Cirion Expands Mexico Fibre to Enhance Data Centre Connectivity
Deal News | Dec 13, 2024 | fitch media ventures
Cirion Technologies is set to expand its fiber optic network across Mexico, notably connecting Querétaro to Mexico City, thereby enhancing the investment profile of the local data center market, primarily through improved connectivity infrastructure. The expansion includes the deployment of a new AI-ready buried duct, which will reform the connectivity landscape for Mexico-based data centers seeking to service US-based clients on the West and East coasts. The opportunity for leveraging new subsea cable connections, such as PAC, further cements Mexico's potential as a strategic locale for data centers. With the nation possessing 182MW of live data center power, 81MW under construction, and 137MW planned for future delivery, ongoing challenges remain in the form of power generation and transmission inefficiencies, particularly in less developed areas such as Monterrey and Mexico City. Despite these hurdles, Cirion aims to dilute the supplier concentration risk and foster a thriving connectivity market in Mexico.
Sectors
- Telecommunications
- Data Centers
Geography
- Mexico – The primary focus of the article is on Cirion Technologies' expansion within Mexico, particularly connecting Querétaro to Mexico City.
- United States – The article highlights the strategic importance of connectivity to US-based data center customers and discusses subsea cable links with the US.
Industry
- Telecommunications – The article discusses fiber optic network expansions, a key component of the telecommunications industry.
- Data Centers – The focus is on enhancing data center capabilities in Mexico through improved connectivity infrastructure.
Financials
- USD610 million – Value attributed to the Bifrost subsea cable project.
- USD203 million – Value attributed to the MANTA subsea cable project.
- USD72 million – Value attributed to the TIKAL-AMX3 subsea cable project.
- USD226 million – Value attributed to the TAM-1 subsea cable project.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Cirion Technologies | Target company | Company | Cirion Technologies is expanding its fiber optic network in Mexico. |
| Fitch Media Ventures | PE Firm | Company | Private equity firm mentioned as the source. |
| Megacable | Other Company | Company | Megacable is a key fiber infrastructure provider in Mexico. |
| Lumen | Other Company | Company | Lumen is involved in the Mexico telecommunications infrastructure market. |