SINGAPORE (08/23/2000) - There is a strong demand for hosting and outsourcing services, note executives of DataOne Asia Pte. Ltd., the latest local Internet service provider (ISP).
Realizing the business potential as a result of providing such services, the ISP has started its Data Center Business.
"Hosting provides phenomenal growth," stressed Andrew Lee, chief executive officer, DataOne Asia. "An ISP must introduce value-added services to customers, so the data center service is expected to play a key role for us."
The ISP's great optimism stems from the short supply worldwide, of Internet expertise capable of running these functions in-house. About 60 percent of all hosting is already outsourced, according to Michael Warren, deputy CEO, DataOne, which is a wholly owned subsidiary of Keppel Telecommunications and Transportation.
DataOne will provide what it describes as "First and Second Generation" managed Internet hosting facilities. First generation involves co-location services under which DataOne holds and maintains storage equipment, which are actually owned by its customers. Second generation involves dedicated hosting services where DataOne owns and manages all the hardware and software necessary.
The launch is part of DataOne's plans to expand in Asia-Pacific. The company will invest S$30 million (US$17.5 million) to S$50 million initially to roll out data centers in Singapore, Thailand, Malaysia and the Philippines by September.
Subsequently, it intends to build data centers in Hong Kong, China and Taiwan in Phase 2 of its regionalization plans, and Korea, Japan and Indonesia in the third phase.
"We expect to complete the three phases by July 2001," Warren said.
With the aim of becoming a strategic electronic-business enabler, the ISP will provide top level infrastructure hardware and software tools to facilitator companies looking to facilitate the hosting business, specifically to host and enable business-to-business exchanges within Asia, and to and from other exchanges.
Working with DataOne are, Hewlett-Packard, Cisco Systems, Computer Associates, Novell, Nortel Networks, Lotus, Dell, Ensim, Top Layer, Broadvision, Dun & Bradstreeet, and SingBizInfo.