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TERACO AN AFRICAN STORY

TERACO AN AFRICAN STORY. THE JOURNEY OF A VENDOR NEUTRAL DATA CENTRE. Andrew Owens , Teraco Data Environments For SAFNOG 2018. TERACO CT1 CAPE TOWN: CIRCA 2009. 1. DATA CENTRE. BACKUP GENERATORS. TERACO JB3 ISANDO CAMPUS Johannesburg: 2018. 2. 2008: WHY THE TIME WAS RIGHT.

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TERACO AN AFRICAN STORY

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  1. TERACO AN AFRICAN STORY THE JOURNEY OF A VENDOR NEUTRALDATA CENTRE Andrew Owens, Teraco Data Environments For SAFNOG 2018

  2. TERACO CT1CAPE TOWN: CIRCA 2009 1 DATA CENTRE BACKUP GENERATORS

  3. TERACO JB3ISANDO CAMPUSJohannesburg: 2018 2

  4. 2008: WHY THE TIME WAS RIGHT By 2008 the teleco market in South Africa had reached a pivotal point, resulting in the optimal environment for the establishment of a vendor neutral data centre operator: BEFORE 2008 • Single fixed line operator • Single operator licensed to build infrastructure • High connectivity costs - $4000 per Mbps • Large Telco’s not peering • Limited subsea capacity (2 cables: SAT3 & SAFE) • Limited international content available locally TODAY • Over 350 registered ASNs • ECNS license holders build out own infrastructure • 2 established IXP operators • Multiple high capacity subsea cables (EASSy, WACS, SEACOM, SAT3 & SAFE) • 6/10 top content providers available locally • 6/10 top CDNs available locally

  5. TERACO INVESTMENT TIMELINE 3 SERIES B

  6. GROWTH TIMELINES 4

  7. INTERCONNECTIONS AS AT JUNE 2014 2,800 INTERCONNECTS INTERCONNECTIONS AS AT SEPTEMBER 2018 12,500 INTERCONNECTS 34.5x 3.2x ENTERPRISE FSP CONTENT OUTSOURCER / MSP CARRIER / ISP 2.4x 3.8x 5.2x

  8. TRENDS DRIVING DC GROWTH IN AFRICA 6 • Content is moving closer to the edge (user) • Accelerated migration to the Cloud • Infrastructure capex • Lack of resources (skills) • On premise DC cost escalation • Access to connectivity • Lower connectivity (capacity) costs • The Cloud is local • Improved security • Data sovereignty • Lower latencies • Emerging market • Access to multiple networks • Access to peering (NAPAfrica, JINX, etc.) • Enterprise is becoming digital • eCommerce • Online everything • On premise DC cost escalation • Access to connectivity • Lower connectivity (capacity) costs

  9. THE CLOUD IS HERE 11 July 2018 Amazon Web Services (AWS) Direct Connect is now live in South Africa and located at Africa’s only vendor neutral data centre, Teraco. AWS Direct Connect enables clients to directly connect to their AWS resources in an AWS region. The service is accessible via a direct cross-connect within Teraco or from the Teraco Cloud Exchange platform in Johannesburg and Cape Town. 2 November 2017 Teraco Data Environments, Africa’s largest neutral data centre, today announced it will be a Microsoft Azure ExpressRoute Connectivity partner, providing clients high performance private network connections to Microsoft Azure and other Microsoft Cloud Services. Teraco will be one of the first companies to offer access to the Microsoft Azure ExpressRoute sites in Africa, when Azure becomes generally available in 2018.

  10. 2018: THE ADVENT OF PUBLIC CLOUD INFRASTRUCTURE 7 WHY ARE THEY HERE? TOP 25 AFRICAN RETAILERS, FY13

  11. WHY SOUTH AFRICA 8 Large Addressable Market 1 Internet Freedom 2 Broadband Penetration 3 Stable Power Infrastructure 4 Favourable Regulatory Environment JHB – CPT = 16ms JHB – London = 155ms JHB – Nairobi = 52ms JHB – Lagos = 168ms London – Nairobi = 135ms London – Lagos = 94ms CPT – London = 128ms CPT – Nairobi = 72ms CPT – Lagos = 151ms Stable Political Climate 5 Stable Economic Climate 6 Geographic Location (Furthest PointSouth from European Hub) 8 7

  12. WHAT DOES THAT MEAN FOR ENTERPRISE BUSINESS? • CONSIDER THIS: • Are you using or planning to implement some form of cloud? • Is the private cloud is a more attractive option than the public cloud? • Is your organization moving to the cloud without an adoption strategy in place? • Does your firm anticipate reaping great benefits from the cloud? • Do you know what the cloud means? • Are you planning a hybrid cloud implementation of some sort? • Have you reviewed open source? It is an important strategic component for the majority of cloud adopters. • Are you going to rely on your current providers for migrating into the cloud? • Are you reviewing sophisticated cloud configurations and implementations? • Are you concerned about data security? • Is multi-cloud a part of your strategy?

  13. WHAT ARE CLOUD ON-RAMPS? • DEFINITION • The dedicated network interconnection point to Cloud Operators e.g. • AWS Direct Connect • Microsoft Express Route • Google Cloud Connect • FEATURES • Predictable Performance • High Throughput • Service Level Agreements (SLA) • Redundancy

  14. LIVE AFRICA CLOUD ON-RAMP LOCATIONS – More on the way! JB1 | JOHANNESBURG Region: South Africa North CT1 | CAPE TOWN Region: South Africa West

  15. EXAMPLE - HOW TO CONNECT FROM TERACO Public Cloud Services Public Cloud Services TeracoCloud Exchange CORPORATE DATA CENTER Public Cloud Services CloudOn-Ramps Client/Partner router REGION Client router/firewall CLOUD ON-RAMP LOCATION (TERACO) JB1 | Johannesburg CT1 | Cape Town PRIVATE VIRTUAL INTERFACE PUBLIC VIRTUALINTERFACE PHYSICAL CROSSCONNECT Virtual private gateway Virtual private gateway Virtual private gateway

  16. THE NEXT 10 YEARS IN AFRICA Vendor neutral DCs will proliferate across the major tech hubs(SA, Nigeria, Kenya) 1 2 Global tech brands will adopt a local approach to these markets 3 5G accelerates connecting the continent 4 Africa’s informal economy becomes digital 5 Cloud becomes mainstream 6 Corporate/enterprise investment in African technology increases

  17. THANK YOU The world connects here. Teraco Data Environments (Pty) Ltd5 Brewery Street, Isando, 1600     Phone +27 11 573 2800 / +27 (0) 86 083 7226 www.teraco.co.za

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