Newer computing technologies, such as blade servers, are pushing the limits of existing IT infrastructures at energy companies. Power and cooling requirements have skyrocketed, and energy companies are forced to spend millions to retrofit their existing systems. As companies outgrow their established infrastructures, they have begun to look for alternatives. One old solution that is getting new traction is to outsource IT functions. CyrusOne, a Houston-based firm that works this niche of the business, counts about 70% of its revenue from the energy industry. The company, which sees itself as the utility for the petrotechnical industry, manages systems in more than 400 locations throughout the world. "We basically provide the infrastructure underneath greenfield, brownfield or operations applications," says Blake McLane, vice president of strategic business development. Energy companies are heavy users of applications that require fast and accurate decisions and real-time interpretation and analysis, he says, and these applications put significant demand in a couple of areas. For more on this, see the August issue of Oil and Gas Investor. For a subscription, call 713-260-6441.
Recommended Reading
Producers Trim 2024 Hedges Amid Bullish Oil Prices, M&A
2024-06-14 - Meanwhile, gas-weighted players are benefitting from solid hedge books planned ahead of price uncertainty.
TC Energy Shareholders OK Spinning Off Liquid Pipelines Business
2024-06-04 - TC Energy will spin off South Bow Corp., with its primary asset the Keystone oil pipeline, while shifting a hefty amount of TC Energy’s debt to the new company.
Oil and Gas Chain Reaction: E&P M&A Begets OFS Consolidation
2024-04-26 - Record-breaking E&P consolidation is rippling into oilfield services, with much more M&A on the way.
E&P Earnings Season Proves Up Stronger Efficiencies, Profits
2024-04-04 - The 2024 outlook for E&Ps largely surprises to the upside with conservative budgets and steady volumes.
Riley Permian Increases Stake in West Texas Power JV with Conduit
2024-05-22 - Riley Exploration Permian increased its ownership in RPC Power, a JV with Conduit Power, to 50% from 35% and has agreed to sell up to 10 MMcf/d of natural gas as feedstock supply for the generation facilities as RPC plans to sell to ERCOT.