Capitalizing on Colo: GCN Grows Agency with Global Colocation, Connectivity

this MNC started asking about international colocation, specifically in Tokyo. “They are on the other end of the phone, beads of sweat are coming down my head,” Palermo said, not wanting to disappoint his new client. “I honestly told them, ‘Let me get back with you.’... I went straight to Wikipedia and Google. I spent four hours and I learned as much as I could about colocation in Tokyo.”

He went back with the information and the customer gave him the requirements to source the job, which was 800 square feet.

With the primary exception of a time difference, Palermo has found sourcing colo internationally not so different than doing so in the United States. Most providers speak English to cater to multinational companies, and most U.S.-based transit providers are in those locations, Palermo said. “I wasn’t that nervous about it because we had a couple of colos under our belt,” he said. He conceded that it probably didn’t hurt that he has a degree in interpersonal communications and had training in intercultural communications. He admitted to consulting his college texts for insight into doing business overseas. But nothing has fueled GCN more than success in the field. Today, about 60 percent of GCN’s colo business is international with individual sales averaging $60,000 to $110,000 per month. Palermo spoke with pride – and amazement – about a recent 500-square-foot deployment in Frankfurt, Germany, that was completed in just three weeks.

Understanding what goes into a colo project sheds some light on his incredulity. GCN finds several providers in the area; narrows it down based on the client requirements; space and potential peering partners, and comes up with a few providers, with which it will begin negotiations. Once a provider is selected and the contract is signed, “that’s when the fun really starts,” said Palermo. In biweekly calls, GCN’s project management team plans for delivery and setup of racks and servers; installing circuits and sometimes roof antennas for satellite hookups; and meeting