Alibaba Expands Global Reach with Equinix
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Alibaba has been actively expanding its global reach over the last year. There have been several announcements this year to indicate that the cloud provider is looking to benefit from the recent uptick in cloud adoption and support the global recovery initiatives. In April, Alibaba announced its plans to invest USD 28 billion, focusing on infrastructure and technologies related to operating systems, servers, chips and networks, over the next three years. Later in June, Alibaba announced the intention to recruit 5,000 people globally showing serious intentions to become a global cloud player.  It is also strengthening capabilities in markets where they already have a strong market presence. By 2021 Alibaba intends to have 64 availability zones with 21 regions across the globe.

Consolidating Partnership with Equinix

Alibaba’s partnership with Equinix, the interconnection and data centre company dates back a few years. In 2017 the partnership started providing enterprises with direct, scalable access to Alibaba Cloud via the Equinix Cloud Exchange in 5 of their global data centres.

Last week the partnership was further strengthened by Equinix extending the reach of Alibaba Cloud via its network of Equinix Cloud Exchange Fabric (ECX Fabric) Cloud interconnection platform. The deal will widen Alibaba’s cloud reach in the US, EMEA, and the Asia Pacific region for customers to privately connect with Alibaba’s cloud. Under the partnership, Alibaba will integrate its API with Equinix ECX Fabric to facilitate direct and secured connections to Alibaba Cloud, across these regions:

  • 9 US metros. Chicago, Dallas, Denver, Los Angeles, Miami, New York, Seattle, Silicon Valley and Washington DC
  • 5 Asia Pacific hubs. Hong Kong, Jakarta, Singapore, Sydney and Tokyo
  • 3 hubs in EMEA. Dubai, Frankfurt and London

The deal also gives Alibaba direct access to Equinix’s interconnected ecosystem of over 9,700 customers including enterprises, cloud and network operators, and IT service providers.

The Hybrid Cloud Push

In the last 18 months or so, the industry has seen a greater push in private/hybrid cloud or multi-cloud adoption.  Ecosystm Principal Advisor Andrew Milroy says, “As enterprises move to hybrid cloud infrastructures, the world’s leading IaaS providers, including Alibaba Cloud, are expanding their private cloud and hybrid cloud services.”

Many of these IaaS providers may not have the capabilities to provide a hybrid cloud offering at a global level. Partnerships such as the one between Equinix and Alibaba Cloud may well be the solution. Milroy says, “Equinix offers interconnection services from multiple sites across the globe. These interconnection services are necessary for the provision of private and hybrid cloud services, on a global scale, offering the level of performance and security that organisations want.”

“In order to compete with AWS, GCP and Microsoft, Alibaba Cloud needs to be able to scale its private and hybrid cloud offerings globally. Equinix can enable them to do this. At the same time, Equinix will also benefit from Alibaba Cloud’s growth into newer markets, which will lead to an increased demand for its interconnection services.”

 

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Team Ecosystm is Ecosystm’s inhouse content generation team, which is a part of our Marketing team. The content is generated through secondary research, and inputs from our analysts and advisors. The data findings mentioned in all Team Ecosystm posts are drawn from Ecosystm’s live and ongoing studies available on the Ecosystm platform.


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