Convergencia Research, Consultoría especializada en Latinoamérica y Caribe
Thursday, August 15, 2019

Vertiv: In next ten years between 1 and 2 hyperscale data centers to be built per country in Latin America

Fernando García, VP and General Manager for Latin America of the company, spoke with Convergencialatina about the transformation that the segment will go through until 2025. Brazil leads the progress in this type of data centers, with dimensions that exceed three to ten times those of the current centers.

In the upcoming decade, two phenomena will get through the data center sector, as Fernando García, VP and General Manager for Latin America of Vertiv, explained to Convergencialatina. As regards the data centers themselves, the Internet's backbone will be made up of “monstrous” facilities, the so-called “hyperscale”: between one and two per country in the region will be created, with dimensions between three and ten times greater than those of current premises. On the other hand, the tripling of the sites on the edge of the network that is expected by 2025 will force the infrastructure to become peripheral and distributed, instead of concentrating on more populated centers.

Convergencialatina: Which country in the region will lead the installation of hyperscale data centers?

Fernando García (FG): Brazil, by far. Currently that country has the same data center capacity as the rest of South America, leveraged in a smartphone penetration that is around 70%. Vertiv is currently participating as a technology partner in the construction of the largest center in the southern hemisphere in Brazil, located one hour from Sao Paulo. Its size is equivalent to 14 football fields.

In Argentina a data center of this type, that of EdgeConneX has been recently inaugurated. And Amazon plans to establish centers in the region as well.

CL: How do these hyperscale centers compare with traditional ones, in terms of energy consumption?

FG: The largest data centers we see today in the region have an area of ??white IT room between 1,000 and 4,000 square meters. Meanwhile, the hyperscale measures between 10,000 and 20,000 square meters. In terms of energy, the installed capacity of the current centers is 2 to 5 megawatts, and in the hyperscale it will reach 10 to 50. Compared to a house, for example, where the capacity is 5 to 6 kilowatts, a hyperscale center It will be equivalent to one million homes.

CL: What impact will the development of 5G have on the transformation of data centers and their energy efficiency?

FG: 5G will be the trigger and catalyst for many things to come. It implies an impressive quantitative and qualitative leap, whose impact is equivalent to what the appearance of the Internet meant. It will mark the development of technology for the next fifteen years. The two core features of 5G - bandwidth and latency -, combined with IoT, will generate an amount of brutal information that data centers, as we know so far, cannot support.

The carbon footprint and the environmental impact of data centers and telecommunications networks is very large. Worldwide, 80% of the energy generated in the sector is still generated by the combustion of oil and coal. The 5G networks in turn will require a greater amount of antennas, about 50% more, than those of previous generations, and the 5G antenna itself consumes between two and three times more energy. It is essential that companies begin to adopt energy efficiency measures.

CL: How does Latin America advance in the generation of renewable energy for data centers and telecommunications networks?

FG: In the region there are water resources that allow the use of renewable energy, but in any case we have to work on energy efficiency. For example, in Brazil 85% of the energy is generated with hydroelectric systems. Meanwhile, Mexico, Colombia and Ecuador still rely heavily on fossil fuels.

Last news and analysis

América Latina · Convergence

28/03/2024

Convergencialatina returns on Wednesday, April 3

Puerto Rico · Fixed Broadband

28/03/2024

Puerto Rico must deploy fiber optics in more than half of the island's homes

The data came from a Fiber Broadband Association webinar that revealed the island's situation in FTTH services. There is a plan for the footprint to reach one hundred percent of homes in 2027 financed by federal funds and privately executed.

Puerto Rico · Fixed Broadband

28/03/2024

Puerto Rico must deploy fiber optics in more than half of the island's homes

The data came from a Fiber Broadband Association webinar that revealed the island's situation in FTTH services. There is a plan for the footprint to reach one hundred percent of homes in 2027 financed by federal funds and privately executed.

Uruguay · Pay TV · Internet & OTT · Operators

27/03/2024

Through agreements with Claro and Movistar, cable operators expand their Internet offer

These are agreements of different types, which include leaving the last mile for the cable operator or contracts for available bandwidth. Antel could join with infrastructure leasing. Some cable operators are already building their own networks.

Paraguay · Operators

26/03/2024

Government analyzes partial privatization of Copaco

The state operator is going through a delicate moment. Its income does not cover operating expenses and it must fulfil a debt obligation of US$110 million. Furthermore, the lack of investments led to the obsolescence of its infrastructure. Oscar Stark, president of the firm, states that alternatives are being evaluated to obtain the necessary funds, including the possibility of adding private partners. And he believes that in 18 months "the situation will be resolved."

Search news