DALLAS--(BUSINESS WIRE)--CyrusOne, a leading global data center developer and operator specializing in delivering state-of-the-art digital infrastructure solutions, and Kansai Electric Power Company, Inc. (KEPCO), a major Japan-based electric utility and power provider that also operates telecommunications and real estate development businesses, today announced their joint venture called CyrusOne KEP.
CyrusOne KEP brings together two companies with extensive technical and operational expertise to develop new datacenters to meet the mission-critical requirements of hyperscale platform companies. Through this collaboration, data center infrastructure will be better aligned with the broader power grid to drive resilience, efficiency and smart development.
“This is a unique partnership that brings data center and power knowledge and capability together and provides a unique opportunity to simultaneously optimize digital and power infrastructure,” said Eric Schwartz, president and CEO of CyrusOne. “KEPCO is one of the largest utility providers in Japan with extensive local expertise. Their knowledge and relationships plus CyrusOne’s design, development and commercial operations of data centers positions us to further serve customers with growth aspirations around the world.”
In this agreement, the companies established a joint venture with equal investments by the two companies, leveraging the strengths of both companies to undertake the hyperscale data center development and operation business in Japan. CyrusOne KEP plans to invest at least one trillion yen (more than $7B USD) over the next decade and reach a business scale of 900 MW.
“CyrusOne is a global leader in hyperscale data centers in terms of both scale and growth. KEPCO and CyrusOne are optimal partners due to their deep understanding of power and utility operations, and their cultural and organizational flexibility. The hyperscale data center market is continuing to grow in Japan due to the increase of data traffic volume led by the growth of digital technology products and services that provide a positive impact on productivity, entertainment and security. With the joint venture, the KEPCO Group aims to provide world-best quality service to the cloud companies and technology organizations in Japan,” said Nozomu Mori, president and CEO of KEPCO.
CyrusOne and KEPCO plan to build in the Kansai area and other major markets across Japan. Construction on the first project is expected to begin in the near future in Kansai.
This press release contains forward-looking statements within the meaning of U.S. federal securities laws. Forward-looking statements in this press release include, but are not limited to, statements regarding the joint venture and future plans and expectations regarding performance with respect thereto. These statements are not guarantees of future performance and are subject to known and unknown risks and uncertainties. Actual results may vary materially from those expressed or implied in this press release. These statements are made as of the date of this press release and neither KEPCO nor CyrusOne undertakes any duty or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.
As Japan's leading company in the energy field, KEPCO aims to achieve a well-balanced power source composition of "S (Safety) + 3E (Energy security, Economy, and Environmental conservation)". To achieve this purpose, KEPCO is working on developing "zero-carbon power sources" including zero-carbon thermal power, nuclear power and renewable energy power, and on studies and demonstrations toward a hydrogen society. In addition, KEPCO is promoting "electrification" and providing new value by telecommunications and real estate through the Group Company of KEPCO such as OPTAGE Inc. and Kanden Reality & Development Company, Ltd. to meet the diversifying needs of our customers, such as new lifestyles, zero carbon, and resilience improvement.
CyrusOne is a leading global data center developer and operator specializing in delivering state-of-the-art digital infrastructure solutions across the globe. With more than 50 high-performance mission-critical facilities worldwide, the Company ensures the continued operation of digital infrastructure for nearly 800 customers, including approximately 200 Fortune 1000 companies.
CyrusOne’s leading global platform of hybrid-cloud and multi-cloud deployments offers customers colocation, hyperscale, and build-to-suit environments, which help enhance the strategic connections of their essential data infrastructures and support the achievement of sustainability goals. CyrusOne data centers offer world-class flexibility, enabling clients to modernize, simplify, and rapidly respond to changing demands. Combining exceptional financial strength, a broad global footprint, and continued investment in key digital gateway markets, CyrusOne provides the world’s largest companies with long-term stability and strategic advantage at scale. For more information, please visit cyrusone.com.