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DEAC Digitalas Ekonomikas Attistibas Cenreg Digitālās Ekonomikas Attīstības Centrs

Company

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European Data Center Operator. The company's activities are focused on the provision of data center services and IT outsourcing in Eurasia.
Revenue millions

Number of employees
2016 year
90

Services

DEAC data centers as of 2016 are located in London, Amsterdam, Frankfurt, Moscow, Riga and Grisinkals. Based on them, the company provides services for leasing private and public clouds, leasing server racks, hosting and leasing servers and storage systems, backing up data, storing data, administering and monitoring complex and, in particular, remote IT infrastructures, fully managing the IT infrastructure of the client (managed services), organizing fast and reliable data transmission channels, as well as SaaS services.

History

2021: Getting Started with Green Business

The operator of the DEAC data centers on June 16, 2021 announced the beginning of the implementation of the green business concept and the transition to the use of 100% renewable energy sources in Northern European wind parks and, thus, implements a global plan for decarbonizing the economy.

The growing demand for services and solutions of data centers leads to the consumption of a large amount of energy, having an impact on the climate. Since the generation of essential electricity from fossil fuels is directly related to carbon emissions, DEAC has switched to renewable energy to nullify negative environmental impacts.

The problem of global climate change due to greenhouse gas emissions into the atmosphere unites states in an effort to achieve a common goal. ICT companies in various countries are striving for carbon neutrality by developing solutions for environmentally friendly technologies in order to become climate neutral by 2030, according to the Paris Agreement.

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We have increased energy efficiency by upgrading cooling systems by adding coolers to the roof and creating hot and cold air corridors in the server rooms. Using 100% renewable electricity, DEAC, as a socially responsible operator of data centers, contributes to the sustainable development of the company and environmentally friendly business, "comments Andris Gailitis, Chairman of the Board of DEAC.
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The concept of "green business" and adherence to ESG (Environmental, Social, and Corporate Governance) principles implies a reduction in resource consumption and a reduction in the negative impact on the environment. Using green energy, the company contributes to the development of this concept. In addition to environmental sustainability, demand for renewable energy is projected to decline in the near future. It is also worth mentioning the stability and possibility of access to renewable energy, which contributes to business continuity and its development.

2020: Launch of Internet Exchange in Europe, Baltic States and Russia

In 2020, DEAC launched Internet Exchange (IX) in Europe, the Baltic States and Russia. This is the next step in the development of the data center operator DEAC, which will act as a "bridge" for data and traffic, connecting customers with the main Internet service providers and eliminating the problem of personalizing data channels. Network coverage in Europe is growing, and enterprises have the ability to connect through reliable telecommunications networks with uninterrupted data flow, access to a private VLAN network and the main CDN networks in the world, as well as with direct connection to global public clouds.

2019: Corus Consulting Partnership Agreement

In 2019, Corus Consulting and DEAC entered into a partnership agreement. Cooperation with DEAC is valuable for KORUS Consulting to use European data placement resources for Russian and foreign clients, which will help the integrator even more successfully implement projects in the European market. For DEAC, this partnership opens up wide opportunities for development in the Russian market, using the established competencies of Korus Consulting.

2017: Russia and Europe associated with an ultra-fast data channel

On December 13, 2017, DEAC announced the expansion of its network infrastructure with an ultra-fast Moscow-Riga data channel with a speed of 10 Gb/s and a low average response time of 13 ms.

The direct channel was launched to meet the growing business needs for high-quality and fast data exchange between Russia and Europe. With a high-speed connection between Moscow and Riga, companies can better organize critical business processes: creating complex IT solutions operating in data centers in Riga and Moscow, optimizing the operation of remote access applications and expanding the possibilities for organizing risk diversification processes (disaster recovery plan, backup, etc.). This allows businesses to further diversify their risks and reduce costs, and if necessary, use reserve channels to Frankfurt, Amsterdam, London, Stockholm and Kiev.

The channel uses the Dense wavelength division multiplexing (DWDM) technology. It allows up to 160 independent information streams to be simultaneously transmitted over one optical fiber at different carrier frequencies (wavelengths). This technology is widely used for high-performance optical backbone channels, providing simultaneous transmission of large amounts of data at higher speeds and long distances.

2016: Venture Fund invested 4 million euros in DEAC

Venture BPM Mezzanine Fund invested 4 million euros in the operator of DEAC data centers, the parties to the transaction said in October 2016. Information about the share that the fund received is not disclosed.

Investments will be used to expand the company's main infrastructure and purchase equipment for a growing customer base, as well as to partially refinance existing obligations. What amount of repaid debts is discussed in DEAC does not comment.

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After the rapid growth of the company's turnover from 2009 to 2013, DEAC has maintained a stable turnover at the level of 2014 indicators - 10-11 million euros, "said DEAC head Andris Gailitis to TAdviser.
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It is worth noting that in 2013 half of the company's turnover was in Russia and the CIS countries. In connection with the ban on Russian companies from storing personal data outside the Russian Federation, as Gailitis explained, work with Russian customers did not stop.

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DEAC actively uses the infrastructure of partners, on which it develops its local presence and continues to increase the amount of data storage in the Russian Federation, "he explained.
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Commenting on the deal, Andris Gailitis said that the support of the BPM fund contributed to the company's good positioning. This will further strengthen DEAC's position in the most important markets in Latvia, Russia, Poland, Ukraine, Lithuania and Estonia, as well as make it possible to carry out a more aggressive expansion strategy, he said.

BPM Capital supports DEAC expansion plans. At the same time, the details of the strategy in DEAC do not comment.

2014: Increase in turnover despite the crisis

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DEAC turnover increased by 20% compared to 2013. Over the past 5 years, the company's turnover has increased fivefold.

The results of the DEAC, with the overall deterioration of the economic situation in the world in 2014, continued to increase steadily in Russia and Europe. Invariably high activity was observed in the market of Russia and the CIS countries, in 2014 making up 49% of the total turnover of the company. In turn, in the European market, this figure was 50%. DEAC noted that the effective expansion of services into new markets made it possible to feel an increase in the flow of customers also from North America.

Assessing the results of the company, the chairman of the board of DEAC Andris Gailitis said the following:

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Today, the economic situation is diametrically opposite to that of early 2014. Despite this, the DEAC portfolio of exported services falls on more than 40 countries of the world, and the growing demand for the company's services indicates that in order to optimize their business processes, customers increasingly prefer modern IT outsourcing solutions
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Since the beginning of 2014, DEAC services have also been used by customers in Eastern Europe, the USA, the Middle East and the Far East. According to the company, it was cloud solutions that were most in demand in the market, including private cloud and public cloud, which indicates a tendency among companies to increasingly choose outsourcing virtual platforms to diversify risks and optimize costs.

2013: Turnover growth up to 8 million euros

DEAC turnover exceeded the mark of 8 million euros. More than 51% of revenue comes from Russia and the CIS countries. In general, over the past 4 years, DEAC has tripled its turnover, which indicates a progressive demand for IT outsourcing, the company said.

2012: Cooperation with RETN network

DEAC and the RETN backbone operator organized a dedicated junction between the DEAC city optical ring and the pan-European RETN network. The new junction reduces the delivery time of L2 VPN services for DEAC clients to more than 100 RETN presence nodes, covering data concentration centers in Europe, North America and Southeast Asia, including in Russia, Ukraine, the Baltic countries and other Eastern European countries. The junction is organized in Riga at the communication node of the LVRTC site, the bandwidth is currently 10Gigabit/s.

2010: Opening of a representative office in Russia

In November 2010, DEAC opened its first foreign office in the Russian capital, Moscow. The total number of projects in Russia as of November exceeded 200. With the opening of the official representative office, DEAC hoped to ensure even closer communication with its Russian customers and partners, as well as significantly strengthen its position in the Russian market. Over the next three years, DEAC planned to open regular offices in Europe and the CIS countries, as well as launch new large data centers in Europe.