Sydney's interconnection bandwidth surging

Sydney’s interconnection bandwidth capacity is on track to more than quadruple by 2021, making it one of the top metros in the Asia–Pacific region, according to Equinix.

Global interconnection bandwidth — or private connectivity between businesses — is on track to grow at nearly 10 times the rate of the public internet over this time. Sydney’s strong performance will contribute to Asia–Pacific being the second fastest growing region after Latin America, the company said.

Sydney’s interconnection bandwidth is expected to grow at a 48% CAGR from 2017 to 2021, which compares to the 44% CAGR from 2016 to 2020 predicted by Equinix last year.

Meanwhile, the Asia–Pacific region is anticipated to grow at a 51% CAGR, with the region set to contribute more than 27% of interconnection bandwidth globally over this time.

The region’s top metros of Sydney, Singapore, Hong Kong and Tokyo will contribute to 61% of the region’s total interconnection bandwidth through to 2021.

Growth in Asia–Pacific will be led by interconnections between enterprises and cloud and IT providers, with total bandwidth projected to grow at a 99% CAGR through 2021.

Other industries projected to see strong growth include energy and utility (83% CAGR), health care and life sciences (79% CAGR), banking and insurance (79% CAGR), government and education (75% CAGR), and business and professional services (71% CAGR).

“Significant macro, technology and regulatory trends are converging to form an unprecedented era of complexity and risk and forcing the integration of physical and digital worlds,” Equinix CMO Sara Baack said.

“The second Volume of the Global Interconnection Index has found that companies are solving their increasing digital requirements by directly connecting to key business partners through interconnection, as traditional forms of connectivity do not meet the demanding requirements of today’s businesses.”

Image credit: ©xiaoliangge/Dollar Photo Club

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