An agreement between Etisalat and G42 to establish the largest data center provider in the UAE
Etisalat Group and G42 announced today that they have signed a binding agreement, on the basis of which a total of 12 data centers belonging to the two groups will be merged into a new joint venture under the umbrella of Khazna Data Centers, in a manner that creates the largest provider of data centers in the UAE.
According to the agreement, Etisalat Group will own 40% of Khazna Data Center, and 60% of G42. The agreement provides the two parties with the opportunity to increase the value of their infrastructure assets, improve the performance of operations and make the most of the available resources without affecting the current relationship with customers and the leading commercial position of both companies. Khazna Data Center will continue to develop existing businesses and explore new business opportunities, both within the UAE and abroad.
Eng. Hatem Dowidar, CEO of Etisalat Group, said, “Through this agreement, (Etisalat) and G42 will start a new and important phase of cooperation that will provide an opportunity to employ investments and joint experiences in launching the next generation of digital infrastructure services. (Etisalat) will continue its keenness to improve customer experiences in line with its strategy and vision of 'Leading the Digital Future to Empower Societies'. From this standpoint, Etisalat Group has laid the foundations to enhance its leading position in the field of digital infrastructure services, and through our partnership with G42, we will take our digital ambitions to new, more advanced and advanced levels.”
For his part, Peng Shiwa, CEO of G42 Group, said: “We are pleased with this partnership with (Etisalat), the leading telecom operator in the region and the world, in a way that enhances the position of the UAE in the field of data centers and helps achieve its current and future economic ambitions and aspirations. With the continued high demand for data storage and innovative cloud infrastructure services in the UAE and the world, this new partnership between Etisalat and our data center (Khazna), will help the UAE accelerate its journey in digital transformation, enabling public and private institutions to enter into A new stage characterized by intelligence and flexibility. Through this unique agreement, we look forward to collaborating with Etisalat Group to create added value for all stakeholders and society in general.”
Hassan Al Naqbi, CEO of Khazna Data Centre, said: “The levels of data being produced, stored and analyzed are increasing dramatically in the Middle East region, which has led to an increased demand for wholesale data center services. This growth requires more focus on enhancing areas of collaboration and using shared data to improve business performance. From here, Khazna Data Center, which will have a capacity of 300 megawatts of information load, will be a major enabler and supporter of business growth and development, with a high ability to manage the level of communication required to effectively provide services to partners, customers and users, and support the creation of a pioneering and innovative digital system.”
For his part, Salvador Anglada, Chief Business Officer, Etisalat Group, said: “Etisalat Group is pleased to announce this partnership with an innovative and pioneering service provider such as G42.
Through this agreement, we will be able to provide an advanced set of infrastructure services to current and future customers.
This agreement will also enhance the position of the UAE as a preferred destination for the largest technology companies in the world, in addition to the contribution of this agreement to the development of the digital system in the UAE, in a way that helps achieve its ambitions in this field.
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