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Trends to Watch: Exploring the Future of Cloud

June 16, 2023

Written By: Don MacNeil

The rapid growth of hyperscale computing has led to a surge in demand for data center services and the need for advanced management solutions. Automation and AI are critical in ensuring efficient and effective management of data centers, enabling businesses to scale rapidly while reducing costs. As the digital infrastructure sector evolves, building a workforce with the necessary skills and knowledge will drive innovation and power future growth. Don MacNeil, Chief Revenue Officer for EdgeConneX joined Rich Miller, Founder and Editor Data Center Frontier, and other industry leaders share their perspectives on these growth trends and other key topics. Read the full exchange below:

Rich Miller: Recent earnings reports suggest the growth rate of cloud computing has moderated slightly. What’s your take on the progress of cloud computing, the “what inning are we in” question, and what lies ahead?

Don MacNeil, CRO EdgeConneX

Don MacNeil: We are in the second inning of the first game of a double-header. While the recent news has focused on layoffs and capital cutbacks at some of the hyperscalers, many of the cutbacks were not focused on the cloud side of the business.  We are actually seeing the expansion of cloud infrastructure requirements, particularly internationally. Moreover, additional investments are being initiated to support the rapidly growing needs associated with AI and other emerging tech – which we haven’t even begun to see the impact of this new driver.  As such, we are seeing growth in digital infrastructure requirements overall.  The double header – Cloud and AI.

Rich Miller: How would you assess the state of the data center supply chain? What items continue to experience long lead times or availability problems?

Don MacNeil: Supply chain issues have certainly improved in 2023. Specifically, the supply chain has returned to a higher degree of predictability, but still has a way to go towards getting back to pre-covid intervals. Data center providers and infrastructure vendors are better aligned on timelines so that expectations can properly be established on delivery dates. Confidence in those dates alleviates the biggest challenge for providers regarding planning and customer commitments. At the same time, some of the extended delivery dates experienced during Covid have been corrected and reduced.

Rich Miller: Data centers have always been highly automated facilities. What are the most promising opportunities in automation and data center management. Can AI, augmented reality and robots play a meaningful role?

Don MacNeil: EdgeConneX was founded with its data centers being automated from inception. Our initial Edge facilities were built “lights out” and unmanned, with our proprietary DCIM platform, EdgeOS, built to manage our facilities remotely. This innovation was highly economical and efficient but also proved invaluable during Covid when many customers couldn’t travel to the site(s) where their infrastructure was deployed. We ensured business continuity for our customers during the pandemic and allowed them to remotely manage and operate their infrastructure with the peace of mind of 5 9’s reliability. We look to continue to automate our facilities as we scale up in size and geographically worldwide. In addition, we are actively trialing numerous technologies to ensure our sites are secure, reliable, and sustainable.  Additionally, we are working to provide our customers with more transparency into the sources of grid power – focusing on those sources that are green (solar and wind). By understanding the local environment and weather, we can assist our customers in managing workloads. On a day with no wind or low wind, we could push high power consuming workloads to another day when the wind returns, and the power is therefore “greener”.

Rich Miller: The industry has stepped up its efforts to attract and retain talent, but staffing remains a huge challenge. What’s working well, and what more can be done to build a diverse workforce of the future?   

Don MacNeil: Finding and retaining talent is a significant issue for all data center operators. Staffing challenges can also be extended to the supporting industries on the build side, like electricians, construction workers, HVAC crews, and engineering. In addition, we are always trying to find a younger and more diverse infusion of talent into the industry. Collaboration with partners like Salute Mission Critical that retrain and reskill former military personnel into the data center industry is one example of bringing in new talent into the industry. Similarly, the work the Infrastructure Masons (iMasons) and other organizations are doing to attract young and diverse talent through initiatives such as the Capstone program is another excellent example. However, much more must be done as the digital infrastructure business rapidly scales, particularly internationally. The scarcest resource will be talent if we don’t continue to invest in the people that build and operate data centers.

To read the full discussion and other key perspectives, visit Data Center Frontier: