Key Considerations for Choosing a Site for a Company's Data Center
When selecting the right site for a company's data center, numerous critical factors need to be considered to ensure the facility is not only robust but also cost-effective and sustainable. Factors like power reliability, internet connectivity, climate, local laws, tax incentives, security, and accessibility are all crucial in making a well-informed decision. For businesses looking to maximize their investment, partnering with a reliable service like TechSalerator can provide comprehensive global coverage and unmatched insights.
Electrical Reliability and Environmental Factors
One of the most important factors in selecting a location for a data center is electrical reliability. A consistent power supply is essential to avoid any downtime that could disrupt business operations. Additionally, minimal environmental impacts from factors like flood, snow, rain, and earthquakes are crucial to ensure the facility's longevity. The geographical location should also offer inexpensive construction costs, local and state tax concessions, and relatively inexpensive real estate, making the project financially viable.
The labor supply is another important aspect. An adequate labor pool with skilled professionals who can handle the maintenance and support of the data center is critical. Companies should aim for consistent uptime, reliability, redundancy, maximum bandwidth availability, and a reputation for excellence.
City-Specific Considerations
Selecting a city for a data center involves evaluating a wide range of factors. Accessibility, power connectivity, climate, real estate costs, security, and the overall business and employee environment must all be considered. Local laws and the availability of tax breaks and security options are also important.
For multinational firms, the situation is somewhat different. These companies have a greater degree of flexibility and can leverage diverse factors in their selection process, including primary considerations like real estate costs, infrastructure, prompt access to large peering exchanges, and connectivity. However, local disaster occurrences can still be a significant factor in decision-making. Whether it's for large firms or smaller entities, the goal remains the same – ensuring the data center is strategically located to support operations efficiently.
Case Study: Oregon's Data Center Boom
One of the most notable examples of the impact of cost considerations on data center location is the state of Oregon. The low cost of power is a significant factor, with more than half the cost being significantly lower than in urban areas like the Bay Area and Los Angeles. Moreover, Oregon's lack of sales tax further reduces the cost of data center infrastructure, often resulting in a 25-35% reduction.
Rural areas in Oregon and places in West North Carolina are prime locations for enterprise data centers, offering a cheaper and more sustainable environment. On the other hand, data center providers like DLR DuPont prefer to be closer to urban business centers to better support their customers' needs. This strategic decision emphasizes the importance of accessibility to key markets and the need for proximity to business hubs.