British Telecom (BT) is preparing to step into the edge data centre market, aiming to turn parts of its existing network of towers and exchanges into powerful hubs for edge computing. This shift comes as the demand for faster, local computing grows with the rise of artificial intelligence (AI) and digital services.
Turning Old Infrastructure into New Opportunities
Leading this exciting transformation is David McKean, BT’s Tower Division Director. According to McKean, BT is exploring how its nationwide infrastructure—particularly its real estate and physical assets—can be repurposed to create a national edge computing network.
The idea is simple: instead of letting old infrastructure go unused, BT wants to turn it into something valuable. By building edge data centres, BT hopes to meet the increasing demand for low-latency services while unlocking new revenue streams from its underused properties.
From Old Phone Networks to New Data Powerhouses
A key part of BT’s plan involves about 1,000 telecom exchanges—buildings that were once crucial for its landline telephone services. As BT phases out its old copper network, these spaces could be converted into small, powerful data centres located closer to customers.
“We’re looking at whether we can give these old exchanges a new purpose as data centres,” said McKean. This approach also supports BT’s broader efforts to streamline its operations by cutting down from 5,600 old sites to just 1,000 major hubs, reducing costs and improving efficiency.
Adding Data Centres to Tower Sites
In addition to exchanges, BT is also evaluating how its tower portfolio—with thousands of sites across the UK—can be used for edge computing. Many of these towers already have access to power and fibre networks, making them ideal spots for small data centres that need to be close to users for faster service.
This move would put BT in line with global trends, as other tower companies like American Tower and Cellnex have also expanded into the edge data centre market to serve businesses needing quicker data processing and lower latency.
Meeting the Growing Demand for AI and Digital Services
Speaking at a recent industry event, McKean emphasized that the rise of AI applications is driving this need for edge infrastructure. By placing computing power closer to where data is created and used, BT can help businesses and governments get faster, more reliable AI performance.
“Tower companies are experts in building infrastructure where people and demand are,” McKean said. “That expertise is becoming even more valuable as the need for edge computing grows.”
With this strategy, BT is positioning itself to be a key player in the next wave of digital transformation, using its existing network to support the future of AI, cloud computing, and smart services across the UK.