AT&T Expands Data Center Network: Update September 2005

AT&T is opening two additional Internet Data Centers (IDCs) in California and China, and expanding its existing presence in the New York City center by 27 percent. With the new centers, AT&T will be able to provide managed data center services from 28 IDCs worldwide - 14 within the U.S. and 14 overseas.

AT&T is bolstering its presence in the Silicon Valley/San Francisco Bay area with a new center in San Jose, Calif., which is scheduled to open in November. The center will more than double the company's existing hosting capacity already available in that market. AT&T already has an IDC in Redwood City, Calif. AT&T also announced its intention to offer hosting services in Shanghai, China. Service is expected to be available in November. AT&T already has an IDC in Hong Kong.

"We're seeing tremendous demand for our hosting capabilities all over the world," said Mike Jenner, vice president of AT&T Hosting and Application Management Services. "In addition to increasing our capacity and physical footprint, we're focused on providing businesses value-added managed hosting services, such as pay-per-use capacity, enabling our customers to easily and affordably manage their applications and better serve their end-users."

"AT&T continues to expand its hosting server automation technologies, utility computing/virtual services, and remote management and monitoring capabilities," Melanie Posey, IDC Research Director for Telecom Markets, said in a recent research report. "SOSS is an important addition to the hosting portfolio because it allows AT&T to further modularize its management services offerings and enables customers to outsource more selectively.

"The U.S. Internet Data Center expansions highlight growing demand from new and existing domestic and international customers," Posey reported. "The new Internet data center in Shanghai clearly meets the needs of AT&T customers in that key region. The company is shrewdly implementing its strategy to position its hosting/data center services as part of a broader end-to-end solution that incorporates both global networking and infrastructure management."