Role of the Carrier Hotel in Data Center and Networking Strategies John R Savageau Managing Director CRG West

Carrier Hotels & Data Centers Intro to CRG West and Carrier Hotels One Wilshire Case Study Topics in Outsourcing USA Chile Germany Canada Mexico Australia Korea India China

Intro to CRG West and Carrier Hotels

One Wilshire Case Study

Topics in Outsourcing

Who… is CRG West? Wholly-owned subsidiary of the Carlyle Group One Wilshire Building in Los Angeles Eight US data centers and carrier hotels Any 2 Exchange Focus on real estate Colocation Interconnection Power Cooling Services

Wholly-owned subsidiary of the Carlyle Group

One Wilshire Building in Los Angeles

Eight US data centers and carrier hotels

Any 2 Exchange

Focus on real estate

Colocation

Interconnection

Power

Cooling

Services

Carrier Hotel Theory Definition Background Location Cable distribution Interconnection IP Exchange

Definition

Background

Location

Cable distribution

Interconnection

IP Exchange

Role of the Carrier Hotel The Carrier Hotel provides an essential point for carriers to interconnect their networks, without a need for lengthy backhaul of their network to cable heads, metro, or long distance fiber terminals. The Carrier Hotel is rapidly evolving to include support for packet networks and other virtual network providers.

Born of Competition One Wilshire is a product of deregulation PacBell refused MCI access to their rooftop for microwave antennas One Wilshire opened the building to MCI, Sprint, PacWest, and other emerging CLECs End-to-End ownership of submarine capacity allowed foreign carrier presence in the United States – eliminating ½ circuits NTT POP NTT POP North American & Global Carrier Interconnection NTT Managed Capacity

One Wilshire is a product of deregulation

PacBell refused MCI access to their rooftop for microwave antennas

One Wilshire opened the building to MCI, Sprint, PacWest, and other emerging CLECs

End-to-End ownership of submarine capacity allowed foreign carrier presence in the United States – eliminating ½ circuits

The Times Do Change…

Why Carrier Neutral? Benefit to Tier 2 and Tier 3 networks Allows competitive pricing in one location Reduced transit costs Alternate routing Multiple connections to multiple carriers Non-paid peering Open marketplace to sell services Landlord does not make money on telecommunications services – just real estate

Benefit to Tier 2 and Tier 3 networks

Allows competitive pricing in one location

Reduced transit costs

Alternate routing

Multiple connections to multiple carriers

Non-paid peering

Open marketplace to sell services

Landlord does not make money on telecommunications services – just real estate

Benefits of a Carrier Hotel Eliminates backhaul Promotes Tier 1 carrier bypass Reduces interconnect provisioning time Provides a “DMZ” for competitors Tier 1 carrier interconnect Disaster recovery Internet Exchanges MAE West Any 2 Big APE PAIX LINX

Eliminates backhaul

Promotes Tier 1 carrier bypass

Reduces interconnect provisioning time

Provides a “DMZ” for competitors

Tier 1 carrier interconnect

Disaster recovery

Internet Exchanges

MAE West

Any 2

Big APE

PAIX

LINX

Intro to One Wilshire 30 floors 650,000sqft 24 floors dedicated to telecom & technology 260 direct telecom-related tenants >400 tenants including sub-tenants >150 street level building conduit penetrations CRG West manages building for owner Fully virtualized with Market Post Tower and Wilshire Annex (900 N Alameda) World’s most connected meet-me room

30 floors

650,000sqft

24 floors dedicated to telecom & technology

260 direct telecom-related tenants

>400 tenants including sub-tenants

>150 street level building conduit penetrations

CRG West manages building for owner

Fully virtualized with Market Post Tower and Wilshire Annex (900 N Alameda)

World’s most connected meet-me room

The Meet-Me-Room

Getting to the Carrier Hotel High density cable routes Diverse carriers Access to manholes Access to cable heads

High density cable routes

Diverse carriers

Access to manholes

Access to cable heads

Vertical Distribution Some carriers have switching in building Some carriers have only fiber terminals Many tenants are virtual operators The MMR is a hub for the vertical dimension

Some carriers have switching in building

Some carriers have only fiber terminals

Many tenants are virtual operators

The MMR is a hub for the vertical dimension

Horizontal Distribution

Interconnections in Action Any 2 Exchange

What… is Data Center Outsourcing? Its all about infrastructure Concrete Power Air Conditioning InterConnections Security Is this your organization’s core competency?

Its all about infrastructure

Concrete

Power

Air Conditioning

InterConnections

Security

When… should you consider Data Center Outsourcing? Recognize the “trigger points” within an existing facility Sizing and growth Cost of infrastructure Cost of labor Disaster recovery/business continuity requirements Regulatory requirements Business relocation – build or buy? Resource consolidation Competitive advantage CRG West Data Center Construction Target: $<= 400/sqft

Recognize the “trigger points” within an existing facility

Sizing and growth

Cost of infrastructure

Cost of labor

Disaster recovery/business continuity requirements

Regulatory requirements

Business relocation – build or buy?

Resource consolidation

Competitive advantage

Evaluating a Potential Data Center Structural, mechanical, and electrical architectures Operations Processes M&E maintenance and operations Order entry and service management Escalation path Access to site and equipment Key performance indicators Clear account management Loading dock & deliveries

Structural, mechanical, and electrical architectures

Operations Processes

M&E maintenance and operations

Order entry and service management

Escalation path

Access to site and equipment

Key performance indicators

Clear account management

Loading dock & deliveries

Structural Considerations Floor loading Earthquake rating Slab to slab (floor to ceiling) space VCT Flooring? Raised flooring? Flood zone Environmental

Floor loading

Earthquake rating

Slab to slab (floor to ceiling) space

VCT Flooring?

Raised flooring?

Flood zone

Environmental

Electrical Systems Minimum 1+1 utility/generator AC/DC, 208Y, flexible amperage Systems scaling Preventive maintenance Routine testing (load bank, etc)

Minimum 1+1 utility/generator

AC/DC, 208Y, flexible amperage

Systems scaling

Preventive maintenance

Routine testing (load bank, etc)

When Disaster Strikes… … Will Your Systems Perform?

Correct Planning Assumptions 4000 amp 480Y buss duct Megger tested at 200 volts Did not plan for Florida climate

4000 amp 480Y buss duct

Megger tested at 200 volts

Did not plan for Florida climate

Physical Security Systems Anything is possible – for a cost Determine your risk threshold Actual security events are rare Risk Cost

Anything is possible – for a cost

Determine your risk threshold

Actual security events are rare

Summary John R Savageau CRG West, LLC (213) 327-1207 [email_address]