What Is Hyperscale? Definition and Usage

March 9, 2023

What is “hyperscale?” The word itself is a pretty good indicator. The prefix “hyper” means over or excessive. The word scale refers to size or extent. Hyperscale refers to the ability of IT architecture to scale appropriately as demand is placed on the system. In the same vein, if we were to define hyperscalers and what they do, they are described as large cloud service providers, that can provide services such as computing and storage at enterprise scale. An example of a hyperscaler is AWS (Amazon Web Services). Put simply, hyperscale systems are designed to meet the needs of businesses that require massive, flexible infrastructure to handle large volumes of data and traffic.

What is a hyperscale data centre?

A hyperscale data centre is a facility that is designed to support massive amounts of data processing and storage. These data centres are typically built to meet the specific needs of companies with large amounts of data and complex computing requirements. Hyperscale data centres are characterised by their massive size, high density of servers and storage equipment, and efficient use of energy and space. They are often used by cloud computing providers, social media platforms, and other technology companies that require extensive computing power and storage capacity.

With the emergence of cloud providers—and their large global footprints—enterprises are abandoning traditional, on-premises data centres. The need for data centres has not reduced, it has entirely changed. Hybrid cloud, colocation, and hyperscale data centre solutions are now at the forefront of digital infrastructure.

This shift is all about utility. While the maintenance of a dedicated data centre requires extensive specialised knowledge and equipment as well as resources, hyperscalers offer convenient platform-neutral services that can scale up or down and be spread across geographies.

Data demands are rising dramatically. The utility of that data is intertwined with the business objectives of those who create and use it.

Data drivers in high gear

While this utilisation of third-party cloud services such as hyperscale solutions were initially implemented chiefly by large multinational and digital-facing operations, it’s now commonplace for organisations of all types and sizes. Some of the key drivers of cloud services include emerging data-driven technologies like artificial intelligence (AI), Internet of Things (IoT), virtual and augmented reality, and autonomous vehicles.

With cloud services being employed for increasingly diverse purposes, it is important that organizations have a solution that is flexible enough to accommodate a wide range of needs. That’s why many businesses today deploy some form of hybrid cloud solution.

Utilising both private and public clouds, hybrid solutions enable businesses to grow their workloads in the cloud as their business needs grow while ensuring that their most sensitive data and applications can remain on private servers.

Why hyperscale?

Hyperscale data centres are the logical response to the explosion in demand for cloud services and hybrid solutions. These are large facilities: roughly the size of a football field on average, with approximately 20 MWs of power each.

With the reliance on hyperscale data centre facilities on the rise, data centre providers like Digital Realty are investing in new projects at a rapid pace. But what constitutes a good site for a hyperscale facility? There are a few key considerations that providers look for. A large plot of land and ready access to fibre are crucial, as is the ability to support our customers and our sustainability goals, such as energy efficiency and the use of renewable energy sources.

As the hyperscale data centre market continues to expand, companies are prioritsing not only operational efficiency and scalability but also the ability to provide robust cloud computing services, reliable data storage, and sustainable green data centre solutions.

Location for hyperscale data centres

That is, global locations. While the need for hyperscale data centres is greatest in established metros like the U.S. and Europe, the rest of the world is catching up quickly. Emerging markets offer unique opportunities and challenges for hyperscalers. For instance, the Latin American data centre market has grown over the past few years. From 2023, the data centre market in Latin America is expected to grow at a CAGR of 11.49% with revenues of over $1 billion.

So, what considerations are important when it comes to choosing a location for a new hyperscale data centre?

Choosing a location begins with the relationship between the hyperscale provider and the local regulations, and business environment. Motivation from the local resources is critical to moving projects forward, as is access to affordably priced renewable energy.

Frequently Asked Questions about hyperscale

What is a hyperscale company?

A hyperscale company, hyperscale provider, or hyperscaler, refers to an organisation that operates massive-scale data centres and cloud infrastructure to support their business operations.

The term "hyperscale" refers to the ability of these companies to rapidly scale their infrastructure to accommodate the growing demands of their users. Key characteristics of hyperscale companies include vast infrastructure, cloud services, scalability redundancy and resilience.

What is hyperscale architecture?

Hyperscale architecture is a distributed computing environment designed to handle massive amounts of data and traffic while maintaining scalability and high performance. It is typically employed by hyperscale cloud service providers, social media platforms, and other organisations with immense data processing requirements.

What are hyperscalers in AI?

Hyperscalers in AI refer to large technology companies that have significant computing infrastructure and resources to support Artificial Intelligence and machine learning workloads at scale.

What is the difference between hyperscale and cloud?

The main difference between hyperscale and cloud computing is that hyperscale refers to the large-scale infrastructure of a data centre, while cloud computing refers to the delivery of computing services over the internet.

What is the difference between hyperscale and colocation?

The main difference between hyperscale and colocation is that hyperscale refers to companies that own and operate their data centres, while colocation refers to companies renting space in a data centre owned and operated by a third-party provider.

What is the difference between hyperscale and edge data centre?

The main difference between hyperscale and edge data centres is that hyperscale data centres are large-scale facilities that are centrally located, whereas edge data centres are smaller facilities located closer to end-users to reduce latency.

What is an example of hyperscale computing?

An example of hyperscale computing is Google's data centres that support its cloud services, as well as Facebook's infrastructure that powers its social network and other services.

What is the role of hyperscalers in cloud computing?

Hyperscalers play a crucial role in the evolution of cloud computing by providing the backbone infrastructure that allows businesses to scale their digital operations seamlessly. These large-scale providers, such as Amazon Web Services, Microsoft Azure, and Google Cloud, enable cloud services to expand globally, offering on-demand computing resources, storage, and advanced technologies like AI and machine learning to users across industries.

How do hyperscaler cloud companies impact global data management?

Hyperscaler cloud companies significantly impact global data management by providing vast, efficient, and scalable storage solutions that allow businesses to store and process enormous amounts of data across multiple regions. These companies invest heavily in cutting-edge technologies to ensure data redundancy, security, and low-latency access, making them integral to the digital infrastructure of modern economies.