Press Release

Interoute makes a stand against Data Centre industry’s £70m patch tax

 

Data Centre owners practice of charging monthly recurring fees for static data centre cables is unjustified says Interoute.

London, 25 September – Interoute, owner operator of Europe's largest cloud services platform, today opened the doors of its new London data centre and announced that any customers using its data centres and colocation facilities across Europe will not be subjected to the standard industry practice of recurring colocation patch costs. Interoute estimates that currently business in the UK spend between £70 and £100 million a year¹ on recurring patch charges. Interoute's London City data centre forms part of a chain of distributed data centres and colocation facilities across Europe connected by Interoute’s pan-European fibre optic network.

 

Jonathan Wright, VP Service Provider commented “The demand for data centre services has never been higher than it is today. Almost every business is a digital business in some way and Carriers and businesses alike need secure well connected environments to enable business to flourish. There are many legitimate expenses involved in managing a high quality data centre, but charging a monthly fee for a piece of cable that nobody touches or moves is not one of them. We’ve taken the launch of the Interoute London City Data Centre as an opportunity to tear up the rules on patch pricing so we can deliver even better value for our customers” 

 

 

36 million adults access the Internet every day in the UK¹ which coupled with tighter regulations and data sovereignty legislation² is helping drive demand for local managed hosting. With 11 data centres and eight virtual data centres distributed globally, Interoute makes it simple for businesses to be closer to their end users, delivering faster services, across the world.

From today customers using any of Interoute’s 11 data centres or 40 additional colocation facilities will only have to pay a one off set up fee for any connecting patch, regardless of the length of contract.

 

¹ Calculation based on data from CBRE MarketView: European Data Centres Q1 2014 for IT space and fill in ratio for the UK (85%), and estimated figures of 2.45sqm per rack, 1.2 patches per rack and an average £24 monthly charge per patch, we calculated the £70M costs of patches in UK.

¹ Office for National Statistics - Statistical bulletin: Internet Access - Households and Individuals, 2013 

² The Guardian - Europe deadlocked over data protection reform 

 

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About Interoute

Interoute Communications Limited is the owner operator of Europe's largest cloud services platform, which encompasses over 60,000 km of lit fibre, 11 data centres, 8 Virtual Data Centres and 31 collocation centres, with connections to 140 additional third-party data centres across Europe. Its full-service Unified ICT platform serves international enterprises, as well as every major European telecommunications incumbent and the major operators of North America, East and South Asia, governments and universities. These organisations find Interoute the ideal partner for computingconnectivity and communications and developing new services. Its Unified ICT strategy has proved attractive to enterprises looking for a scalable, secure and unconstrained platform on which they can build their voice, video, computing and data services, as well as service providers in need of high capacity international data transit and infrastructure. With established operations throughout mainland Europe, North America and Dubai, Interoute also owns and operates dense city networks throughout Europe's major business centres.www.interoute.com