Box expands Box Zones, sees strong demand

The cloud content management company is bolstering its global story by meeting data sovereignty laws and standards in more regions.
Written by Larry Dignan, Contributor


Box CEO Aaron Levie said that the company is seeing strong demand for its Box Zones offering, which is designed to meet data sovereignty regulations around the world, as it expands into new markets.

"The first locations for Box Zones are up and demand for first three months were significant," said Levie. "A lot of those conversations with enterprises are ongoing. Demand was strong and we saw some cool transactions."

Levie couldn't reveal numbers given Box is reporting its second quarter earnings Aug. 31.

Also see: Box launches Box Zones, aims for EU, Asia expansion

Box's plan for international expansion is to target markets where it has existing customers and then expand its wallet share.

On Wednesday, Box said its Box Zones will bring in-region data storage to enterprises in Canada and Australia. Box Zones, which launched in April, allows customers to store data to meet local data regulations via partnerships with Amazon Web Services and IBM. The new Box Zones locations will be driven by AWS. Box Zones will be up and running in United States, Australia, Canada, Germany, Ireland, Japan, and Singapore, according to Box.

Ultimately, Box Zones will be connecting to multiple public clouds as additional regions are added. "We architected this in a way that can work across multiple public clouds," said Levie.

In addition, Box said its Box Accelerator global data transfer network has been enhanced with endpoints in more than 20 countries and 60 global locations. Box Accelerator routes traffic and makes decisions based on the fastest path to customers. Levie said that the enhancements are improving upload and download speeds by five to six times. Box Accelerator aims to cut the hops down as data is routed.

The company also said it complies with ISO 27018, which is a standard for protecting personally identifiable information. Levie said Box is working to meet a bevy of privacy and security standards around the world as it builds out its global story.

"We're just scratching the surface on standards because every country is developing its own privacy laws," said Levie. "Our compliance team has a lot of job security."

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