KDDI expands data center presence in North America

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Jun 21, 2023, 06:30 ET

The telecoms leader enters the Canadian market following the acquisition of three data centers in Toronto

TOKYO, June 21, 2023 /PRNewswire/ -- KDDI Corporation, a Japanese telecommunications leader, together with its data center brand Telehouse, has announced the latest expansion of its global footprint in North America by reaching an agreement with Allied Properties REIT to acquire three data centers and its accompanying assets in Toronto, Canada. This investment of CAD 1.35 billion comes as a result of increased demand in the market for reliable interconnectivity services and is an important milestone for KDDI's expansion plans which will see the company establish a new legal entity, KDDI Canada, Inc.

KDDI expands data centre presence in North America

Starting with the first Telehouse data center in New York in 1989, KDDI has been continuously expanding Telehouse's presence in new markets for over 30 years, with this recent acquisition bringing the total portfolio of data centers to 12 countries. The new carrier-neutral data centers are located in the city center of Toronto, and when fully operational, will provide over 30MW of IT load.

KDDI's new data centers will provide both shared and dedicated space to fulfill customer needs, especially those expanding internationally, who require a highly trusted partner to establish their IT environment. Businesses wishing to colocate from the new locations will gain unrivalled access to a variety of connectivity partners, including carriers, ISPs, ASPs, and the world's largest private and public cloud service providers, to extend network reach, reduce latency and costs, and improve performance.

Yasuaki Kuwahara, Member of the Board, Senior Managing Executive Officer and Head of Business Solution at KDDI, commented: "This is another milestone achievement for KDDI, and an exciting investment which will enhance connectivity capabilities for Canadian businesses. With many North American organizations accelerating their digital transformation and innovation initiatives, we're delighted to be able to play a part in their success, offering reliable, scalable, flexible and secure services to modernize and future-proof IT environments."

Michael Emory, Founder and Executive Chair, Allied Properties REIT, said: "With global data center operating capability, KDDI is an ideal successor owner for our data center assets. Canadian cities continue to grow dramatically and successfully. The growth is driven in large part by knowledge-based organizations that require sophisticated and wide-ranging connectivity solutions. KDDI is extremely well positioned to provide these solutions and, in doing so, contribute meaningfully to the many and varied businesses operating in our cities."

NOTES TO EDITORS

About KDDI Corporation

Created in 1953 at the initiative of the Japanese government to develop the international network from Japan, KDDI Group operates at various levels in the field of telecommunications and is now present in more than 60 cities and 100 locations around the world. KDDI deployed major international infrastructures, including its Global Network, a digitized proprietary network including optic-fibre and linking Europe, North America, Asia and Australia. With a customer portfolio of over 50 million subscribers in Japan, KDDI offers cell phone services, network services and IT solutions to its global customers. For more information visit: https://www.kddi.com/english/

About Telehouse

Telehouse is a leading global data center service provider under KDDI group, bringing together more than 3,000 business partners including carriers, mobile and content providers, enterprises, cloud providers and financial services companies. Established in 1989, Telehouse provides reliable, secure, and flexible colocation, enabling organisations to accelerate speed to market and create business opportunities through fast, efficient and secure interconnections. For more information visit: https://www.telehouse.net/

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SOURCE KDDI Corporation