Data Centres that never, never, ever go down

Transcription

1 Data Centres that never, never, ever go down

2 Investing in Norwegian Data Centres 13 February 2013 J. Byrne Murphy - Chairman DigiPlex Group of Companies

3 My Topics Today Investing In Norwegian Data Centres What is a Data Centre? How does a Data Centre compare to any other property type? What is driving the growth in Data Centers? What is Big Data? DigiPlex s investments in Norway Why Norway?

4 What is a Data Centre?

5 A Data Centre is analogous to A Computer Hotel An Airport A Safe, Reliable Piece of 21 st Century Infrastructure An infrastructure that must Never, never ever go down

6 The key components of a Data Centre are: Main Computer Halls Cold Climate Cooling Refrigeration Plant Security Fence The DigiPlex Fet Data Centre Power Generation Plant

7 And inside they look like this

8 How does a Data Centre compare to any other property type?

9 Investment Comparability Office Electrical Mechanical Structural Security Data Centre! + UPS!!!!" + Refrigeration People Contract! "! + Servers

10 Where the cloud touches the ground?

11 A few real estate investment comparisons Prime Residential 27,000 Commercial Officing 33,000 An Opera House 65,000 A Residency Club in Florence 74,000 A Data Centre in Oslo 140,000

12 Occupier need is constant and growing, making data centres one of the few sectors of real estate showing strong year-on-year growth

13 And then to fill the Data Centre with Computers and Communications (ICT) equipment. Build Cost x 4

14 Investing in Data Centres The Factors Data Centres are hugely expensive to build and equip Data Centres are the hub of all 21 st Century businesses but & Data Centres are a customer Must Have Data Centres Provide Solid Long Term Business Returns so DATA CENTRES ARE THE INFRASTRUCTURE OF 21 ST CENTURY LIFE

15 Data Centre Stock Market Performance AMC DATA CENTRE INDEX NASDAQ FTSE /01/ /05/ /09/ /01/ /05/ /09/ /01/ /05/ /09/ /01/ /05/ /09/ /01/ /05/2013 Sources: IMF, National Sources, Nordregio & NLS Finland, Fraser Institute, OECD

16 What is driving Data Centre growth?

17 Drivers of Data Centre Growth Internet Users Worldwide But, 4.8 Billion people are still to be connected.

18 Drivers of Data Centre Growth The Expanding Internet Source: Com Score Every Day 320 Billion s will be sent 4.3 Billion Web searches are made 2.2 Billion Videos will be viewed 150 Million Tweets will be sent Every Minute

19 More & more internet traffic More & more data Where will it all live?

20 Answer In Data Centers

21 What is Big Data?

22 Big data is large data, but more importantly it s a powerful data processing capability

23 Big Data example Retail Industry

24 Why DigiPlex invests in Norway

25 DigiPlex Current Oslo site locations 3 Data Centres Gardemoen 25 Kms Ulven 20 Kms Fetsund 15 Kms Rosenholm

26 Why Digiplex Invests in Norway - Top Class Place to Be - Rankings Overall rank * Country Global competitiveness Ease of doing business Global innovation Corruption perception Human develop- ment Prosperity 1 Sweden Denmark Finland Norway Switzerland New Zealand Singapore United States Netherlands Canada Hong Kong Australia Britain Germany Ireland Sources: World Economic Forum, World Bank, INSEAD and World Intellectual Property Organisation, Transparency International, UNDP, Legatum

27 Why Digiplex invests in Norway - Economic Freedom Ratings (10 = Max) 9 8 USA GB Denmark Finland 7 Norway 6 5 Sweden Sources: IMF, National Sources, Nordregio & NLS Finland, Fraser Institute, OECD

28 Why Digiplex invests in Norway - Clean & Sustainable Power Sources Hydro In Total Domestic Electricity Norway 98.5% Brazil 79.8% Venezuela 72.8% Canada 58.7% Sweden 46.1% PR China 16.9% Russia 16.0% India 13.8% Japan 7.7% USA 6.5% Source: Greenfield Property AS

29 Scandinavia s Lower Cost of Power Yield Huge Savings over 10 years Over 10 years, the difference in power costs of a 20 MW data centre in Norway vs in the UK is 83.6 million. Power savings can be further enhanced when Free Cooling is taken into account, with up to 25% more efficient power usage than without free cooling. Source: World Economic Forum Economist

30 Why Digiplex invests in Norway - Gross Government Debt (% of GDP, 2013 est.) Sweden Denmark Norway Finland European Union United States 0" 20" 40" 60" 80" 100" 120" Sources: IMF, National Sources, Nordregio & NLS Finland, Fraser Institute, OECD

31 Why Digiplex invests in Norway Because its Stable, democratic, a law based government Economically strong Business Friendly Skilled, educated population / HR Secure And the less positives?

32 Investing in Norway the challenges: Scarcity of specialist contractors and experienced operators High levels of leisure time challenging for 24x7 operations Cost of living index Nok 42 Nok 24 Source: The Economist Big Mac Index, January 2014

33 The DigiPlex Investment in Scandinavia 2002 to 2013 Nok 1.25bn 80+ Critical Services Customers A Skillfully Trained Specialist Workforce Nok 1bn Air to Air New Technology Development Oslo Site No. 3 (DigiPlex FET) The Launch pad to other Nordic countries

34 The DigiPlex FET Data Centre for Evry Two new data centres. 12,000m 2 gross, 4,200m 2 net computer halls White Space. 20 year term customer agreement.

35 THE DATA CENTRE FET WILL BE X5 THIS ROOM

36 The results of the DigiPlex Investment in Norway Largest Data Centre player in Norway 90+ Long Term Services Customers 46% Of Customers are Government Affiliated A platform for further Nordic growth Trusted

37 DigiPlex Customer Satisfaction Survey Results Very Satisfactory or more is highest rating: Very Satisfactory

38 The DigiPlex Mission Our mission is to provide the most reliable, independent IT housing service available in Scandinavia

39 Our Growth Plan - Challenges for DigiPlex & Norway Will Norway provide competitively priced sustainably sourced power? Will Norway incentivise inward investment? Will Norway invest in improved international connectivity?

40 Data Centres that never, never, ever go down Thank you for your attention