Light Reading
NTT's Dimension Data unit is looking for acquisitions to boost its presence in Asia-Pacific.

Dimension Data Unveils 'Buy to Grow' Strategy

Robert Clark
News Analysis
Robert Clark
7/10/2014
50%
50%

Dimension Data is on a mission -- to grow as fast as it can in the Asia-Pacific market through acquisitions.

In particular, the international IT and managed services specialist is looking to buy data center services firms, or anything that involves managed services into the data center, according to Bill Padfield, CEO of the company's Asia-Pacific unit.

Acquired by NTT Group (NYSE: NTT) three years ago, Dimension Data now accounts for almost half of the US$12 billion in group revenue outside Japan. "We have been challenged to double the size of that business by 2018," explains Padfield.

Data center services is the fastest-growing segment. "We really regard ourselves as an early entrant into the virtualized cloud-ready centers," Padfield says.

The company offers managed cloud services in major locations such as Tokyo, Singapore, and Hong Kong, with the plan to merge them eventually into a single cloud exchange.

Padfield says that, at one level, the Dimension Data cloud competes against big operators such as Amazon Web Services LLC and Microsoft's Azure in the public cloud, but he argues his platform is "enterprise grade." The same architecture is deployed for private cloud and hosted solutions and is also offered as a white label service to Asian operators such as Hutchison Global Communications Ltd. (HGC) , Bharat Sanchar Nigam Ltd. (BSNL) , and PT Indosat Tbk .

The next stage is the deployment of a voice (or VaaS) platform based on Cisco Systems Inc. (Nasdaq: CSCO) technology, that will support a managed voice service for businesses and call centers.

Padfield says the company has seen a sharp increase in enterprise cloud takeup across Asia during the past 18 months. But like everyone else in the Asian cloud business, the lack of consistent regulations is a frustration. Each market has its own rules on security, privacy and compliance, especially in sensitive areas such as financial services and healthcare.

That's a real problem when the data owner, the server hosting the data, the application owner, and the end-user may all be in different countries. "Whose environment is that under? What records have to be kept on shore? What have to be kept offshore? The rulebook is being rewritten almost daily," says the DiData executive.

On the plus side, he thinks there's greater confidence in cloud security, and this is one of the reasons for the faster take-up. "Two years ago the conversation was all about security. Now it comes up a little bit, but is in no way front and center. People know how it works. In a lot of cases they're actually arguing for third parties to manage their security." (See Verizon: Cloud Security Is Often an Excuse to Avoid Change and Is the Cloud Eating the World?)

— Robert Clark, contributing editor, special to Light Reading

(1)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
DOShea
50%
50%
DOShea,
User Rank: Blogger
7/10/2014 | 12:46:11 PM
Enterprise grade
With the enterprise claims, sounds more like they are trying to step in and compete with the data center-minded telcos, rather than Amazon.
Flash Poll
From The Founder
It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
LRTV Huawei Video Resource Center
Dr. Dong Sun Talks About Carriers' Digital Transformation & Huawei’s Telco OS

1|29|15   |   6:28   |   (0) comments


Dr. Dong Sun, Chief Architect of Digital Transformation Solutions at Huawei, discusses how telecom operators can become digital ecosystem enablers and deliver optimal user experiences that are in real-time, on-demand, all-online, DIY and social (ROADS).
LRTV Huawei Video Resource Center
Huawei's Chief Network Architect Talks about Network Experience & Operators’ Strategies

1|29|15   |   3:39   |   (0) comments


In the digital age, network experience has become the primary productivity especially for telecom operators. In this video, Wenshuan Dang, Huawei’s Chief Network Architect, discusses how carriers can tackle the challenge of infrastructure complexity in order to enhance business agility and improve user experience.
LRTV Documentaries
The Rise of Virtual CPE

1|27|15   |   01:38   |   (5) comments


As NFV strategies evolve from tests and trials to production telco networks, expect to hear a lot about virtual CPE (customer premises equipment) rollouts during 2015.
LRTV Documentaries
Optical Is Hot in 2015

1|23|15   |   01:56   |   (2) comments


Optical comms technology underpins the whole communications sector and there are some really hot trends set for 2015.
LRTV Custom TV
Policy Control in the Fast Lane

1|22|15   |   2:57   |   (0) comments


What's making policy control strategic in 2015 and beyond? Amdocs talks with Heavy Reading's Graham Finnie about the key factors driving change in the data services landscape. Find out what his policy management research reveals about the road ahead for policy control – and sign up for
LRTV Documentaries
Highlights From the 2020 Vision Executive Summit

1|21|15   |   4:33   |   (2) comments


In December 2014, Light Reading brought together telecom executives in Reykjavik, Iceland to discuss their vision for high-capacity networks through the end of the decade. The intimate, interactive meeting was set against the backdrop of Iceland's spectacular natural beauty. As one of the event's founding sponsors, Cisco's Doug Webster shared his company's ...
LRTV Huawei Video Resource Center
Huawei Pay-TV Partner Harmonic, Helping Carriers Accelerate 4K Video Deployment with Huawei

1|20|15   |   5:42   |   (1) comment


At IBC, Peter Alexander, Senior Vice President & CMO at Harmonic, speaks about the growing interest in pay-TV service and its branching into multiple devices.
LRTV Huawei Video Resource Center
Sony Marketing Director Olivier Bovis Discusses the Outlook for 4K and Cooperation With Huawei at IBC 2014

1|20|15   |   6:50   |   (0) comments


At IBC, Olivier Bovis, Marketing Director of Sony, speaks about the coming of the 4K era.
LRTV Huawei Video Resource Center
Huawei Pay-TV Partner Envivio, Helping Carriers Accelerate 4K Video Deployment

1|20|15   |   2:57   |   (0) comments


At IBC, Olivier Bovis, Marketing Director of Sony, speaks about the coming of the 4K era.
LRTV Huawei Video Resource Center
Pay-TV's Networked Future

1|20|15   |   6:29   |   (0) comments


At IBC, Jeff Heynen, Principal Analyst at Infonetics, speaks about the future of the pay-TV industry and its transition.
LRTV Huawei Video Resource Center
Jeff Heynen: Distributed Access Will Help MSOs Compete in the Future

1|20|15   |   2:26   |   (0) comments


At IBC, Jeff Heynen, Principal Analyst at Infonetics, speaks about moving to distributed access and the future trend of cable business.
LRTV Interviews
Cisco Talks Transformation

1|20|15   |   13:02   |   (0) comments


In December 2014, Steve Saunders sat down with Cisco VP of Products & Solutions Marketing Doug Webster at Light Reading's 2020 Vision executive summit in Reykjavik, Iceland. They spoke about Cisco's approach to network virtualization as well as how service providers can begin to monetize high-capacity networks through the end of the decade.
Upcoming Live Events
February 5, 2015, Washington, DC
February 19, 2015, The Fairmont San Jose, San Jose, CA
March 17, 2015, The Cable Center, Denver, CO
April 14, 2015, The Westin Times Square, New York City, NY
May 12, 2015, Grand Hyatt, Denver, CO
May 13-14, 2015, The Westin Peachtree, Atlanta, GA
June 8, 2015, Chicago, IL
June 9-10, 2015, Chicago, IL
June 9, 2015, Chicago, IL
September 9-10, 2015, The Westin Galleria Dallas, Dallas, TX
September 29-30, 2015, The Westin Grand Müchen, Munich, Germany
November 11-12, 2015, The Westin Peachtree Plaza, Atlanta, GA
December 1, 2015, The Westin Times Square, New York City
December 2-3, 2015, The Westin Times Square, New York City
Infographics
Hot Topics
Google Continues Gigabit Expansion
Jason Meyers, Senior Editor, Gigabit Cities/IoT, 1/27/2015
Comcast Apologizes to 'A**hole' Brown
Mitch Wagner, West Coast Bureau Chief, Light Reading, 1/29/2015
US Ops Spend $32.5M to Bring 4G to Chicago's Subways
Sarah Thomas, Editorial Operations Director, 1/30/2015
Cablevision's New WiFi Try – Freewheeling Enough?
Mari Silbey, Independent Technology Editor, 1/26/2015
Overture Builds on NFV Foundation
Mitch Wagner, West Coast Bureau Chief, Light Reading, 1/27/2015
Like Us on Facebook
Twitter Feed
Webinar Archive
BETWEEN THE CEOs - Weekly Executive Interview
Join us live for Light Reading's interview with Jay Samit, the newly appointed CEO of publicly traded SeaChange International Inc. With a resume that includes Sony, EMI, and Universal, Samit brings a reputation as an entrepreneur and a disruptor to his new role at the video solutions company. Hear what he has to say about the opportunities in video, as well as the outlook for cable, telco, OTT and mobile service providers.