Big data center providers continue to grow at a steady clip as more capital and resources flow into the fast-changing sector.
Equinix and Digital Realty, two of the largest data center firms in the world, each reported their fourth-quarter results last week, showing consistent revenue growth despite the impact of the coronavirus pandemic on development timelines and countless enterprises across the world.
“We believe we are well-positioned to continue to deliver sustainable growth ... whatever the macro environment may have in store,” Digital Realty CEO Bill Stein said on a Thursday call with shareholders.
Digital Realty reported $1B in revenue and $130M in bookings from October through December 2020, including $21M in smaller deals of 1 megawatt or less and $12M in interconnection services, which offer boosted connectivity to its customers. Digital Realty executives also acknowledged the rapidly changing competitive environment for data centers, with hyperscalers — major tech companies that offer both cloud services and infrastructure, requiring vast amounts of data center real estate — driving an outsized share of the market growth.