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DigitalOcean Expands Overseas Reach With New Data Center In Sydney

Benzinga · 11/15/2022 13:27
  • DigitalOcean Holdings, Inc (NYSE:DOCN) expanded its global presence with a new data center in Sydney, Australia (SYD1)
  • This new facility will better support DigitalOcean's current and prospective customers based in or have end-users in Australia and New Zealand. 
  • Sydney is the ninth global region to house a DigitalOcean data center and the fifteenth facility overall.
  • The SYD1 data center features the most up-to-date network architecture. It is connected to DigitalOcean's private internet edge and backbone network, providing 400 Gbps of on-net access to Asia, North America, and Europe.
  • DigitalOcean CEO Yancey Spruill said, "This state-of-the-art data center will provide low-latency connectivity and our IaaS and PaaS productivity tools for startup businesses and SMBs in these important, rapidly growing markets."
  • The Sydney facility will provide direct connectivity to the market and improve the overall experience of end customers utilizing applications hosted on the DigitalOcean platform. 
  • SYD1 will also provide seamless peering with hyperscalers, making a multi-cloud strategy simple for SMBs and startups who utilize more than one cloud provider.
  • Beginning today, users can deploy droplets, spin up DigitalOcean Kubernetes clusters, provision a managed database, or utilize any other DigitalOcean product from the SYD1 region.
  • DigitalOcean reported third-quarter revenue growth of 37% year-on-year to $152.1 million, beating the consensus of $148.9 million.
  • Non-GAAP EPS of $0.38 beat the consensus of $0.23.
  •  Annual Run-Rate Revenue (ARR) ended the quarter at $640.6 million, representing 41% Y/Y growth.
  • Price Action: DOCN shares traded higher by 4.72% at $32.40 on the last check Tuesday.