Can Colocation and Private Interconnection Simplify Digital Business Integration?

Equinix IBX DC12 in Ashburn, Virginia 

In the final blog in our series on the pressing questions enterprises are asking about colocation and interconnection, we’ll examine a problem that businesses across industries face: simplifying digital integration. In his blog, “Is IT Complexity Slowing Down Your Digital Transformation?,” Tony Bishop discusses how today’s businesses are impacted by macro technology and regulatory trends including digital business, urbanization, cybersecurity, data compliance and business ecosystems. As Tony says, “These trends are forcing the integration of physical and digital environments to the very top of the CIO priority list in all industries at local, regional and global levels.”

At Equinix, we see our customers successfully leveraging colocation and private interconnection to achieve the level of digital business integration needed to succeed in digital business ecosystems. We believe this strategy aligns with Gartner’s analysis in its report, “Colocation-Based Interconnection Will Serve as the ‘Glue’ for Advanced Digital Business Applications.” Its author Bob Gill writes:

“Digital business will include enterprise-owned assets, whether enterprise-premises-based, colocated or in the cloud. These assets will utilize cloud technology for integration and deployment, and will be optimized in designs where dynamic, high-speed, secure communications will reduce the friction between multiple sources and sinks of information. We propose that topology, technology and design all favor building a digital business solution using colocation-based, programmable networking, which we will call ‘data center interconnect fabric,’ allowing dynamic interconnection between enterprise peers, cloud providers, communications providers and a growing marketplace of service providers.”

Start with interconnection and get control of the edge

Interconnection, the private and direct exchange of traffic between companies, is truly the “glue” that binds IT services and controls at the edge, and it’s especially critical when you need to gain secure access to cloud and IT service providers. No company is an island – digital businesses need direct and private interconnection to integrate with industry ecosystems, scale IT and security capabilities, and innovate new products and services. In fact, the second volume of the annual Global Interconnection Index (the GXI), a market study published by Equinix, estimates that connecting enterprises to cloud and IT services will be the fastest-growing interconnection bandwidth use case between 2017 and 2021, occurring at a 98% CAGR.

The road to digital business integration begins with establishing control points at the edge and using them as a forward operating base to deliver new business solutions as needed anywhere in the world on a single, consistent global interconnection platform. And if market, data traffic or resources shift, you can react in a timely and efficient manner. To accomplish this, you can deploy vital interconnection use cases by placing strategic IT services across metro hubs, positioning your company to master the digital capabilities that today’s trends demand.

The use cases are as follows:

  • Network Optimization: Digital business requires real-time interactions between people, things, locations, clouds and data. Businesses can solve latency issues by shortening the distance between users and services, localizing traffic in the hubs.
  • Hybrid Multicloud: Leveraging hybrid, multicloud architectures and accessing vital business ecosystems with agility requires interconnection between distributed IT infrastructures and the clouds and partners that drive global digital business. Businesses can solve complexity by directly connecting multiple public and private clouds and segmenting traffic in the hubs.
  • Distributed Security: Digital business increases vulnerability points, especially when data is distributed across many different counterparties. Reduce risk, and solve compliance challenges by deploying and connecting security services, and expanding security ecosystem connectivity, in the hubs.
  • Distributed Data: Digital trade flows are creating global business and data processes involving an increasing mix of customers, partners and employees. To scale this exchange of data requires integrating analytics, data lakes and data controls in the hubs.

The GXI demonstrates how these four use-case categories combine to form an interconnection maturity model that results in a digital-ready infrastructure.

Interconnecting it all together

To reach a digital-ready state requires solving latency, complexity, risk and integration. Our customers are doing exactly that by leveraging Platform Equinix® across strategic edge locations and distributing IT services across local, national or global metros, creating a digital ready mesh and opening up a wealth of opportunities. Equinix Cloud Exchange Fabric™, enables the dynamic integration of networks, clouds, partners – and between your own IT infrastructure hubs across more than 200 data centers in 52 markets worldwide. The expansive global reach and robust interconnection gained on Platform Equinix gives you an unbeatable digital business advantage.

Learn more about how you can harness the power of colocation and interconnection to simplify digital integration by checking out the Interconnection Oriented Architecture® (IOA®) Knowledge Base.

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