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Verizon Businesses Data Storage

Verizon Launches Auction To Sell Data Centers (reuters.com) 39

operator_error writes: Verizon has now chosen to reverse "its strategy to expand in hosting and colocation services after it acquired data center operator Terremark Worldwide Inc in 2011 for $1.4 billion", and has "started a process to sell its data center assets". The so-called 'colocation' portfolio up for sale includes 48 data centers, and generates annual earnings before interest, tax, depreciation and amortization of around $275 million. The enterprise telecommunications industry has had to adapt in recent years to corporate customers seeking more sophisticated and cheaper offerings to manage their data. Verizon joins a host of its rivals in telecommunications who are shedding their data centers.
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Verizon Launches Auction To Sell Data Centers

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  • by turkeydance ( 1266624 ) on Wednesday January 06, 2016 @08:11PM (#51252863)
    require an NSA risk adverse buyer.
  • by surfdaddy ( 930829 ) on Wednesday January 06, 2016 @08:41PM (#51252979)

    They bought spectrum which is the property of the people, agreeing to use it fairly. Yet they prohibit devices on their net and require them to go through long "testing" processes that can take up to a year - on devices that have two year shelf lives. They are also against net neutrality.

    I figure if it is bad for Verizon, it is good for the public in general.

  • by Anonymous Coward

    This is a sign they plan on taking net neutrality seriously... at least for now.

    • by Anonymous Coward

      This is a sign they plan on taking net neutrality seriously... at least for now.

      How did you achieve this "leap of logic" may I ask?

  • Microsoft (Score:5, Interesting)

    by JustAnotherOldGuy ( 4145623 ) on Wednesday January 06, 2016 @08:49PM (#51253015)

    I wouldn't be too surprised if Microsoft bought some, gutted them, and fitted them with new racks of up-to-date gear. Right now MS is desperately in need of physical server space because their Azure stuff is actually (surprisingly) getting a lot of traction.

    They literally cannot build datacenters fast enough so they've taken to leasing buildings and then doing the gut/harden/refurbish thing to them, turning them into colos and full-fledged DCs.

    An existing DC would be a prime candidate for this as it's already a DC and would only need modern racks and servers. Cooling, power, and physical security are already there and that's what takes the longest to complete. Rack installation, on the other hand, can be done very quickly.

    • Aren't all the Aszure data centers just Butler Buildings with shipping container compute nodes stacked inside? I would doubt they can make a traditional data center work economically for the server capaicty they are deploying.

      • Aren't all the Aszure data centers just Butler Buildings with shipping container compute nodes stacked inside? I would doubt they can make a traditional data center work economically for the server capaicty they are deploying.

        Some are, some aren't. I think the shipping container thing is an older iteration (although still in use and probably still being built). They're made for unimproved areas, basically scrape a field flat, put up walls, dump the containers, then hook 'em up and turn 'em on. Guards patrol the perimeter and in between the rows of shipping containers. Lots of physical security.

        They keep going through all sorts of different designs...classic colo buildings, "spine" layouts with a power/water "backbone", shipping

        • Interesting, thanks. I know they have a lot of traditional facilities that continue to grow, but I thought the economics of a pre-populated, configured, and tested node with xx,xxx servers was hard to beat. The 4-pack racks might have some simplification in terms of a "universal" standard module, but at the scale they are deploying them...wow.

          • Interesting, thanks. I know they have a lot of traditional facilities that continue to grow, but I thought the economics of a pre-populated, configured, and tested node with xx,xxx servers was hard to beat. The 4-pack racks might have some simplification in terms of a "universal" standard module, but at the scale they are deploying them...wow.

            I've been kind of taken aback at how much growth they're experiencing with the whole Azure thing, it's way more popular than I ever would have imagined.

    • by hhw ( 683423 )
      These are tenanted data centers, with customers on long-term contracts. It would take up to 3 years for contracts to expire before they could fully repurpose these facilities. Also, Verizon/Terremark owns the main interconnection point in Miami, including the Nap of The Americas peering exchange, where the vast majority of traffic to Latin America traverses through. If Microsoft were to simply repurpose that facility for internal use, they'd effectively cut off Latin America from the rest of the Internet.
      • These are tenanted data centers, with customers on long-term contracts. It would take up to 3 years for contracts to expire before they could fully repurpose these facilities.

        Then they probably won't be interested. Three years is way too long for them to wait. They need stuff yesterday, basically.

      • by nolife ( 233813 )

        We have cages in two different Verizon/Teramark datacenters. In both, roughly half the physical space is Verizon's own internal network operations, the rest is leased out by sq ft and electrical load needs to others. I assumed they built these centers, realized they don't need all of the space for themselves and decided to rent out the rest, maybe that was not the case, who knows.

  • Obviously, Verizon will simply rent data center resources from the new NSA data center in Utah. It will make sharing our information much simpler.

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