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The Role of Multi-Tenant Data Centers for Enterprise Cloud Connectivity

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Cloud connectivity is becoming mission-critical for many enterprises, leading some to explore options for private, direct connections into the cloud. A new report from Cyxtera and 451 Research explores how multi-tenant data centers (MTDCs) and colocation providers can connect the enterprise to many clouds, SaaS providers and service providers.

Multi-Tenant Data Centers

Download the full report.

“As the enterprise’s connectivity needs increase in complexity, this service becomes more valuable,” said the report’s author, Craig Matsumoto, Senior Analyst, Datacenter Networking, at 451 Research.

A ‘direct’ connection to the cloud sometimes needs multiple stops along the way and can involve a combination of network providers and datacenter owners. The trick is to shield the enterprise from this complexity, and often a colocation provider can provide that buffer.

As enterprise IT has become distributed, with formerly internal functions now running in clouds (public or private) and in the data centers of SaaS providers, the enterprise network needs to likewise become distributed, the report asserts,” as the WAN that used to simply lead to the in-house datacenter has the potential to become a sprawling beast reaching out to – and potentially creating connections between – other people’s data centers.

Although the cloud can be reached via the internet through software-defined WAN, some of today’s enterprises need stronger security and performance, which has pushed many to explore cloud connectivity. In fact, the report said “the cloud on-ramp becoming a key component of the new enterprise network.”

“Telcos and service providers have a role to play here as well, building off existing enterprise relationships and taking advantage of the infrastructure built out by datacenter owners.” — Craig Matsumoto, Senior Analyst, Datacenter Networking, 451 Research

Enter multi-tenant data centers. The report highlights how their colocation facilities can as as a “Grand Central Station” for connecting enterprises with clouds and SaaS services, and also with each other. The advent of software-defined networking (SDN) means these connections can even be self service.

Even for enterprises that don’t need direct cloud connectivity, according to the report, MTDCs believe they can help simplify the newly distributed network.

Ultimately, connectivity is mission-critical to hybrid IT. And hbrid IT is more distributed, diverse and dependent on connectivity than ever. Interconnection is becoming increasingly important in a hybrid and multi-cloud world, yet it is changing rapidly, and many enterprises are not aware of all their cloud connectivity options.

This report drills down into the roles that MTDCs hope interconnection can play within the enterprise-cloud relationship and cloud connectivity.

Download the full report, “Interconnection and the Enterprise — How Colocation and Direct Cloud Connectivity Can Fortify Hybrid IT,” from Cyxtera and 451 Research that provides a look at the state of the interconnect industry to help enterprises and investors understand how interconnection is evolving, particularly when it comes to providing direct, private connectivity to clouds and SaaS providers.


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