CyrusOne, a global data centre developer and operator, and Kansai Electric Power Company, Inc. (KEPCO), a Japan-based electric utility and power provider that also operates telecommunications and real estate development businesses, announced their joint venture called CyrusOne KEP.
CyrusOne KEP brings together two companies with technical and operational skill to develop new data centres to meet the requirements of hyperscale platform companies. Through this collaboration, data centre infrastructure will be better aligned with the broader power grid to drive resilience, efficiency and smart development.
“This is a unique partnership that brings data centre and power knowledge and capability together and provides a unique opportunity to simultaneously optimise digital and power infrastructure,” says Eric Schwartz, president and CEO of CyrusOne. “KEPCO is one of the largest utility providers in Japan with extensive local expertise. Their knowledge and relationships plus CyrusOne’s design, development and commercial operations of data centres positions us to further serve customers with growth aspirations around the world.”
In this agreement, the companies established a joint venture with equal investments by the two companies, leveraging the strengths of both companies to undertake the hyperscale data centre development and operation business in Japan. CyrusOne KEP plans to invest at least one trillion yen (more than [$7 billion (€6.54 billion)]) over the next decade and reach a business scale of 900 MW.
“CyrusOne is a global leader in hyperscale data centres in terms of both scale and growth. KEPCO and CyrusOne are optimal partners due to their deep understanding of power and utility operations, and their cultural and organisational flexibility. The hyperscale data centre market is continuing to grow in Japan due to the increase of data traffic volume led by the growth of digital technology products and services that provide a positive impact on productivity, entertainment and security. With the joint venture, the KEPCO Group aims to provide world-best quality service to the cloud companies and technology organisations in Japan,” says Nozomu Mori, president and CEO of KEPCO.
CyrusOne and KEPCO plan to build in the Kansai area and other markets across Japan. Construction on the first project is expected to begin in the near future in Kansai.
To learn more about CyrusOne, visit CyrusOne, and KEPCO.
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