T1R Daily Article: Sidera to connect Sabey’s datacenters, enabling low latency to APAC from NY

Sidera to connect Sabey’s datacenters, enabling low latency to APAC from NY

By: Michael Levy, Analyst for Tier 1 Research / 451 Research

Sidera Networks and Sabey Corp disclosed a partnership where Sidera will provide connectivity between Sabey’s datacenters in New York, Ashburn, Virginia, and Seattle. T1R normally does not cover the introduction of a new carrier in a datacenter because enhancing carrier density is expected of all multi-tenant datacenter providers. This is an interesting play, however, because it will enable Sabey’s tenants at 375 Peal Street, the company’s highly anticipated giant datacenter in New York City, to achieve low-latency connectivity with Asia-Pacific. Generally, it was necessary to have a point of presence in Seattle for the connection needed for latency-sensitive activities, such as high-frequency trading in Asia-Pacific. Now that Sabey’s New York and Seattle properties will be interconnected, financial institutions in New York will be able to locate their servers locally and establish a low-latency connection across the Pacific.

More on Sidera’s strategy

Sidera is currently extending its network to Seattle. Currently, the company’s network is most dense in Northern Virginia and connects to New York/New Jersey, Boston, Chicago and Philadelphia. The company also has assets in Toronto, London and Brazil and is looking to enter Asia-Pacific. Rather than aiming to light as many large office buildings as possible, Sidera is more keen on connecting to large datacenter facilities that have major bandwidth requirements. This includes large multi-tenant facilities and sophisticated proprietary facilities run by Web giants. Sidera’s products in include Ethernet, SONET, Wavelength, Dark Fiber and Internet Access. Currently, the provider offers colocation from many of its facilities; however, it will soon sell colocation space from only two locations because it would rather connect to colocation providers and not compete with them.

For T1R’s Take – visit Tier 1 Research’s website.  

T1R take

Sidera is intelligently building out its network to accommodate the centralization of key applications into well-connected, premium datacenters. As more applications migrate from the PC to the cloud, there will be incomprehensible amounts of bandwidth traveling to and from production environments in key datacenters. It is reassuring to see that carriers are not only acquiring new assets to meet the needs of multi-tenant facilities, but willing to engage in greenfield development as well.

 

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