CANADIAN HOSTING MARKET REPORT

2008 EDITION

NBI/Michael Sone Associates
193 Church Street
Toronto, Ontario
M5B 1Y7
Telephone 416-360-0424
e-mail msone@nbicanada.com

October 2008

The Canadian Hosting Market Report, 2008 Edition is NBI/Michael Sone Associates' survey of the competitive landscape of the hosting market in Canada. At 88 pages and containing 20 quantitative exhibits, this report provides a background on the development of the hosting market as well as trends that are driving the Canadian market today. The size of the Canadian market and vendor market shares are discussed in terms of revenues, estimated in this report annually for the period 2006 to 2008.

We define the hosting market as out-sourced infrastructure operated in a data centre by a third-party and segment this market into three segments – collocation, shared hosting and managed hosting. This segmentation is used in the exhibits throughout the report.

In-depth profiles of the 10 leading hosting service providers active in Canada are provided, examining their services, facilities and Canadian hosting revenues. Each hosting service provider profile includes exhibits detailing their total and market segment revenues, and data centre operations by raised floor space, in-service raised floor space and by province as of August 2008.

Exhibits for the overall market include industry revenues, market shares, revenue by service provider by market segment, data centre area by hosting service provider and overall data centre area by province.

This report is part of NBI/Michael Sone Associates’ series of research reports on the Canadian telecommunications industry. Other reports cover data communications services, wireless communications services, local telecom and VoIP services, Internet services and IPTV services.

As with all NBI/Michael Sone Associates reports, information has been gathered from primary sources. The information contained in this report is the result of numerous interviews, primarily with the hosting service providers themselves.
Please note that reported revenues represent proceeds from the operation of out-sourced infrastructure operated in data centre services by vendors active in the Canadian market. These revenues exclude consulting and professional services fees (other than what is required to provide service), such as business process outsourcing . Figures are in Canadian dollars unless otherwise noted.

Please also note that in accordance with industry practice, we use the Imperial unit of measure, the square foot, to quantify data centre area. One thousand square feet equals about 93 square meters; a 10,000 square foot data centre is thus about 930 square meters.