Telia Carrier is continuing its organic expansion, announcing today two new points of presence in the Portland, Ore., market, targeting hyperscalers and other large data center operations in that area. (See Telia Carrier Expands in Portland.)
Low electric rates and a booming tech sector is making Portland an attractive site for data center companies including EdgeConneX, ViaWest and InfoMart, among others, says Art Kazmierczak, director of business development for Telia Carrier and that, in turn, drives up demand for fiber connections. That growth, combined with sea cable landing sites from Asia -- and the growth of the undersea cable market -- makes Portland a place to be, he says. The two PoPs include a location in downtown Portland and a second in Hillsboro.
Because it is new to the area, Telia Carrier is able to build its networks along routes that diverge from those of existing carriers, meeting a key customer requirement, he notes.
"Right now, we are serving a lot of this traffic from Seattle and the Bay area, meaning traffic is getting backhauled to one of those two markets," Kazmierczak tells Light Reading in an interview. "This continues our trend of extending our network into Tier 2 and Tier 3 markets. And extending our network [connections] to the edge to reduce latency and provide better resiliency for our customers."
Those customers are seeing consolidation among other industry players -- Verizon's acquisition of XO Communications and Zayo's buy of Electric Lightwave are two recent examples -- and may then find themselves with a more limited number of options for expanding network capacity. Telia Carrier is adding Hillsboro as an option for those concerned that too much interconnection traffic goes into one carrier hotel in downtown Portland or nearby, and want a diverse route as backup.
Because Telia Carrier is already well known in the wholesale market, the company expects significant business in its new Portland PoPs from the outset, but will have to work harder to get its name known among other companies in the Portland area, Kazmierczak says.
— Carol Wilson, Editor-at-Large, Light Reading
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