NTT Ltd. has been charting positive milestones across the globe of late. Enterprise IT News managed to catch up with Mr. Henrick Choo, CEO of NTT Malaysia, on the company’s growth and footprint in this country over the past year as well as looking forward to its immediate future, in spite of the Covid pandemic.
EITN: Digital adoption has undoubtedly accelerated for both businesses and consumers. How has NTT been a beneficiary of this development? At what pace are customers re-architecting their networks, in these times of shifting budgets? Do you foresee a change when Covid is brought under control and people can return to physical workplaces and schools?
Henrick: The events of this past year have certainly fast-tracked changes for businesses and consumers. Digital transformation that would have taken a few years has been accelerated in just over a year. The COVID-19 pandemic has resulted in both new challenges and opportunities for NTT. We have been busy assisting our clients in laying the foundation for a connected future.
The health crisis has resulted in a fundamental shift in the way we are working. For a majority of workers, the future workplace is going to involve a blend of working remotely and working in the office. Core to enabling this new hybrid way of working is secure communication and collaboration technology.
We are supporting the future workplace by providing intelligent workplace solutions that are secure by design. Solutions that will facilitate working from any location on any device at any time, with next generation tools that allow employees to engage securely and safely.
Business continuity is as much about employee and customer experience as it is about the technology that underpins the safety and effectiveness of distributed working. We are helping clients to maximise the value of the new distributed workforce including how to safely return employees to the office.
We are supporting the future workplace by providing intelligent workplace solutions that are secure by design. Solutions that will facilitate working from any location on any device at any time, with next generation tools that allow employees to engage securely and safely.
Henrick Choo
By adopting intelligent workplace solutions, businesses can focus on driving profitability and creating great experiences, including empowering and connecting customers and employees. To remain competitive, businesses need to deploy collaboration tools to connect seamlessly, across any number of devices, anywhere in the world, and we help them realize it.
Through our intelligent, platform-based services, we deliver solutions with agility and scalability. We’ve helped clients simplify the management of their day-to-day operations, across multivendor hybrid IT environments. Through our global integrated portfolio of capabilities, we help clients to create, build, manage, and innovate at every stage of their journey.
The time is now, as technology is enabling businesses to manage the new hybrid workforce, build new revenue channels and achieve much needed cost savings in the long run. Although for most of our clients, cost reduction is an important priority, long-term business model adaptation through data and analytics is also critical for business survival. Through combining data insights, businesses are able to make better and faster decisions that strengthen their connections with their customers.
The total amount of data created, captured, copied, and consumed in the world is forecast to increase rapidly, reaching 59 zettabytes in 2020. The rapid development of digitalization contributes to the ever-growing global data sphere. Businesses will need data centers that are fast and secure to ensure their new network-based business models can succeed.
These solutions are not simply an alternative arrangement, something to fall back on in times of disruption as an acceptable substitute. They are the foundations that underpin the connected future, and key factor in business transformation. A survey by McKinsey also found that responses to COVID-19 have sped the adoption of digital technologies by several years—and that many of these changes could be here for the long haul.
They are the foundations that underpin the connected future, and key factor in business transformation
EITN: Whilst big plans are abound for NTT’s data centres strategically planned all over the world this year and next, what would you see as risks that could threaten the timeline of these plans?
Henrick: It’s our top priority to maintain and safeguard the safety and wellbeing of our employees and their families from the pandemic, while continuing to serve and deliver quality solutions to our clients and society.
Back in December 2019, we announced the commencement of our plans on Cyberjaya 5 also known as CBJ5, our fifth data center, with an anticipated launch of the facility in Q3 of 2020. The pandemic and ensuing country lockdown did delay the launch, but we were not too far off.
CBJ5 commenced operations in February 2021, and this was made public through a media announcement and press release. Subsequently, we also announced our data center certifications from UPTIME & TIA in a recent press release.
Like others, the ongoing pandemic may affect the timeline of certain future plans. However, at NTT, safety always come first, and we will meticulously examine and address all critical areas in our plan before proceeding with major business development decisions.
CBJ5 commenced operations in February 2021, and this was made public through a media announcement and press release. Subsequently, we also announced our data center certifications from UPTIME & TIA in a recent press release.
Our experience in building and operating data centres will also help us immensely as we try to adhere to data center best practice of 6 months planning and 12 months construction period.
EITN: NTT had identified Malaysia as one of the prime data center markets in the region due to the abundant availability of resources & favourable government policies concerning data center infrastructure. What has the demand for data storage and managed hosting services across Malaysia been like in the last one year?
Henrick: Over the past year, the digital transformation of organizations and businesses across the country has greatly accelerated as economic activities have increasingly moved online during the pandemic.
The demand for data storage and managed hosting services has seen a sharp incline and is expected to grow significantly. This is especially evident during the pandemic as businesses are shifting towards hybrid cloud to address demands to upgrade and support critical infrastructure as well as storage needs, along with providing devices to support remote working.
The demand for data storage and managed hosting services has seen a sharp incline and is expected to grow significantly.
According to our recent 2021 Hybrid Cloud Report, the role of cloud in digital transformation cannot be stressed enough as 96.2% of businesses in APAC region see it as a critical component in fulfilling immediate business needs amid the pandemic.
As businesses navigate through the pandemic, they must look to hybrid cloud environments that are optimized for agility, security, and supported by the right network architecture while also meeting compliance requirements.
NTT in Malaysia has been successfully operating the Cyberjaya campus data center for over 24 years. CBJ5, our fifth data center, is designed to meet the requirements of hyperscalers and high-end enterprises based on a 60:40 ratio. We aim to provide clients with the facilities they require to enhance readiness of digital adoption.
This 107,000 sq ft data center not only provides clients with flexible and scalable power, it also has a cooling wall system that is the first of its kind, offering optimum power efficiency and cost-effective cooling system that support high density hyperscalers as well as high-end corporate users in Malaysia.
CBJ5 meets the expanding needs of organizations to reach their digital business objectives, in particular the FSI sector, as our data center is compliant with the latest Risk Management in Technology (RMiT) guidelines for financial institutes, as issued by Bank Negara Malaysia (BNM) to ensure data center resiliency.
This 107,000 sq ft data center not only provides clients with flexible and scalable power, it also has a cooling wall system that is the first of its kind, offering optimum power efficiency and cost-effective cooling system that support high density hyperscalers as well as high-end corporate users in Malaysia.
Our data center campus also leverages sustainable best practices through smart building technology, temperature controls, regulating water, recycling, and monitoring power usage effectiveness (PUE). Our data centers are in compliance with Green Building Index (GBI), and Leadership in Energy and Environmental Design (LEED) certifications.
This expansion in Malaysia is part of the ongoing growth strategy by NTT’s Global Data Centers division, which operates the third-largest data center platform in the world across 20 countries and regions. Cyberjaya continue to be a highly sought-after location for data centers. At the same time, we are also evaluating options for future expansion outside of Klang Valley as it represents the next step in our strategic expansion in the market. We’re continuing to put our clients at the center by meeting them where they want to be.
The uptake of CBJ5 has been promising, mainly from global and local FSI customers as well hyperscaler, we should be able to close up to 40% of our rentable data hall by end of June.
The uptake of CBJ5 has been promising, mainly from global and local FSI customers as well hyperscaler, we should be able to close up to 40% of our rentable data hall by end of June.
EITN: Congratulations on NTT achieving Tier III certification for its CBJ5 data center in Cyberjaya. When do you aim to achieve the target of Tier IV certification? What improved characteristics and service will customers expect to see from a Tier IV cert?
Henrick: CBJ5 is Tier III certified but it is Tier IV ready. This means CBJ5 is highly scalable according to our client needs. Our data centers have redundancies for every process and data protection stream. No single outage or error can shut down the system.
The facility is also positioned to accelerate ICT solution providers for digital transformation with an emphasis on the six criteria listed below:
Tier IV / Rated-4 readiness
High power density
Security
Modular design
Spacious colocation
Governance and compliance
Furthermore, CBJ5 meets other global standard practices such as Payment Card Industry and Data Security Standard (PCI DSS) certified, Threat and Vulnerability Risk Assessment (TVRA), and Data Center Risk Assessment (DCRA) which was carried out based on Bank Negara Malaysia’s (BNM) Risk Management in Technology (RMiT) framework.
Additionally, we’ve increased our remote hands and eyes staff, as well as services to support our clients and ensure business continuity for them. We have trained experts to be the hands, eyes, and ears on behalf of our clients to perform various on-site services. Essentially, clients can virtually have a physical control over their equipments in our data center. This eliminates the need for clients to be on-site and the tasks can be easily handled by our dedicated staff – 24 x 7.
Essentially, clients can virtually have a physical control over their equipments in our data center.
EITN: What other role is NTT playing in the digital economy of Malaysia?
Henrick: Organizations today demand an ever-expanding platform to reach their growing digital business objectives. That’s why we continue to expand our portfolio of the best data centers in new and existing markets like Malaysia that complement our local and global geographical footprint.
Our data centers are strategically located to support interconnected ecosystems around the world’s most important business and government hubs and will include the latest data center technology for security, reliability and energy efficiency.
We hope to play a key role in providing vital data capacity at a high speed to keep Malaysia’s digital ecosystems and the digital economy ticking.
Having said that, Cyberjaya remains our main data center location and our commitment to our client for their data center expansion and growth. It also serves as International Gateway seamlessly to our global clients’ offices and our global 160 data center locations.
We are confident that CBJ5, together with our investment in a new and high-capacity submarine cable project, will attract more international investors and enterprises to the country. This will help position Malaysia as a business and economic hub while contributing to the new digital initiative, MyDIGITAL, which aims to transform Malaysia into a regional leader in digital economy.
We hope to play a key role in providing vital data capacity at a high speed to keep Malaysia’s digital ecosystems and the digital economy ticking.
EITN: Has NTT taken on a role as an internet exchange? Kindly clarify and elaborate.
Henrick: In November 2019, NTT Ltd. had unveiled MYNAP (Malaysia Network Access Point) – a new private Internet Exchange (IX). MYNAP is the third IX in Malaysia, allowing NTT Ltd. to offer clients a holistic end-to-end solution of Data Center, Network, and Internet Exchange with unparalleled connectivity.
Hosted in our local data center in Cyberjaya, this wide reach, high availability IX is stable, cost-effective, and it is the only IX in Malaysia that resides in a TIA942 Rated-3 data center. MYNAP is also the first and only local IX to have peering with other regional IX providers within the NTT Group i.e. Japan Network Access Point (JPNAP) and Jakarta Internet Exchange (JKT-IX), allowing for faster, more affordable and reliable access to content.
Due to its strategic location and peering with JKT-IX and JPNAP, MYNAP also aims to tap on potential ISPs that are looking to offload some of their traffic in MYNAP instead of IP Transit providers.
Subscribers who choose to connect through MYNAP domestic peering methods, can eliminate the need to connect through costly transit links. With MYNAP, Internet Service Provider (ISP), Content Delivery Network (CDN), Content Service Provider (CSP), Over-the-Top (OTT) and large enterprises now have an alternative IX option in Malaysia. All participating networks connected to MYNAP will be able to exchange traffic directly with each other without any intermediary, allowing for better performance due to lower latency.
Networks enjoy better cost savings as a result of reducing their operating expenses, allowing them to pass on the savings to their customers. Due to its strategic location and peering with JKT-IX and JPNAP, MYNAP also aims to tap on potential ISPs that are looking to offload some of their traffic in MYNAP instead of IP Transit providers.
With MYNAP, Malaysian enterprises will be able to utilize Public Peering, Private Peering, Remote Peering, and Route Server services at port speeds of 1G or 10G. Customers will get their own personal IPv4 and IPv6 addresses, 24/7 support from Network Operation Center (NOC), monthly traffic usage reports and live monitoring.
