Intel menu +

Yondr Intel  /  Developments  /  DICE Local – data center investment conference

DICE Local – data center investment conference

Written by: Neil Winch / Development Director at Yondr

DICE Local – data center investment conference

Written by: Neil Winch / Development Director at Yondr

DICE Local - data center investment conference

Really exciting to be welcomed to Bisnow’s first investment conference in the UK, focused on Data Center Investment. Of course the speakers are talking about a busy M&A sector, new entrants and key issues in Data Center Financing.

Our first speaker, Kemal Hawa, Shareholder at Greenberg Traurig proposed that the sector doesn’t sit neatly in traditional real estate investment classes.

Infrastructure investors are in part expanding their scope to support the sector, but not in full. This is proposed as being owed to infrastructure such as roads, tunnels and bridges with “tolls” going one way…in data centers, we typically pay penalties for poor performance. While it is true to say that we have penalties, it is also true that so does infrastructure. Perhaps infrastructure looks to scale and government indemnity to provide security over the assets.

Similar issues exists for other investors, such as traditional residential of commercial offices, where rent typically moves in a single direction. Again, we do see risk in this subsection of the sector too…so where is the challenge?

Typically in data centers, value takes the form of leases, rather than perpetual physical assets and income. Owed to DCs being centred around service agreements, investors can find themselves questioning whether the service agreements are leases. What does this mean, well in common law, investors may find themselves less protected by common law real estate protections. I’d be interested to hear views on this, as it intuitively feels like it should be simpler to me.

We as an industry also need to address high profile liability and security issues. DC operators can see themselves as Space and Power providers, our customers do see privacy and data security issues as a risk, and in some cases impose penalties on the owner operators. Perhaps rightly so, providing physical security infrastructure and or physical security of sites is our thing so to speak.. This was an interesting insight, as it provided some context around a customer opportunity.

So.. on to questions asked.. What does the market look like in five years time?

Hyperscalers vary in their board room intent, moving from hyperscale (100mw +) facilities to “edge” facilities.. the view being we will need 1000’s of new data centers, varying between hyperscale and edge.. Seems to be a common theme..

Interestingly, the question was asked, “why do we exist”? The simple answer, as a result of IT demand, and IT demand is moderately unknown for anything more than three years. With the introduction of AI, users of data centers who traditionally thought they may need 10 DC spaces across the globe in five years, are now saying they may need 100…but don’t always know where they need those facilities. This supports cloud solutions for our hyperscale customers.

As always at a conference, interesting and varied insights, the common theme, challenges in a growing sector. Good people, and good vibes! Thanks to BisNow and all in attendance.

Bold leaders define our future
Yondr's Country Manager in Indonesia, Yudi Sustrino speaks on the role that leadership has to play in defining our future.
How quality processes create an intuitive approach to data center builds
Structures, practices and processes create the ‘intuitive’ process that our clients have come to expect.  Here’s how they are created.
Women in Engineering 2021 | Jihoo Woo
In honor of Women in Engineering Day, the Yondr team would like to acknowledge our very own Jihoo Woo, a Technical Program Manager for Yondr in the Americas.
Data center maintenance and operation: the Yondr way
Our clients count on us. They rely on us to run our operations smoothly so they can focus on running theirs. The less they hear from us the better.
How do you ensure the best bang for your buck?
Cost planners and cost managers who gather local market intelligence are the antenna of the business.
Explorer Mark Pollock talks to Yondr
This episode of The Yondr Podcast, we spoke to Mark Pollock, a motivational speaker, author and explorer from Northern Ireland.
Seamless data center project delivery starts with a health and safety mindset
There’s one question every client asks us before starting a project: Why should we choose you over the competition? Here’s how we answer that: At Yondr, our speed to delivery is lightning quick. We have extensive in-house capabilities. We’re home to some of the most skilled and experienced people in the industry. 
The right way to approach virtual deals
And there it is! The perfect spot. You could point to it on a map. That’s where we’ll build your data center. If only it were as easy as that...
Yondr’s framework for failsafe security
Data centers are now part of our critical infrastructure. They are integral to the daily operations of government, business and society at large, as important to our lives as energy and water supply.
Setting sail: The astonishing skill and strength of character needed to compete in a solo race around the world
Yondr is sponsoring sailor Pip Hare to compete in the Vendée Globe race, one of the world’s toughest endurance events. We asked Pip to share her story as she enters her final weeks of training for what promises to be an incredible journey. Over to you Pip!
Peter Jones, talks European data center market with DatacenterHawk
Yondr’s CDO, Pete Jones, sits down with David from DatacenterHawk, to share thoughts on the data center market in Europe.
From apprentice to global operations director — how an apprenticeship changed my life
Born and raised in London’s East End, I definitely wasn’t the smartest kid. I applied for 50-odd positions and was granted three interviews, one of which was for a technician’s apprenticeship with the Post Office.
Critical spaces from scratch in a year – how Yondr does it
There’s no such thing as being a single moment late. If a data center isn’t completed on time, it will be delayed for months or there will be serious consequences for other projects no amount of money can fix. 
A different approach
Now, we all know there’s nothing sexy about data center operations. And you only hear about operations when something goes horribly wrong. So as we manoeuvre through the pandemic, whatever the crisis throws at us, we know any new processes and procedures we introduce need to remain simple. 
The pace of hybrid adoption
The paper sets out the very clear and compelling case for hybrid cloud adoption and recommends how companies and teams need to evolve to get their decision making right, choosing which workloads to put where, when the fork in the road arrives.
What clients are asking now
We are now several weeks into COVID-19 lockdown measures. The initial wave of enforced changes to work and living routines is behind us, and the world is slowly adjusting to the idea that we’re in this for the long haul.
My first 30 days of COVID-19
It was a fast decision made by the senior leadership team on the day, based on the facts we had. We pushed it out via all our internal channels. We recorded a video explaining the decision, sent everyone an email, published blog posts and sent SMS messages, so everyone knew. With 20/20 hindsight, I’m glad we did.
PTC 2020 Honolulu
Yondr attended the Pacific Telecommunications Council in Honolulu, Hawaii for the first time this year. As venues go, this was one we were quite excited by!
Microsoft’s take on health and safety
Just out of a great session at DCD Dallas by Doug Mouton of Microsoft that was short, sweet and undeniably compelling. 
Real estate change…does it have to be hard?
Picking up a copy of the FT while travelling back from Asia last week, I was struck by the notion of the editor. To secure the front and back pages, and inside cover with an announcement that our system and markets need to change deeply resonated with me.
DCD Singapore: Yondr’s first foray in Asia
Having just returned from a week in Singapore I am now taking stock of the talks, meetings and people I met over the last few days.
DCD Singapore – sustainable data centers
The provision of a recognised scoring system for data centers (such as LEED) could be a ‘powerful’ (very poor pun) addition to our sector. We as developers, operators, builders and tenants must embrace such initiatives.
Microsoft’s take on energy
Ever wondered how hyperscale end users see the energy world? I was lucky today to get some great insights today from Jim Collins at Microsoft during his fireside chat at DCD San Francisco.

Like what you see?

Don’t miss out on future Intel. Sign up now to receive our latest content straight to your inbox.