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Vince Cable welcomes £135m datacentre investment in Docklands

Archana Venkatraman

Telehouse, the London-based colocation and datacentre provider, is building a next-generation mission-critical datacentre in the Docklands, after Japanese parent company KDDI decided to pump in £135m to expand the existing Docklands infrastructure.

“It is good news that Japanese ICT company KDDI has decided to invest a further £135m in their global datacentre at the Docklands,” said Vince Cable, UK secretary of state for business, innovation and skills. “Britain’s economy is growing thanks to Japanese investment and in 2013/14, it was the second biggest investor in the UK, starting over 100 new projects and creating 3,000 new jobs.”

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Over the past 25 years, KDDI has invested over £272m, with £172m over the past five years alone.

The investment, in line with the UK government’s policy of inward investment to encourage innovation, growth and new jobs, will enable businesses to take advantage of evolving technologies, according to the government.

The new datacentre facility, built next to the existing facility, will be called Docklands North Two and will bring 23,134m2 of floor space, taking Telehouse’s total presence in London to 73,395m2.

North Two will feature improved network connectivity to provide British businesses with the digital infrastructure needed to take advantage of the “new internet”, driven largely by apps, smartphones, tablets and cloud computing.

According to Telehouse, 78% of all UK business has at least one cloud-based service and the use of mobile devices is surging rapidly.

“North Two has been created with the new internet in mind. It will house mission-critical infrastructure, which will enable the development of hybrid services for customers,” said Hiroyuki Soshi, managing director of Telehouse Europe.

“The £135m investment in North Two will be crucial to the expansion of one of the world’s most critical internet hubs and marks a new dawn for datacentres.

“We believe that as the internet continues to develop at such a dramatic pace, the underlying infrastructure in the Docklands must stay ahead to meet the needs of the future,” Soshi said.

Telehouse’s existing Docklands facility serves many telecommunication carriers, such as London Internet Exchange (Linx), Colo-X and Claranet.

Further capacity at Docklands datacentre is important to ensure this vital network ecosystem can continue to expand and thrive to service the needs of the UK and Europe’s digital economy, said Tim Anker, founder and director of Colo-X.

“The Telehouse Docklands dataentre already facilitates the majority of Linx capacity, and internet traffic will inevitably grow, especially with the transition to 100G technology now underway, said John Souter, chief executive of Linx. 

“With such a huge proportion of all UK internet traffic flowing through Linx, this investment in the national critical infrastructure of the UK gives us great confidence.”

North Two will house mission-critical infrastructure, which will enable the development of hybrid services for customers, the parent company has said.

Alastair Pooley, vice-president for datacentres at security company Sophos said: “Sophos relies on a mixture of cloud and physical datacentres to provide service to our customers. We believe cloud is key to our success but underpinning it are strong facilities where we can host our critical data on our own hardware platforms."


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