Expectations for Office Connectivity Skyrocket
As office space shrinks, the tech performance of the space becomes more important, i.e., dedicated Internet access, connectivity to private cloud networks and secure connection to offshore centers.
SUNNYVALE, CA—It’s an understatement to say that technology has been the catalyst for the rapid evolution of the office environment, including the reduction of office space. However, office-using industries that are adding jobs most rapidly over the long term, such as technology, media and finance, have recorded less space reduction.
In the fastest-growing sector of the economy, technology, the average lease size actually increased by 21% during the past 10 years. This is partly because competition among employers for technology workers is so steep that employers in the industry need to offer spacious, amenity-rich office space to attract and retain talent, according to a recent NAIOP study.
Other office-based companies can decrease the amount of office space through a more-efficient office layout. Reducing office space through greater efficiency can be achieved through technological improvements, reduced common areas and smaller work areas, according to George Green, policy representative/senior economist for investment real estate at the National Association of Realtors.
Office space and amenities are important, but one of the fundamental demands of this type of space are expectations for technology performance itself, i.e., dedicated Internet access, ability to connect to private cloud networks, ability for development teams to securely connect to offshore development centers, etc. Many flex office operators, including WeWork, have very limited ability to provide scalable, secure technology access, according to Join.
This type of service, dubbed “Starbucks WiFi,” is causing companies to re-think approaches to flex. In fact, flexible space not just for freelancers and startups: 65% of enterprise companies plan to incorporate coworking into portfolio offerings by 2020, according to a CBRE enterprises survey.
“Tenants in commercial office buildings are completely on their own for technology buildouts. When a tenant leaves, all the tech gets ripped out of the building and a provider re-installs for the next tenant. Why shouldn’t the provision of encrypted high-speed networking services be any different than water and power, i.e., infrastructure to the building? That is our premise,” Malcolm Hobbs, vice president of marketing for Join by CloudBus Inc., tells GlobeSt.com. “The same applies in the flex office. If you need more than ‘Starbuck WiFi’, the tenant has to do their own buildout, and for even shorter leasing cycles.”
Join is a secure technology platform that consolidates Internet access, WiFi, telecommunications, and shared printers and scanners under one platform. Its high-speed encrypted technology sits in the data center, so it is secure before it even gets to the building, Hobbs says.
The firm delivers and installs the building wireless technology and amenities to a furnished space. Companies can upgrade, change or downgrade services any time to meet staff needs.
Join also handles all customer support and billing so building owners and flex operators don’t field support calls. There are no contracts and charges are per person, per month.