Equinix, a global leader in digital infrastructure, has entered an agreement to acquire BT Group’s Irish data center business for €59 million ($61.3 million). The transaction, expected to close in the first half of 2025, includes two operational facilities in Dublin, Ireland: Citywest and Ballycoolin.
Why BT Group is Selling Its Data Centers
BT Group’s decision to divest its data center assets is part of a broader corporate strategy. Shay Walsh, managing director at BT Ireland, stated, “The deal builds on our existing successful partnership with Equinix and ensures that customers will benefit from top-tier data center services nationally and globally, allowing BT to specialize in our core strengths in cloud, networking, and security.”
By transitioning away from owning and operating data centers, BT plans to focus on core services, including cloud solutions, networking, and cybersecurity.
Details of the Dublin Data Centers
Citywest Data Center: A High-Capacity Facility in South Dublin
The Citywest facility is a 10MW carrier-neutral data center, purpose-built to support large-scale operations. It spans 120,000 square feet (11,148 square meters) across two independent buildings within the Citywest Business Park, located in south Dublin.
Ballycoolin Data Center: Compact and Carrier-Neutral
Situated in north Dublin, the Ballycoolin data center is a smaller facility with a capacity of 3.5MW. Covering 40,000 square feet (3,716 square meters), it includes 7,000 square feet (650 square meters) of fully allocated data halls. Like Citywest, Ballycoolin is fully carrier-neutral and hosts four network providers on-site.
Equinix’s Transition Plan for BT’s Facilities
Over the coming months, Equinix will integrate these facilities into its global network. Peter Lantry, managing director of Equinix Ireland, emphasized the company’s commitment to a seamless transition, stating, “We look forward to working closely with BT to ensure a seamless transition, welcoming their data center team and customers to Equinix and bringing the scale, expertise, and investment that next-generation data center facilities require for excellent service delivery for organizations in Ireland and globally.”
Equinix’s Existing Presence in Dublin
Equinix already operates six data centers in Dublin, making this acquisition a strategic addition to its portfolio. However, Dublin’s data center industry faces challenges. In 2022, a de facto moratorium on new data center connections was issued by EirGrid, citing the city’s high energy demand.
EirGrid’s Energy Restrictions
The moratorium, introduced in January 2022, restricts new data center connections in Dublin until at least 2028. Despite this, Equinix remains committed to serving Ireland’s growing digital economy, leveraging its expertise and investments to overcome such challenges.
Strategic Implications of the Acquisition
This acquisition strengthens Equinix’s position as a leader in the Irish data center market while enabling BT to streamline its operations. By expanding its footprint in Dublin, Equinix enhances its ability to meet increasing demand for digital infrastructure, even amidst energy constraints.
Frequently Asked Questions
1. Why is BT selling its data centers?
BT aims to focus on its core strengths—cloud, networking, and security—by divesting non-core assets like data centers.
2. What does Equinix gain from this acquisition?
Equinix strengthens its Irish market presence, adding two strategically located facilities to its portfolio, enhancing service capabilities for local and global customers.
3. Will customers experience service disruptions during the transition?
Equinix and BT have committed to ensuring a seamless transition, with Equinix leveraging its expertise to maintain uninterrupted service.
4. How does Dublin’s energy moratorium affect data centers?
EirGrid’s moratorium limits new connections for data centers in Dublin, emphasizing the need for efficient energy management in existing facilities.
5. What are the key features of the Citywest and Ballycoolin data centers?
Citywest is a 10MW facility spanning 120,000 sq ft, while Ballycoolin offers 3.5MW capacity over 40,000 sq ft. Both are carrier-neutral and strategically located in Dublin.
