KDDI expands into North America with Canadian data centre acquisition

KDDI expands into North America with Canadian data centre acquisition

KDDI expands in North America

KDDI Corporation, through its data centre brand Telehouse, confirms the expansion of its global footprint in North America with an agreement with Allied Properties REIT.

The deal will see Telehouse acquire three data centres and its accompanying assets in Toronto, Canada for approximately CAD 1.35 billion (UD$ 1 billion).

The news comes as a result of increased demand for interconnectivity services and will see the KDDI establish a new legal entity, KDDI Canada, Inc.

“This is another milestone achievement for KDDI, and an exciting investment which will enhance connectivity capabilities for Canadian businesses," said Yasuaki Kuwahara, member of the board, senior managing executive officer and head of business solutions at KDDI.

"With many North American organisations accelerating their digital transformation and innovation initiatives, we’re delighted to be able to play a part in their success, offering reliable, scalable, flexible and secure services to modernise and future-proof IT environments.”

This latest acquisition brings Telehouse's data centres footprint to 12 countries. The new carrier-neutral facilities are located in the city centre of Toronto, and when fully operational, will provide over 30MW of IT load.

Businesses wishing to collocate from the new locations will also gain access to a range of connectivity partners, including carriers, internet service providers, application service providers, and private and public cloud service providers, to extend network reach, reduce latency and costs, and improve performance.

“With global data centre operating capability, KDDI is an ideal successor owner for our data centre assets. Canadian cities continue to grow dramatically and successfully," said Michael Emory, founder and executive chair, Allied Properties REIT.

"The growth is driven in large part by knowledge-based organisations that require sophisticated and wide-ranging connectivity solutions. KDDI is extremely well positioned to provide these solutions and, in doing so, contribute meaningfully to the many and varied businesses operating in our cities.”

Gift this article