News on 20 October 2000
Despite recent uncomfortable days and nights for some listed technology
companies, telehotels continue to push ahead with plans for new developments
and, in some cases, flotation.
These large-scale data centres provide telecoms infrastructure services
for a whole range of customer organisations, and market analysts predict
continued high demand right across Europe and beyond.
IX Europe, a major player with five operating centres and plans for 19
more, has announced its intention to go ahead with a £309m flotation.
The decision was made even though competing operator, Telecity which floated
in June, has seen its share price drop by about half in recent weeks.
IX has achieved its market position in just two years. Global Switch,
another telehotel developer with plans to go public, is about the same
age and already valued at £750m (see News story).
The telehotels market could be worth as much as $60bn within five years,
predicts research company Ovum.
