Hostway Services’ Emil Sayegh: Diversity Key to End-Users’ Plans for Footprints

CHICAGO, IL ­– Diversification is a sound strategy no matter what you’re talking about. At our Chicago Data Center Summit in June, we spoke with Emil Sayegh, CEO and President at Hostway Services, Inc, about this truth, and how he’s seeing it as a growing trend in the end-users he works with in the data center space.

“You have the legacy customers, and you have the more, in the cloud, IT type applications coming out. I can address both,” he began. “Both actually will converge into the same answer though. Let’s talk about one of the customers that we have – Samsung. That’s a large customer. Everyone has a Samsung TV, right? Every Samsung TV in the world has something called a Smart TV application. That is one of the largest, if not the largest, Internet of Thing applications in the world.”

“You may not think about it as an Internet of Things application, but it is,” Sayegh continued. “Every time that you change that channel, every time that you watch a movie on that smart TV, every time that you buy a channel, its all coming back to data centers. Data centers across the world, in Korea, Germany, Boston. But guess what? They’re also using AWS. They’re not just using Hosting. They’re not just using our data centers with dedicated servers.”

Sayegh says that what he has seen is these firms diversifying their footprint within his company, and also diversifying their footprint outside of his company, with AWS. “And using two different technologies. One is a dedicated server and one is a virtualized server!” he explains. “So it’s just like your investments. You don’t go investing all of your money in one single company, right? You put your retirement in a mutual fund, which is diversified across hundreds of companies. That’s what most of us do, so that we can reduce risk. And that’s exactly the trend we are seeing with these new age type of applications.”

Next, Sayegh quickly segued to legacy companies. “It’s the same thing, but it’s baby steps,” he says. “When they get out of their data center, they may virtualize first, they may move into colocation, they may say, hey, this is a bit of a headache, I have to get woken up at night, etc. etc. and then they can decide if they want to move to a managed service platform or complete in a cloud or in some kind of combination. So we see the future as being multi-cloud, multi-technology, and what we call as the hybrid future, where we see both sets of that moving on, but for different reasons.”