A new post hit Infinera’s blog spot today.
This one focuses on the data center and cloud providers, and shares Infinera’s insights about these players. It talks about how these companies are succeeding in providing colocation services where traditional telecom companies have failed.
It also talks about how the demands from this space served as the catalyst for products like Cloud Xpress and Infinera’s XT Series.
I think the author is not letting anyone forget that these products were specially built to satisfy very specific demands from some very key customers, and that these key customers are succeeding in this market because of it.
The author specifically calls out Equinix. No surprise.
Today, global colocation providers like Equinix have turned delivery of interconnection services into an art, providing an array of exchange and cross-connect services to meet virtually any operator’s needs. Specialized colocation providers like EdgeConnex have helped lower customer churn and raised network performance of their CDN by pushing content closer to end-users. The adoption of the virtual data center models enable colocation providers to create hybrid data centers by managing some content in a data center while pushing some content much closer to the customer. These examples confirm the varied requirements for this quickly evolving market and show how colocation providers are responding by providing new network services not imagined a few years ago.
Some other choice quotes from the article. These will of course appear out context. I recommend reading the article to find out more.
Whatever the scenario, telcos are not a major player in the colocation market.
Infinera is keenly focused on enabling cloud and data center networking.
No other platform comes close.
The barriers to entry are quite low, making differentiation essential to win.
In some markets, multiple colocation providers will struggle to differentiate their services, and those worlds will collide
One thing is apparent – this market will not be dominated by any telco, at least not anytime soon.
Sounds almost like fightin’ words don’t it?
Here’s the real takeaway:
Infinera delivered purpose-built solutions for cloud and data center interconnect, enabling colocation and granting cloud and data center operators as well as enterprise end-users the ability to interconnect to any data center without the complexity of traditional networking gear.
Sounds to me like their customer base is strong and growing - because of their flexibility and agility. These customers will begin to outmaneuver their competition. It’s a warning shot to those who are looking to succeed in this space with competitor solutions that are a lot less agile.