY 12.3 Average electricity price for large commercial users (5,000 kw) (April 2010 Data) Power Demand: Large Power (5,000 kw) Consumption: 3,060,000 kwh Load factor: 85% Source Hydro Quebec analysis, April 2010; In Canadian dollars; Supply voltage pf 25kV; estimated based on applicable general rate and may differ from actual rate Canada GREaTER ToRonTo area YoRk REGion 4

4 There s more demand than supply, so data centres is a good market for outsourcing in Canada Robert Offley, Centrilogic CEO, Network World Jul 10 Our Toronto North Data Centre has grown substantially over the past year Tony Di Benedetto, Data Centres Canada Partner, Data Centres.com Dec 11 World s Best Business Environment Canada Ranked world s best country to do business out of 134 countries (Forbes Magazine 2011) Ranked by EIU best place in G7 to do business thru 2015 Leading economic growth in G7 countries (OECD) Lowest risk G8 country for business investment (D&B) Soundest banking system globally and lowest debt-to-gdp ratio in G8 (WEF/IMF) Easiest place to start up a business among 34 OECD countries (World Bank) Efficient patent system accessible via international treaties Best access to business capital among 122 countries (Milken Institute, 2010) One of the world s most generous R&D tax incentive programs Canadian immigration policies facilitate intra company transfers Metro Toronto Top destination city for FDI in North America, second only to NYC (FT, fdi 2011/12) Lowest risk city in the world for employers (AON, 2010) Ranked # 2 on list of world s 26 best cities for business, life and innovation (PwC, 2011) Safe from most natural disasters One of the lowest crime rates among major North American metro areas York Region: Quality, Cost-Effective Real Estate 3rd largest construction market in Canada behind Toronto and greater Vancouver in 2010 ($3 billion value, 36% ICI) Local industrial buildings inventory of over 158 million sq.ft. Thousands of acres of vacant land suitable for industrial development incl. World-class business parks York Region offers the lowest industrial property taxes in the greater Toronto area and lowest tax ratios among all large municipalities in Ontario One stop shop site selection in 9 municipalities $8 billion infrastructure investment in for the benefit of residents and the business community The Hi-Tech Workforce You Need Best educated workforce in the OECD (34 countries) and G8 Ranked 2nd in G7 in availability of qualified engineers (IMD) Direct access to metro Toronto s large and qualified workforce of 3.5 million, including over 125,000 professionals in ICT-related occupations 6 world class universities and 8 colleges located within one hour drive, offering over 100 ICT and engineering programs 83,000 new university grads and 47,000 degreed immigrants enter area workforce each year York Region: qualified, young and dynamic workforce: 67% have post secondary education; 36% of population aged 20-44; Over 65 languages spoken York Region: Among Canada s most desirable communities attracting top global talent York Region: Leader In Sustainability Established local green business base of 400 companies Some of North America s largest mixed use green development projects Fast growing local Solar PV industry cluster of over 100 firms, Canada s 2nd largest Home to Smart Grid innovation centres of GE, IBM, Hydro One and PowerStream Award winning sustainability strategies: LEED, community energy planning, waste management, water conservation Powerstream s Conservation Incentive Program offers up to 50% of energy conservation project costs in financial incentives for Data Centres in York Region Canada GREATER toronto AREA York Region 6 7 Canada GREATER toronto AREA York Region

5 PArtner with york region Complimentary and Confidential Services to Support your Business Expansion in Canada Team of 35 regional & municipal economic development officers at your service Market information & economic intelligence Location selection assistance Business advisory & introductions Access to government incentives Contact: The Regional Municipality of York Economic Strategy Office Office of the Chief Administrative Officer Yonge Street, Newmarket, Ontario Canada L3Y 6Z1 Robert Unterman T x1491 v1.3