Digital Realty Outlines Next-Generation Interconnection Initiative to Lay Foundation for Industry's Largest Open Fabric-of-Fabrics

Rhea-AI Summary

Digital Realty (NYSE: DLR) announced a new collaboration with Zayo Group Holdings to enhance interconnection and security capabilities, marking a significant step in their initiative to build the largest open fabric of interconnecting data centers. This partnership aims to advance digital transformation for multinational enterprises by aligning with their hybrid IT needs. Digital Realty's Data Gravity Index projects significant data growth, with over 620 terabytes per second anticipated by 2024 across key global locations. The initiative is poised to address the growing demand for data infrastructure.

Positive

• Collaboration with Zayo Group Holdings to enhance interconnection capabilities.
• Initiative aims to remove legacy barriers to enterprise digital transformation.
• Data Gravity Index projects data growth exceeding 620 terabytes per second.
• Positioned to meet the growing demand for globally secure, software-defined interconnection.

Negative

• None.

AUSTIN, Texas, July 27, 2021 /PRNewswire/ -- Digital Realty (NYSE: DLR), the largest global provider of carrier- and cloud-neutral data center, colocation and interconnection solutions, announced today another significant step in its plan to create next-generation interconnection and security capabilities and build the largest open fabric-of-fabrics interconnecting key centers of data exchange.  As part of this development strategy, Digital Realty is working with Zayo Group Holdings, Inc., a leading global provider of fiber-based communications solutions, to lay the physical and virtual foundations of a new open fabric. 

This collaboration represents a significant milestone on the cross-industry roadmap outlined earlier this year in Digital Realty's industry manifesto for open interconnection and next-generation colocation solutions.  The collaborative approach aims to unlock trapped value and remove legacy barriers to digital transformation by more closely aligning with the hybrid IT and security considerations of multinational enterprises. 

"As businesses continue to shift globally towards hybrid IT to enable new digital workplace models, create new lines of business, and control costs, Zayo and Digital Realty are in an excellent position to enable customers' growth through a shared interest in globally secure, software-defined interconnection," said Brian Lillie, Chief Product and Technology Officer at Zayo.  "We look forward to working together to power next-generation interconnection and security capabilities that will unlock the true potential of digital transformation." 

This initiative builds upon new and existing innovative capabilities, including PlatformDIGITAL®, Digital Realty's first of its kind global data center platform, which already brings together over 4,000 participants in connected data communities around the world, as well as Zayo's extensive global fiber network.  The new collaboration also follows Digital Realty's recent announcement of its plan to build native SDN-enabled multi-platform orchestration and global fabric connectivity across its global platform. 

"We're excited to advance our roadmap for removing the legacy interconnection barriers that continue to impede enterprise digital transformation initiatives," said Digital Realty Chief Technology Officer Chris Sharp.  "Our platform capabilities and the steps we are taking in collaboration with Zayo will serve as a force-multiplier in building the industry's largest open fabric-of-fabrics to effectively address the growing intensity of enterprise data creation and its gravitational impact on IT architectures." 

Digital Realty's Data Gravity Index DGx™ projects that Forbes global 2000 enterprises will be adding storage at a combined rate of more than 620 terabytes per second for data aggregation and exchange across 53 metros by 2024.  This rapid growth reflects a growing trend among global customers towards deploying and connecting large, private data infrastructure footprints across multiple global locations.  

Gartner® predicts that by 2023, over 50%¹ of the primary responsibility of data and analytics leaders will comprise data created, managed, and analyzed in edge environments.  As a result, a new pervasive data center infrastructure is needed to enable digitized endpoints and mobile users to fully participate in globally distributed workflows.  By removing legacy barriers across the interconnection industry, the consortium approach seeks to enable connected data communities and to support transformative outcomes for customers across all industries. 

About Digital Realty

Digital Realty supports the world's leading enterprises and service providers by delivering the full spectrum of data center, colocation and interconnection solutions.  PlatformDIGITAL®, the company's global data center platform, provides customers a trusted foundation and proven Pervasive Datacenter Architecture (PDx™) solution methodology for scaling digital business and efficiently managing data gravity challenges.  Digital Realty's global data center footprint gives customers access to the connected communities that matter to them with 290 facilities in 47 metros across 24 countries on six continents.  To learn more about Digital Realty, please visit digitalrealty.com or follow us on LinkedIn and Twitter. 

About Zayo Group

Zayo Group Holdings, Inc. provides mission-critical bandwidth to the world's most impactful companies, fueling the innovations that are transforming our society.  Zayo's 126,000-mile network in North America and Europe includes extensive metro connectivity to thousands of buildings and data centers.  Zayo's communications infrastructure solutions include dark fiber, private data networks, wavelengths, Ethernet, dedicated internet access and data center connectivity solutions.  Zayo owns and operates a Tier 1 IP backbone, and through its CloudLink service, Zayo provides low-latency private connectivity that attaches enterprises to their public cloud environments.  Zayo serves wireless and wireline carriers, media, tech, content, finance, healthcare and other large enterprises.  For more information, visit https://zayo.com/

Media & Industry Analyst Relations

Marc Musgrove
Digital Realty
+1 (415) 508-2812
mmusgrove@digitalrealty.com

Investor Relations

John J. Stewart / Jim Huseby
Digital Realty
+1 (415) 738-6500
InvestorRelations@digitalrealty.com

Safe Harbor Statement

This press release contains forward-looking statements which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially, including statements related to our collaboration with Zayo, our software-defined networking and fabric development plans, Data Gravity Index DGx, expected data and computer power growth and PlatformDIGITAL®.  For a list and description of risks and uncertainties, please see the company's reports and other filings with the U.S. Securities and Exchange Commission.  The company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. 

¹ Gartner, Press Release, Gartner Identifies Top 10 Data and Analytics Technology Trends for 2021, March 16, 2021.  GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally and is used herein with permission.  All rights reserved. 

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SOURCE Digital Realty

FAQ

What is Digital Realty's new initiative with Zayo Group Holdings?

Digital Realty is collaborating with Zayo Group Holdings to enhance interconnection and security capabilities, aiming to create the largest open fabric of interconnecting data centers.

How does Digital Realty's Data Gravity Index affect the company?

The Data Gravity Index forecasts that Forbes global 2000 enterprises will add over 620 terabytes of storage per second by 2024, indicating a significant demand for data infrastructure.

What are the expected benefits of Digital Realty's collaboration with Zayo?

The collaboration is expected to unlock trapped value in digital transformation and align with the hybrid IT needs of multinational enterprises.

What is the significance of the interconnection initiative for Digital Realty's investors?

The initiative signifies Digital Realty's commitment to enhancing its service offerings, potentially improving market position and attracting new customers, benefiting investors.

When was the announcement made regarding Digital Realty's collaboration?

The announcement was made on July 27, 2021.