Data centre deals defy the COVID-19 pandemic
min readThe data centre market remains as strong as ever, even in the midst of the COVID-19 pandemic, with 2020 seeing some of the biggest deals on the market close.
Technology has kept the world connected during this crisis. As COVID-19 pushes more users online, it is expected that the demand for data centre capacity will only continue to increase going forward, particularly on the cloud-based software and infrastructure side. The demand for colocation and managed services are growing in the global data centre market due to technological advancements across a number of industries.
This market has attracted investment from both public companies and private equity, with cash injections coming in from all over the world. It truly is an international playing field, with major deals spanning the US, Europe, India and Asia.
Telecommunication providers in several countries are investing heavily to grow broadband connectivity worldwide. This includes investments in new facilities as well as expansion projects, with a significant amount of investment into developing countries.
Despite the impact of COVID-19 on the worldwide economy, we are expecting to see a number of large deals close in the second half of the year.
Watch this space... the future is in the cloud(s).
The value of data centre related M&A deals that closed in the first sixteen weeks of 2020 has already surpassed that of the 2019 total, despite the COVID-19 pandemic.
