15 June 2020

Data Center: How COVID-19 Affected the Capital Budget

Posted by Briana from Telin on Jun 15, 2020 10:52:00 AM

As digital, data-heavy activities spike around the world due to COVID-19 lockdown, data centers would seem to be an easily solution to meet the surge in demand for e-learning, remote working, binge television watching, and other activities.

However, the COVID-19 pandemic halted the steady growth trend over the past several quarters in hardware and software revenue, which caused the global data center infrastructure market to drop 2% year over year in the first quarter of 2020, according to IT market research firm Synergy Research Group. Many companies have been “negatively impacted by the pandemic, resulting in increased pressure on capital budgets and more impetus on shifting workloads to public cloud providers.”

This impacts to initiate growth and increased spending on public cloud infrastructure, by 3% YoY, and accounting for 37 percent of the total market. But in total, due to pressure on capital budgets, worldwide data center sales to global companies and traditional service providers declined 4% YoY in the first quarter of 2020.

In moving to sign on with a data center however, companies need to consider a number of factors to make sure that their needs are optimally met. Failure to think about these aspects can result in critical regulatory or performance issues, affected to company revenue.

Choosing the Right Data Center to Save Your Business

Businesses sign up with data centers in order to safely store and process huge amounts of information. These data centers moreover ensure that end-users can quickly access information from remote locations, thereby improving user experience and connectivity.

To convene the current high-demands of digitization, infrastructures should be able to manage parallel operations on massive data sets and the demand for low latency and high-bandwidth connectivity. An advance figure and trustworthy capacities in order to achieve immense performance at scale, are required – both physically and financially.

Considering the pressure on global company’s capital budgets, they need to consider a number of factors to make sure that their needs are optimally met. Failure to think about these aspects can result in critical regulatory or performance issues.

The main question is, how do you choose the right data center for your organization?

Firstly, the physical location – an advantage of a nearby data center is that it typically offers low latency, which is especially useful if you plan to send large volumes of data to and from your primary site.

You also need to look at the data center’s infrastructure. A reliable and a better navigate data centers should have backup power and disaster mitigation plans, with edge deployments, storage and uninterruptable power systems, as well as robust security features in place. Make sure that your intended data center is aligned with regulatory requirements applicable to your business.

Leading Data Center Provider for Businesses in Asia

Over the past few years, Telin has built out a seamless, regional network of data centers in Southeast Asia and East Asia. At present we operate 19 Tier II to Tier IV Data Centers from Hong Kong all the way to East Timor, all of which are connected to Global Internet Network supported by seamless submarine cable to connect you to the biggest Indonesian eyeball. This far-flung network gives businesses a wide range of geographical choice, at a variety of price points and specifications.

Businesses looking for top-of-the-line performance may wish to consider Telin-3, Telin Singapore’s flagship data center, which is a multi-tier (Uptime Institute Tier III and Tier IV certified) facility that operates on a carrier neutral basis. Alternately, the Telin Hong Kong Data Center neuCentrIX HK-1, is a top-notch carrier-neutral data center equipped with high capacity of 600-800 KVA and 200 racks (3-4 KVA max/rack) as well as connected to the mature MEGA-I and Equinix ecosystems. The data center has seamless connection to all global infrastructures and provides custom-made solutions to meet clients’ business need for a secure and efficient connection to Hong Kong, Indonesia, and global network.

All of Telin’s data centers are equipped with backup power and disaster management plans, continuously updated security features, and highly reliable local as well as global connectivity. As such, for customers with a strong Asian presence who need a secure, efficient connection to the global network, Telin’s network is a leading choice - claiming as one of the widest and foremost eyeball networks in Asia.

Features of Telin’s Data Centers

Telin’s data centers offer a secure colocation environment with reliable local and global connectivity, supported by high capacity servers and a globally distributed Content Delivery Network platform of servers.

  • Value Proposition
    Widest and foremost eyeball networks in Asia with large products variety
    Seamless connectivity data center
    Carrier neutral

  • Main Colocation Services
    Private suite and cages

  • Value added services
    Smart hand
    Connectivity & X-Connect
    Internet Exchange

Find Out More About Our Data Center Network

Our data centers have won multiple international awards for innovation, green design, and seamless connection – the very right choice to cope with capital budget obstacles nowadays. If you’d like to find out more, feel free to contact us at marketing@telin.net. Stay safe and stay connected!

Briana from Telin

Written by Briana from Telin

Briana is member of Telin Marketing Team, taking part in a lot of digital marketing aspects, experts in responding to your inquiry and assigning to the right Telin representative.