Global investor in communications, media and technology sectors, Singapore Technologies Telemedia (ST Telemedia), will be acquiring 74 per cent stake in Tata Communications’ data center business in India and Singapore. Tata Communication will hold the remaining 26 per cent, giving ST Telemedia Global Data Centers (STT GDC) access to fourteen data centers in India and three Singapore facilities.
STT GDC will be expanding and strengthening its global data center network to span four geographies, including strong bases in India and China. While Tata Communications will retain a stake in the colocation market in these important markets, its focus will be on the development and introduction of its advanced managed services portfolio (including IP, cloud enablement and unified communications services), and continuing to invest in its strategic partnerships globally.
The data centres currently service a diversified customer base, including blue chip enterprises in Asia, e-commerce platforms and global multi-national corporations. Both parties will work in partnership to ensure service continuity for customers and employee engagement.
Vinod Kumar, Managing Director and CEO, Tata Communications, says:
“Today marks a milestone moment in Tata Communications’ evolution. We have been proud of the tremendous growth of our data centre subsidiary over a relatively short time. This new joint venture partnership will now allow us to hone our strategic focus on advanced services within the data centre that enable digital transformation for our customers, in addition to infrastructure services.”
Kumar adds that the new partnership also gives Tata Communications the opportunity to redeploy capital behind other areas of its business, to further broaden the portfolio of services it can offer to meet customers’ current and future requirements.
Sio Tat Hiang, Executive Director, ST Telemedia, says, “This partnership marks another key milestone in STT GDC’s growth. Since ST Telemedia’s initial investment in the data center business in mid-2014, we have made remarkable progress in building a formidable data center footprint internationally with strategic presence in key economic hubs to capture industry demand. The latest addition of India to the STT GDC network will be a major impetus to advance the company’s ambition to be a significant global data center service provider.”
Two years back, through a High Court approved process, the Indian data center business of Tata Communications Limited was transferred to its wholly-owned subsidiary Tata Communications Data Centers (TCDC).
Bruno Lopez, CEO, STT GDC, adds, “With this investment, STT GDC is well positioned to become one of the largest Asian-headquartered data center companies with significant platforms in key markets where we continue to see strong growth. STT GDC will focus on leveraging the complementary strengths and experience of this partnership to deliver superior solutions to meet our customers’ data center, cloud and managed services requirements as their businesses grow in India, Singapore and beyond.”
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