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Colt’s 2011 Phoenix IT Deal Was a 10-Year Modular Colocation Agreement—not a Sale

Colt’s 2011 Phoenix IT announcement covered a 10-year modular colocation agreement at London-3, not the sale of Colt’s data-centre facility. The reported space, security arrangements, construction timings and PUE figure all require historical context.
From TheFinanceBase Team4 min to read
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Colt did not sell its London-3 data-centre facility to Phoenix IT. The June 2011 announcement described a 10-year agreement under which Phoenix would occupy a 500-square-metre (5,400-square-foot) modular data-centre space inside Colt’s London-3 site. Phoenix would have its own mechanical and electrical plant demarcation and complete security control of its space.

What the Colt–Phoenix IT agreement covered

DataCenterKnowledge reported on June 2, 2011 that Phoenix IT, described as a specialist IT services company, would take space in Colt’s London-3 facility. The reported arrangement was an enterprise colocation or occupancy agreement, not a transfer of ownership of Colt’s data-centre asset.

Item Reported detail
Agreement term 10 years, announced in 2011
Phoenix’s space 500 square metres (5,400 square feet)
Location Colt’s London-3 facility
Physical separation Dedicated mechanical and electrical plant demarcation
Security Phoenix had complete security control of its space

Telecom Ramblings also characterized the announcement as a colocation deal. Neither contemporary account says that Phoenix bought London-3 or that Colt transferred ownership of the facility.

Why Phoenix selected Colt’s modular approach

Phoenix said it wanted additional data-centre capacity to meet demand from sales partners for secure, cost-effective and energy-efficient services. The company presented the Colt arrangement as a way to expand services for partners in the UK and Europe.

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Phoenix IT Managing Director Paul Parrish cited “time-to-delivery, high energy efficiency and quality of operation” as key reasons for choosing Colt’s Modular Data Centre. He also said the solution’s scalability would help Phoenix remain competitive and respond quickly to changing market demand. These were management statements in the 2011 announcement, not independent test results.

Colt executive vice president Bernard Geoghegan said customers were recognizing the design’s flexibility and energy efficiency, particularly its ability to expand as business, energy, space and power requirements changed. That statement likewise describes Colt’s positioning at the time rather than an independently verified performance result for Phoenix.

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What “modular data centre” meant in 2011

Factory-built, configurable sections

Colt’s offer was reported to include more than 120 design variations. The company said the modular centres could be delivered to either a Colt-owned site or a customer-owned site. In this context, “modular” refers to assembling a data-centre environment from engineered sections rather than constructing every element as a conventional, one-off building project.

The London-3 construction example

A contemporaneous technical feature in Modern Building Services described off-site fabrication and assembly for the London-3 halls. It reported that a 500-square-metre hall was assembled from 12 modules and took approximately four months to build, compared with approximately 14 months for a traditional build. Those are period-specific descriptions of that project; they are not current delivery commitments or guarantees for other sites.

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Reported power-efficiency design

The same technical feature reported a design power usage effectiveness (PUE) of 1.21 for the high-performance London-3 halls. In its explanation, 1 kW supported IT equipment while 210 W supported services such as cooling and UPS systems. This was a reported design figure for the halls, not a measured PUE for Phoenix’s occupied area.

Colt’s 2010 annual report said the company launched its factory-built modular data-centre approach in June 2010 and had completed and delivered its first modular data centre. Those statements describe Colt’s own programme and targets and should not be read as an independent validation of operating performance.

What the figures do—and do not—prove

Figure What it describes Important qualification
500 square metres (5,400 square feet) Reported size of Phoenix’s space Contemporary 2011 transaction report; not a measure of the whole London-3 facility
More than 120 design variations Colt’s reported modular configuration range Company offering described in 2011; not a comparison of competing providers
12 modules Reported assembly method for a 500-square-metre London-3 hall Project-specific historical description
Approximately four months versus approximately 14 months Reported modular and traditional construction times Historical timings for the described build, not a present-day promise
PUE design figure of 1.21 Reported design target for the high-performance halls Not an independently measured result for Phoenix’s occupied space

No independent study in the contemporary material establishes a Phoenix-specific efficiency outcome. The available reporting supports describing the numbers as design or construction claims made at the time.

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How to interpret the deal

The decision factors identified in the reporting were time to delivery, energy efficiency, operating quality, scalability, security and control. They explain why Phoenix said the arrangement suited its partner-led services business, but the announcement did not present a multi-provider test or a quantified comparison with rival data-centre operators.

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Phoenix’s separate plant demarcation and security control indicate a dedicated operating boundary within Colt’s site. At the same time, the agreement gave Phoenix access to Colt’s broader facility rather than ownership of the land, building or data-centre campus.

Sources and historical context

  • DataCenterKnowledge, “Colt Sells Modular Data Center To Phoenix IT,” June 2, 2011: transaction details and executive quotations.
  • Modern Building Services, “Data centres that can be made to order,” June 2, 2011: modular assembly description, construction timings and reported PUE design figure.
  • Colt Group S.A., 2010 Annual Report: company account of the modular programme’s launch and first delivery.
  • Telecom Ramblings, “Colo Roundup 6-2: Colt, Interxion, Equinix, i/o,” June 2, 2011: independent industry characterization of the arrangement as colocation.

The Bottom Line

The reported 2011 transaction was a 10-year modular colocation agreement: Phoenix IT occupied 500 square metres within Colt’s London-3 facility, with its own plant demarcation and security control. It was not a sale of Colt’s data centre, and the reported efficiency and construction figures were historical design or project claims rather than Phoenix-specific measured results.

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