Colocation facilities and the economic downturn

Colocation facilities and the economic downturn

Colocation facilities and the economic downturn

Date: Oct 24, 2008

Digital Realty Trust's Chris Crosby discusses the economy's effect on the data center colocation industry.

Read the full transcript from this video below: 
Colocation facilities and the economic downturn

Mark Fonteccio: This is Mark Fonteccio, I'm a news writer for TechTarget, behind the camera. I'm talking to Chris Crosby, who's the senior vice president at Digital Realty Trust. So Chris, can you talk a little bit about how the economy is affecting the data center co-location industry, if at all?

Chris Crosby: Sure, we're still seen a lot of demand. Of course, we're in the wholesale industry, which is a component of the co-lo industry. But we definitely are seeing that our clients are still having a lot of non-discretionary purchases in data center environments that need to made.

We continue to see some demand shift from, maybe, their balance sheet onto a third-party provider's balance sheet. That said, there's a lot of nervousness within the industry right now but our third quarter was our record quarter for Digital Realty Trust, in terms of new lease signings.

At least on the wholesale data center space, the large scale space, we continue to see a lot of demand driving.

Mark Fonteccio: Great, thanks a lot Chris.

Chris Crosby: Thanks.

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