Pan-European infrastructure provider Interoute (news) said today that it has launched a Virtual Data Centre product. The idea is to fuse the security of private clouds with the convenience of public clouds. Enterprises get to pay as they go, with the necessary bandwidth bundled into the package.
Interoute is also taking pains to comply with Europe's rapidly evolving regulatory environment for data. They will allow its customers to select the physical location of its cloud, with London, Geneva, and Amsterdam being the initial choices with additional locations to come online over time. The perceived risk of not controlling the physical location of one's data has been one of the least popular potential results of the cloud revolution, and so providers are starting to take great pains to allay those fears. We're going to see some new data hubs coalesce in places with the most favorable regulatory environments, though it's not clear yet where those will be.
In general, the virtual data center and similar product offerings seem set to become almost a standard complement to traditional colocation services for carriers globally. Offering such functionality seems win-win for carriers on all fronts. They get higher margin revenue that makes more efficient use of the assets they've worked so hard to build, and their customers get to stop messing around with hardware and racks and UPS equipment and just focus on whatever their actual business is.
For its part, Interoute has been steadily building up its cloud/ICT portfolio for several years now, and the introduction of a VDC offering was an obvious step forward for them. Actually, given their overal inclination toward the market, one can imagine this becoming a key product capable of powering some real growth over the next few years.
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