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London-based Data Centre to Continue Benefiting from High Utilisation Levels, According to Tariff Consultancy

13 Nov 2012 • by Natalie Aster

Data Centre pricing in the UK market is currently the largest in Europe by raised floor space. It has amongst the highest average rack space pricing per month of all of the European countries of over Euro 1,011 per month per standard retail rack of space, according to the "Data Centre Pricing UK – 2012 report" by Tariff Consultancy.

Report Details:

Data Centre Pricing UK – 2012 report
Published: October, 2012
Pages: 70
Price: US$ 2.400,00

The UK continues to see a build out of new Data Centre space. Traditionally Data Centre space has been focused around the London area, with facilities originally began in the Docklands, and to the West of London.

But more recently major Data Centre facilities have been constructed outside of London and the South East region with large campus-style Data Centres being established in areas outside London such as Wiltshire, Leicestershire, South Wales and North Cambridge shire.

These new Data Centre offer each offer potential raised floor space of from 30,000 square metres up to 60,000 square metres and aim to attract a wide range of clients. Space is typically being released through the sale of individual data halls, with a gradual build out programme in line with customer demand.

The use of multiple data halls allows the Data Centre provider additional flexibility. Each hall can be customised for the particular power or redundancy requirements of the client or else can be used to provide general Data Centre space for individual enterprise users.

Data Centre providers that have specialised in the supply of wholesale space are targeting the medium or large retail segment user through the packaging of power and space as cage or suite space. Space and power are provided at smaller units bringing the wholesale provider into competition with other Data Centre providers.

The introduction of new raised floor space by the large Data Centre provider from outside London will offer more user choice but at a lower average price point. The new campus space does not have the same degree of network connectivity as a traditional London based facility but it will provide more options for customers where location is not so important.

The new space will also put a floor on average market pricing. However, it is likely that the existing London-based Data Centre will continue to benefit from high utilisation levels due to the ability to connect to a wider range of networks and clients that will be attractive to financial traders, gaming, content delivery and digital media providers.

But the spread of low cost campus-style space outside London will allow telecoms, hosting and integrators to rent low cost high quality raised floor space rather than build their own Data Centre facilities.

Although much of the campus-style Data Centre space is being used for wholesale space, much of the space will re-enter the market as resellers re-sell Data Centre space to retail end-users which will act as a constraint on average market pricing.

The introduction of new UK Data Centre space is being driven by a relatively small number of new Data Centre providers with very large facilities outside the London area including providers such as E-Shelter, NGD, Camro and Ark Continuity alone accounting for raised floor space – when fully built out - of up to 190,000 square metres.

More information can be found in the report “Data Centre Pricing UK – 2012 report” by Tariff Consultancy.

To order the report or ask for sample pages contact [email protected]


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