Megaport provides software defined data links between data centres and benefits from the shift for business to use cloud services. Roughly 70% enterprises are adopting a hybrid-cloud strategy with most have two of more cloud service providers. This means that enterprises need to connect from their own private hosting arrangements to one or more cloud service providers. Megaport enables connectivity to the top 5 cloud service providers - AWS, Azure, Google, Alibaba and Oracle. Megaport is unique because it allows customers to acquire data links in minutes via its web portal rather than months it currently takes. It procures access to dark fibre (not owning it) and provides the services on top to get access to the cloud service providers. With this in place Megaport customers can use the web portal to define what they want and pay on a monthly service basis - just like software as service or infrastructure as a service that the cloud service providers provide. Megaport are providing a global Network as a Service Megaport is an enabler and not a competitor for cloud service providers. It allows them to extend their reach. Megaport was founded by Bevan Slattery, who is now chairman. He owns 33M of the 88M shares on offer.. He has also founded NextDC and Supoerloop wihich are both ASX listed companies as well as Pipe Networks and Asia Pacific Data Centres which were listed but have been acquired. Customers include NewsCorp, JB HiFi, and Woodside. Megaport operate in Asia Pacific, Europe and US. Asia Pacific is the most mature and US only a couple years old. US is a major focus.
Half year results.
MP1 have doubled sales in 6 months. They have the same revenue for half year 2018 as full year 2017. Costs have remained static.
MRR is now at $1.6M. This is 33% growth since EOY 2017.
