Replicates Melbourne set-up.

Hosting provider IntraIP has established a point of presence in Sydney after striking a new three-year deal with Pipe Networks.

The company, which owns the Cove web hosting brand, has taken a rack in Pipe Networks' suite within the GlobalSwitch data centre that it has "fitted out with virtual private servers, shared hosting and full network kit", according to IntraIP chief Cheyne Jonstone.

"It's a complete carbon copy of what we've done in Melbourne to the very brand, except we're using different providers for the wholesale bandwidth portion," Jonstone said.

Sydney's wholesale bandwidth services were supplied by Comcen and Soul/TPG, whereas Melbourne used Vocus and Intervolve.

Jonstone said the three-year Pipe deal was inked prior to the announcement of its proposed acquisition by SP Telemedia. But he said he was "not that worried" about the acquisition.

"I think they'll continue to operate the Pipe business as-is," Jonstone said.

The Pipe deal meant IntraIP now had a data centre interconnect with Equinix in Sydney's south and "an intercapital link through Pipe fibre joining the Melbourne and Sydney points of presence.

"We have the Pipe peering in both spots and use Pipe in both locations for data centre services," he said.

Jonstone said the inter-capital link had been tested successfully late Saturday evening.

IntraIP had already sold a quarter of the 16 virtual private servers available in the hours since the Sydney presence had gone live today.

"We can't keep stock of these," Jonstone said.

He said IntraIP wanted to enter the Sydney market in part "to shake it up a little." The move could bring the company into more direct competition with the likes of Crucial Paradigm, Jumba and Net Logistics.

Jonstone also said IntraIP would replicate its hosting offer in the United States next. He said services in Los Angeles would commence in June next year.