Network as a Service (NaaS) provider Megaport Limited (ASX: MP1) said it will expand services to Mexico via a partnership with KIO Networks, the country’s largest data centre provider.
Cloud connectivity services to Microsoft Azure and Google Cloud are expected to be available in March 2022 to local enterprises via on-ramps from KIO Networks’ data centres in Mexico City and Queretaro, subject to approvals.
Customers of KIO Networks in Mexico will be able to access Megaport’s ecosystem of more than 700 enabled data centres worldwide and over 360 service providers, including 230+ cloud on-ramps from the world’s largest clouds such as AWS, Google Cloud, Microsoft Azure, IBM Cloud, and Oracle Cloud.
According to IDC, Mexico is the second-largest market in Latin America when it comes to cloud adoption.
In the report “IDC Latin America IT Investment Trends 2021,” 39% of organisations in the region plan to invest in the cloud. In Mexico, Microsoft, AWS, and Oracle Cloud have all announced plans for new cloud regions in the past year.
The country is also the second-largest data centre market in Latin America, with the multi-tenant data centre market growing at an expected 22 percent CAGR through 2025, according to an August 2021 report from 451 Research.
KIO Networks has 40 data centres across Mexico, Guatemala, Panama, Dominican Republic, and Spain, as well as 11 edge facilities in Mexico.
The company has over 20 megawatts of installed operational capacity.
Santiago Suinaga, Managing Director of KIO Networks, said: “KIO Networks is excited to offer our customers Megaport’s leading global Network as a Service platform as a quick and easy way to connect their businesses to cloud services for hybrid cloud and multi-cloud environments inside our data centres in Mexico.
“We believe the partnership gives our customers the agility, flexibility, and scalability they need for their digital transformation initiatives to be successful.”
Vincent English, CEO at Megaport, added: “Mexico has proven to be one of the leading cloud markets in Latin America and has been growing at a rapid rate over the last several years.
“Megaport is very excited to partner with KIO Networks to launch our services in Mexico, which will provide the opportunity for our existing customers to grow with Megaport and create new opportunities for Megaport to service businesses in Mexico. We look forward to working with KIO Networks and our cloud partners to meet the growing demand for cloud-based services in Mexico.”