May 11, 2021

Global Study: 70% of Digital Leaders in Singapore Expect Long-term Changes to Where and How People Work

Equinix report reveals changing working patterns spark surge in digital infrastructure investment

SINGAPORE – May 11, 2021 – Equinix, Inc. (Nasdaq: EQIX), the world's digital infrastructure company™, today announced the findings of its annual global study of the views of IT decision-makers on the biggest technology trends affecting businesses worldwide and the impact of the COVID-19 pandemic on digital infrastructure plans.

Surveying 2,600 IT decision-makers from diverse enterprises across 26 countries in the Americas, Asia-Pacific and EMEA regions. In Singapore, the study reveals

  • 52% of businesses have rearchitected their IT infrastructure to meet new remote and hybrid working demands, with tech budgets increasing to accelerate digital transformation
  • 70% of digital leaders believe there will be long-term changes to where and how people work within their organization
  • More than half (53%) of companies in Singapore still intend to expand into new regions, countries or metros, despite the disruption experienced as a result of COVID-19. However, there has been a significant increase since last year in the proportion of companies that have no expansion plans (from 25% to 40%).

Digital transformation in the post-pandemic future

Digitization and business investment in digital infrastructure have increased as a result of COVID-19. More than half (55%) of the digital leaders surveyed in Singapore said they have accelerated digital transformation plans because of the pandemic, while 54% said their budgets have been increased to satisfy the rapid growth in digital demands.

There has also been a major overhaul of IT strategies to meet the challenges emerging from the pandemic. Seven in 10 said they have revised their IT strategy as a result of COVID-19, while 72% said they want to invest in technology to be more agile post-COVID.

Asked about their biggest priorities for their organization’s digital strategy, 88% of respondents reported digitizing their IT infrastructure was a top priority, with 34% saying they see interconnection as a key facilitator of digital transformation—twice the number compared to last year’s results (17%). A large majority (86%) of companies in Singapore have also prioritized to improve their cybersecurity posture.

Concerns that the pandemic will have put the brakes on companies’ expansion plans lessened

  • 53% of businesses still have plans to expand into new regions, countries or metros, according to the digital leaders in Singapore surveyed.

Of that 53%, nearly two-thirds (62%) plan to achieve this virtually, rather than by investing in physical IT infrastructure in-market.

Utilizing interconnection for success

  • 66% of IT leaders in Singapore said they believe interconnection—the direct and private exchange of data between organizations—will help them to navigate the challenges they face due to COVID-19.
  • Those stating interconnection was key to their organization’s survival increased to 59%, up from 37% last year.

Jeremy Deutsch, President, Asia-Pacific, Equinix, said: “During the pandemic, Asia-Pacific has seen demands for interconnection from digital leaders to manage distributed workforce and make the best use of resources. This is reflected in the findings of our study with over 60% of IT decision-makers in Asia-Pacific confirming that interconnection will help them to navigate the challenges faced as a result of COVID-19, and 56% believing interconnection can help their business gain competitive advantage within the marketplace. With our global footprint, robust ecosystem and a wide array of interconnection solutions, we plan to continue to bring and interconnect the digital infrastructure to help digital leaders thrive in the new era.”

The Global Interconnection Index (GXI) Volume 4, a market study recently published by Equinix, forecasts that overall interconnection bandwidth—the measure of private connectivity for the transfer of data between organizations— in Asia-Pacific will achieve a 47% compound annual growth rate (CAGR) from 2019 to 2023, globally, with Singapore projected to be the fastest growing metro at 51% CAGR. The expected growth is driven by digital transformation, and specifically by greater demands from enterprises extending their digital infrastructure from centralized locations to distributed edge locations.

To read more about the Global Tech Trends Survey, or download a copy, please visit: https://www.equinix.com/resources/infopapers/equinix-tech-trends-survey

Additional Quotes

  • Yee May Leong, Managing Director, South Asia, Equinix:

“Businesses in Singapore today have undoubtedly acknowledged the business value in leveraging interconnection to scale and future-proof their digital infrastructure. Enterprises in Singapore and Asia-Pacific are experiencing tremendous growth because of digital transformation and the ability to connect with the right partners to seize opportunities. By enabling companies to build interconnection-first architectures, Equinix is powering not just businesses, but also Singapore as the digital hub for the region, to adopt nationwide digitalization. As the world’s digital infrastructure company, we are committed to creating value to enable Singapore to accelerate and become a fully digital economy.

About the Study

The independent study, commissioned by Equinix, surveyed 2,600 IT decision-makers in diverse enterprises across the Americas (Brazil, Canada, Colombia, Mexico, U.S.), Asia-Pacific (Australia, China, Hong Kong, Japan, South Korea, Singapore) and EMEA (Bulgaria, Finland, France, Germany, Ireland, Italy, Netherlands, Poland, Portugal, Spain, Sweden, Switzerland, Turkey, UAE, UK). Respondents were selected for participation from Dynata’s online panel. The survey was conducted online between December 17, 2020 and January 8, 2021.

About Equinix

Equinix (Nasdaq: EQIX) is the world’s digital infrastructure company, enabling digital leaders to harness a trusted platform to bring together and interconnect the foundational infrastructure that powers their success. Equinix enables today’s businesses to access all the right places, partners and possibilities they need to accelerate advantage. With Equinix, they can scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value.

Forward-Looking Statements

This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, the challenges of acquiring, operating and constructing IBX data centers and developing, deploying and delivering Equinix products and solutions, unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenues from customers in recently built out or acquired data centers; a failure to complete any financing arrangements contemplated from time to time; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or outstanding indebtedness; the loss or decline in business from our key customers; risks related to our taxation as a REIT; and other risks described from time to time in Equinix filings with the Securities and Exchange Commission. In particular, see recent Equinix quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.

Media Contact (Asia-Pacific)
Equinix
Annie Ho
+852 2970 7761
annho@ap.equinix.com

Media Contact (Singapore)
LEWIS
Camy Cheng
+65 9088 4127
equinixSG@teamlewis.com