NTT Announces Data Center Plans

TOKYO (03/21/2000) - Japan's NTT Communications Corp. has announced plans to enter the data center business in a big way: It will construct a network of 23 domestic and 12 international data centers within the next year.

The company, which was formed last summer from the long-distance and multimedia divisions of Nippon Telegraph and Telephone Corp. (NTT), will offer the service under its Arcstar brand name and says it has grown from its existing co-location and hosting business.

The new service will be based on the current businesses but offer more of the features associated with data center services and be offered from 23 of the company's existing centers across the nation, which it says offer additional security such as earthquake resistance and back-up power systems.

For the service, NTT Communications is also drawing on a recently signed pact with IBM Corp. and Tivoli Systems Inc. to provide management and operational services for the data centers. [See "NTT, IBM, Tivoli Ink E-Business Outsourcing Pact," Dec. 7, 1999] . Computer Associates International Inc. will also be involved, NTT said.

As the service is expanded domestically during 2000, the company will also begin working with carrier and ISP (Internet service provider) partners in other countries on the establishment of international data centers. In the US, new data centers will be opened in San Jose, California, and Manhattan between April and June, NTT said. In Asia, it plans to open centers within a year in Hong Kong, Singapore, Australia, Philippines, Malaysia, Korea and Taiwan. In Europe, data center services are planned for London, Paris and Frankfurt.

NTT Communications, in Tokyo, can be reached online at

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