2017 FrostIQ – Asia-Pacific Data Center Service Providers A comprehensive guide for industry CIOs and other decision makers, on the selection of best-in-class data center service providers in Asia-Pacific. This is an abridged version of the FrostIQ presentation shared with our clients. Incase you are a CIO/CTO/IT decision maker and are interested in knowing more on this Report and the Methodology , please feel free to drop me a note.

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A comprehensive guide for industry CIOs and other decision makers, on the selection of
best-in-class data center service providers in Asia-Pacific.
2017 FrostIQ
Asia-Pacific Data Center Service Providers

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Today’s presenter
Ajay Sunder
Vice President, Digital Transformation
Frost & Sullivan Asia-Pacific
Ajay Sunder is Vice President of the Digital Transformation Practice at Frost &
Sullivan, Asia-Pacific.
Responsible for Frost & Sullivan’s Service Providers research and advisory
services across the region.
Led strategic consulting projects on market entry strategy, new services/product
roadmap for some of the leading telecom operators/vendors in the region.

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Agenda
1 Introducing the FrostIQ matrix
2 Methodology used for benchmarking
3
Presenting the 2017 FrostIQ - Data Center Service Providers
Leaderboard
4 Question and Answer
5
More about Frost & Sullivan Asia-Pacific Data Center & Cloud
Computing’s research & consulting capabilities
6 Next steps
This is an abridged version of the Report shared with our regular clients .Incase you are a

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Disclaimer
This is an abridged version of the Report shared with our
regular clients .
Incase you are a CIO/CTO interested in making a Data
center decision for your enterprise and are interested in
knowing more about the Methodology /any of the players
profiled or general insights on the Data centre market in
any specific APAC country, please feel free to drop me a
mail.

5. Introducing the FrostIQ matrix

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Evolution of decision-making
Decision
Basis
Decision
Makers
Decision
Time
Intuitive
Decisions are based on
executives’
experiences.
Homogenous
An IT decision will be
made within the IT
department.
Periodic
The decision-making
process is lengthy.
Data-driven
Business decisions are
required to be validated
by data.
Heterogeneous
An IT decision will be
made by both IT and
non-IT leaders.
Dynamic
The decision-making
process requires agility
to respond to fast
changing business
environments.
20172007
Source: Frost & Sullivan

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We hear you
1 Make informed business decisions
2 Justify to the non-IT folks
3 You cannot customize market share
4 Future outlook with present realities
5 A localized alternative to existing models
Source: Frost & Sullivan

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Our mission
1
Make informed business
decisions
2 Justify to the non-IT folks
3
You cannot customize market
share
4
Future outlook with present
realities
5
A localized alternative to
existing models
Providing industry CIOs with a tool guide on
selecting and partnering with best-in-class data
center service providers in the Asia-Pacific region.
Offering an easy-to-understand snapshot of leading
data center service providers, in the form of a
benchmark matrix.
Infusing quantitative perspectives, by reflecting
market shares of leading data center service
providers in the matrix.
Offering a localized yet objective perspective of the
data center market participant landscape, customized
to the context of the Asia-Pacific region.
Operationalizing our analyst expertise and industry
knowledge to aid in your decision-making process.
Source: Frost & Sullivan

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Introducing the 2017 FrostIQ – Data Center Service Providers Matrix
The FrostIQ stands for Frost Industry Quotient.
Provides Frost & Sullivan's perspective on the data
center service providers market in Asia-Pacific.
Infuses both analytical and quantitative
perspectives on the axes of the matrix.
The 'X' axis reflects market shares of data center
market participants in Asia-Pacific in 2016.
The 'Y' axis reflects analysis of data center service
providers' future growth strategies, across:
i. Product/Service Strategy
ii. People/Skills Strategy
iii. Ecosystem Strategy
iv. Business Strategy
Source: Frost & Sullivan

10. Methodology used for benchmarking

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Methodology used for FrostIQ benchmarking exercise
Shortlisting list of preliminary
market participants
Criteria to select
market participants to
be benchmarked on
matrix
Benchmarking and profiling of
market participants, based on
market share and future growth
strategies
B CA
Operate data
centers in at
least two
countries in
Asia-Pacific
Generate
revenue from
Asia-Pacific
data centers of
more than
US$60 million
in 2016
Ongoing
engagement
with leading
data center
service
providers
Primary
research,
secondary
research, In-
house
database
Preliminary
list of
participants
to be
featured
Plotting of
selected data
center service
providers on
FrostIQ matrix
Profile write-up
of data center
providers
featured
A1.1
A1.2
A2
B1.1
B1.2
C1
C2
Source: Frost & Sullivan

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The financial metrics seem much attractive for the IT services part
of the value chain forcing some players moving / trying to move
across the value chain.
Illustrative
Facility Build-
out and
Management
Wholesale
and Retail
Data Center
Hosting
Telecom
Service
Providers
Managed
Services
Service
Requirements
Direct contract with
the Wholesale
Colocation players
or Facility Managers
Simple
multi-vendor
support
Direct SLAs with end
enterprises or with
Retail colocation
players
One stop SLAs
Dependent on
third-parties
Key players
in the
market
CBRE
Cushman &
Wakefield
Digital Realty
Mapletree
Telecity Group
DuPont Fabros
Digital Realty
Equinix
CoreSite
Equinix
Tivit
Interxion
Telehouse
AT&T
BT
CenturyLink
NTT Comms
Orange
Telstra
Verizon
Dimension Data
Fujitsu
IBM
HP
Typical*
Financial
metrics
* Analysis based on certain global players and is not exhaustive/indicative
P/E ratio
ROIC
Net
Margin
20-25
2-10%
6-8%
20-40
2-10%
6-8%
30-50
10-12%
10-20%
30-60
12-20%
25-30%

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This is forcing players to explore forward and backward integration
across the Value chain.
Facility Build-out
and Management
Wholesale
Colocation
Service Spectrum
Retail
Colocation
Managed
Hosting
Traditional Service Coverage
Expanded Service Coverage
Real Estate
Companies
Wholesale
Colo
Provider
Driving Factor:
• Move up to the value chain to increase revenue margin
• Develop expertise in addition to its data center assets
Driving Factor:
• End-to-end facility control
• Similar transaction pattern between
wholesale colo and real estate
• Land investment
…
Driving Factor:
• Add more business value to
customers

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Market Activity Heat Map
14
Australia & New Zealand
APAC Hyperactive
Gaining Momentum
Limited Activity

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Country Market Growth Stage Matrix
Market Size 2016
MarketGrowthRate(2017-2020)
Mature
Sustainable
Growth
Emerging
Growth
Nascent
China
Australia
India
Singapore
Hong Kong
Malaysia
Indonesia
Thailand
Japan
Market size not to scale and only a Representation of relative positioning

16. Presenting the 2017 FrostIQ –
Data Center Service Providers Leaderboard

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2017 FrostIQ - Data Center Service Providers Leaderboard
Source: Frost & Sullivan

18. Question and Answer

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Question & Answer

20. More about Frost & Sullivan Asia-Pacific
Data Center & Cloud Computing’s research & consulting capabilities

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Market Definition – Data Center Services
Price Chargeable to Customers
Service Level
Infrastructure
Network
Server
OS
Application
Business Process
Colocation
Pure rental of data center floor space, cage, or
empty racks with basic power, cooling, and
bandwidth.
Managed Hosting
Rental of servers with basic services such as Monitoring
and System Reboot
Source: Frost & Sullivan

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Market Definition – Data Center Services (Cont’d)
Co-location
Co-location refers to pure space rental,
including private vaults, floor space, cage,
or racks in different sizes. There is
provision of basic infrastructure level
support such as power, cooling and
physical security measures. Basic network
connectivity is provided, however
additional network and bandwidth
requirements may incur additional charges.
Customers pay monthly or annual rental
for space and basic facilities, but need to
purchase their own servers. In addition,
customers may need to deploy their own
in-house IT resources to manage the
servers.
Managed Hosting
Unlike co-location, managed hosting service
includes servers. Customers do not need to
purchase servers; they rent the servers from
the data center operators together with other
specifications. Managed hosting services have
expanded to provide customers the flexibility of
cloud computing in a dedicated environment,
i.e., private cloud. Hence, third-party hosted
private cloud is also categorized under
managed hosting for the purpose of this study.
The data center operator, in most cases, also
provides 24/7 system support services such
as monitoring and rebooting, which may
include operating system management and
software security management.
Source: Frost & Sullivan

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Market Definition – Cloud Computing
Cloud Computing: A pool of compute, memory and i/o resources, applications or operating environments
with seemingly infinite scalability, delivered as a service over a network, be it private or public.
Characteristics
On Demand, Self-
Service
Pay-as-you-use,
Metered
Consumption
Rapid Elasticity,
Scale up/down
Shared Pools,
Illusion of Infinite
Resources
Broad Network
Access Using
Standard Internet
Protocols
Service Types
Software as a Service
Software delivered through
the public or private network
Platform as a Service
Development platform as a
service
Infrastructure as a
Service
Compute, storage as a
service
Deployment Models
Public
Private
Community
Hybrid
Source: Frost & Sullivan analysis

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Why Frost & Sullivan is the ideal partner to assist you in a regional
Data Center and Cloud Computing study
Deep Knowledge
• In-depth understanding of the regional data center and cloud services market
Dedicated Expertise in Data Center and Cloud
• One of the largest Data Center & Cloud Analyst teams in the Asia-Pacific region
tracking markets on a regular basis
Experienced Team
• Combined authorship of more than 70 reports
Extensive Client Portfolio
• Good relationship with major players in the Asia-Pacific region

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A snapshot of some of our consulting clients
Frost & Sullivan has undertaken successful engagements for top companies across the region:
Our Clients
Pure-play DCs RegulatorsTelcos
Others
Frost & Sullivan works with leading TSPs, Pure DC players and Regulators in the Data Center space on projects encompassing:
 Strategy Development, Business Plan, GAP Analysis
 Market Sizing and Forecasts, Competitive Benchmarking and Go-to-Market Strategies
 Battle cards and Demand-side End-User Analysis

26. Next steps

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Next steps
Develop Your Visionary
and Innovative Skills
Growth Partnership
Service
Share your growth thought
leadership and ideas or
join our GIL Global
Community
Join our GIL Community
Newsletter
Keep abreast of innovative
growth opportunities
1 2 3
Source: Frost & Sullivan

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Your feedback is important to us
What would you like to see from Frost & Sullivan?
Growth Forecasts?
Competitive Structure?
Emerging Trends?
Strategic Recommendations?
Other??
Please inform us by “Rating” this presentation.
Source: Frost & Sullivan

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Follow Frost & Sullivan on Facebook, LinkedIn, SlideShare, and
Twitter
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Source: Frost & Sullivan

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Thank You!
Ajay Sunder
Vice President
Digital Transformation – Telecoms
Ajay.Sunder@frost.com
Nishchal Khorana
Director
Digital Transformation – Data Centre
and Cloud Computing
Nishchal.Khorana@frost.com
For more enquiries, please contact: