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Home Technology Infrastructure & Platforms

PodChats for FutureCIO: The digital transformation of the data centre

Allan Tan by Allan Tan
January 5, 2023
PodChats for FutureCIO: The digital transformation of the data centre

PodChats for FutureCIO: The digital transformation of the data centre

Mordor Intelligence forecasts data centre transformation to reach US$15.45 billion by 2026, growing at a CAGR of 12.88% during the forecast period of 2021-2026.

Ciena claims that as much as 40% of the total operational costs for a data centre come from the energy needed to power and cool the massive amounts of equipment data centres house.

No wonder, Mordor says data centre operators are being driven to modernise or transform data centres to increase overall efficiency while reducing operational costs.

According to Kei Furuta, president of Digital Edge, the data centre market is growing rapidly.

Kei Furuta

“I think the phenomenon of cloud is a big foundation of both enterprise IT and digital service companies IT. The growth of the hybrid mode of the infrastructure is getting more apparent and it is still the middle stage of the infrastructure evolution.”

Kei Futura

Asked for his take on the forecasts and observations by IDC around the increased use of colocation as well as rising demand for more IT services at the edge, he opined that the combination of colocation of own data centre and big cloud players is the bigger trend.

“I think the overall collocation usage is going to continue and you might see the growth ratio and trend could be different as it depends on the market. But the trend is going to stay the same and continue,” he continued.

Click on the PodChats player to get into the details of what Furuta sees as the challenges data centre operators must overcome as they move to transform the data centre.
  1. What is different about the data centre of 2022 versus that of 2020?
    1. How has the digital transformation trend of the last 10 years changed the direction of the data centre?
  2. Given that the focus of the CIO (and IT) will be “to place specific workloads and infrastructure to radically reduce that risk of exposure while improving that customer experience”, how do you see data centres evolving?
  3. A 2020 IDC Datacentre Operational Survey noted that 72% of respondents indicated usage of colocation will increase over the next 12 months. The same survey found 79% planning to deploy more IT services at edge locations. It is now two years since that survey. Do you see the trend to collocate still occurring in 2023?
  4. Do you agree that there remain plenty of opportunities for new market players?
  5. Gartner says with more organisations moving workloads to the cloud, the future of the data centre will be relegated to workloads that cannot move to the cloud (for now) or supporting those systems that are most economically efficient on-premises. Your thoughts on this?
  6. What is the risk that in a few years’ time, we will experience the same thing that happened with the dotcom bubble?
  7. IDC says business success will be supported by digital infrastructure architectures and management strategies optimised for a new generation of highly distributed workers and data-intensive applications and services. In the future, what does the data centre look like?
Related:  NTUC partners with Singtel to enhance members’ digital availability
Tags: colocation servicesdata centre infrastructureDigital EdgeIDCMordor IntelligencePodchats
Allan Tan

Allan Tan

Allan is Group Editor-in-Chief for CXOCIETY writing for FutureIoT, FutureCIO and FutureCFO. He supports content marketing engagements for CXOCIETY clients, as well as moderates senior-level discussions and speaks at events. Previous Roles He served as Group Editor-in-Chief for Questex Asia concurrent to the Regional Content and Strategy Director role. He was the Director of Technology Practice at Hill+Knowlton in Hong Kong and Director of Client Services at EBA Communications. He also served as Marketing Director for Asia at Hitachi Data Systems and served as Country Sales Manager for HDS’ Philippines. Other sales roles include Encore Computer and First International Computer. He was a Senior Industry Analyst at Dataquest (Gartner Group) covering IT Professional Services for Asia-Pacific. He moved to Hong Kong as a Network Specialist and later MIS Manager at Imagineering/Tech Pacific. He holds a Bachelor of Science in Electronics and Communications Engineering degree and is a certified PICK programmer.

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