Built from the ground up to withstand an intensity 8 earthquake, secured with 11 layers of protection, powered with electrical capacity enough for 1,600 households, and completed at a cost of P1 billion, the 2nd Vitro data center in Cebu was launched by PLDT yesterday.
The facility was built with quadruple the capacity of the first one that was built in Cebu in 2012, which is now 96% utilized. That, PLDT officials said, illustrates the increasing demand for and embrace of the utility of data centers by businesses, including local enterprises.
Vitro Data Center Cebu 2 illustrates the “stellar rise of the Vitro network and the way it has revolutionized how enterprises from all over the country do business,” said PLDT and Smart Chief Revenue Officer and EPLDT Group President and CEO Eric Alberto. The Vitro network “is now the largest network in the country with 10 locations covering the entire length and breadth of the archipelago. It is internationally recognized and certified.”
Accelerate digital transformation
“The addition of a second data center in Cebu ensures that even more businesses can gain access to the benefits of having world-class data management,” Alberto said. “All this is in keeping with the vision that started 18 years ago – to accelerate the digital transformation of the Philippines.”
Today’s business environment is marked by heightened risks, said Vice President and Head of PLDT Enterprise Disruptive Business Group Benedict Patrick Alcoseba. He said an an important way to help companies manage business risks is to provide them “digital infrastructure that helps them with business resiliency and continuity.”
Alcoseba highlighted key features of the data center launched yesterday – 4 days of uninterrupted full load operations during a power outage and without refuelling, 99.99% service availability, 11 layers of facility security, cyber defense, and a highly resilient configuration in power, cooling, and connectivity.
Stability, reliability, security
“If I were to summarize what Vitro Cebu 2 is all about, it’s about providing business stability, ensuring ultimate reliability, and security of clients. When you talk about security it’s all about peace of mind, knowing that they are in a facility that will allow them to run, regardless of what happens,” Alcoseba said.
PLDT said in a statement that “the second Cebu VITRO Data Center is supported by PLDT’s robust fiber optic network spanning over 187,000 kilometers, enabling the delivery of digital solutions nationwide.”
The new facility in Cebu has a capacity of 800 server racks, bringing the nationwide network’s capacity to 9,150 racks, said ePLDT Group SVP and Chief Operating Officer Nerisse Ramos. With that addition, total utilization of the entire network is now at 35%, said Alberto.
This increasing adoption contrasts with the tepid initial response of a few years back, said SVP and Head of PLDT & SMART Enterprise Business Groups Jovy Hernandez.
Vitro Cebu data center
“Six years ago when we launched Vitro Cebu 1, the companies weren’t really going into data centers. Over the past 6 years, a lot of companies, even small and medium enterprises, saw the value – why will I put up my own cooling system? I can never make my own cooling system on my own scale similar to the one here. As more companies now rely on their servers, which traditionally were hosted only in my room at the back of my office, we’re seeing a lot more demand,” Hernandez said.
Alberto said the pace of technology adoption has accelerated. “More and more companies are undergoing their own digital transformation where they have to look to technologies to be able to enable their business to be competitive,” he said. “Looking toward the future, I think it is imperative now that you get connected and you expand your market beyond the typical brick and mortar physical sphere of your legacy market.”
“The rapid pace at which technology changes, particularly in hardware and software, is forcing a lot of business owners to rethink their digital transformation strategies. Are we going to spend CAPEX to be able to own this hardware and software or are we going to turn into an expert partner who has the skill, the reach, plus the attendant and necessary connectivity by which to protect me from high CAPEX outlay into an OPEX?” Alberto said.
Adding to the equation is the “managed service that aptly protects me from cyber security attacks that have become more prevalent, more dynamic, and disruptive,” he said.
PLDT expertise, scale, network
He said businesses that build such facilities on their own have to contend with the rapid technology advances that quickly render systems outdated.
“So are you gonna take the obsolescence risk? And do you have the capability to be able to provide the necessary cooling, the power, the security, the connectivity, plus the cyber security protection? Do you want to own these elements where you don’t have the scale nor the expertise?” Alberto said.
“These are the challenges that we put to the market and we present ourselves in PLDT Group to be the trustworthy and leading partner when you are ready to look at those issues and you are prepared to take on the world through technology,” he said.
“Our expertise, our scale, our buying power, our connectivity, our investments in network connectivity and diversity, our purpose-built data centers with security experts and the managed services experts actually are resources that no one particular company – no matter what the size – will be ever able to scale to,” Alberto said.
Hernandez said their customers are “pretty diverse” in terms of size and location. “More and more companies from our Asian neighbors are actually looking at the Philippines. Before when you talked about data centers in Asia, it was only 2 countries — Singapore and Hong Kong. That’s it. But the Philippines is now being looked at even by international companies as a place for them to co-locate.”
No longer just contingency but business strategy
Ramos said that changes in the business environment encourage them to build capacity. She said that they often ask themselves, “are we over-building?”
“But the reality is whenever we have discussions with our clients, in all industries, even government, dati ang usapan, we need a data center for contingency, but right now that’s not the discussion anymore. The discussion is about the need to be hosted because of risk management, because it’s a business strategy. (It’s no longer) simple contingency but part of a business strategy. This kind of discussion is happening in their boardrooms, not anymore at the IT level,” Ramos said.
Alberto said demand for data center services will increase with the changing business environment. “This is the wave of the future – big data, analytics, AI. Artificial Intelligence is machine learning. It’s growing. And machine learning must be fed with continuous data, historical as far back to be more accurate and current,” he said.