Data Center Trends

1. Large data centers are now taking in excess of 30MW of electrical power
2. Often public utilities are unable to accommodate greater server density and computing power
3. Increased cooling demand is making existing data center mechanical systems obsolete and places greater importance on water availability, reliability and on-site water storage
4. To avoid premature obsolescence caused by insufficient future power, data center users should demand scalable future power in order to protect their investment
5. A 7.5kw rack requires electrical power exceeding 200 watts per sq. ft. to the data center area

Tier 1 Research Survey

1. Current demand for data centers is up 14% while supply is up only 6%
2. Shortages of data center space will be realized in 2010 and upward pricing pressure during 2011 and 2012
3. Corporate America’s expanding demand for secure, robust locations to store and process critical electronic information, off-site IT operations and disaster recovery has increased dramatically over the past six years
4. Existing data centers and older vacant data center properties are struggling to keep pace with developments in technology. It is predicted that 50% of existing data centers will be obsolete (i.e. will not be able to provide sufficient power, fiber or other operating components) by the end of 2009
5. The average rental rate nationally for power-based shell space is $62 per sq. ft.
6. Key drivers of the demand are software as a service, managed hosting, online gaming, social networking and streaming media
7. The top data center markets in North America are Silicon Valley, New York, Northern Virginia, Dallas, Chicago and Los Angeles