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Will Silicon Valley Run Out of Data Center Space?

Posted by samzenpus on from the demand-and-demand dept.

1sockchuck writes "With capital scarce, data center developers are prioritizing projects in northern Virginia, where the Obama stimulus plan and federal shift to cloud computing are likely to boost data center demand from government agencies. This is forcing them to delay or scale back large projects in Santa Clara, setting the stage for a supply/demand imbalance in Silicon Valley, particularly for large space requirements. One potential mitigating factor: some currently occupied data center space could become available through the failure of venture-backed startups."

4 of 142 comments (clear)

  1. Not even possible by Brian+Gordon · · Score: 5, Insightful

    a supply/demand imbalance

    If there's demand, someone will supply it. If the demand is for unrealistically cheap service, then that's not real demand.

    1. Re:Not even possible by sessamoid · · Score: 3, Insightful

      a supply/demand imbalance

      If there's demand, someone will supply it eventually. If the demand is for unrealistically cheap service, then that's not real demand.

      Doesn't mean it will happen soon, or that a lot of businesses aren't going to suffer until the imbalance is addressed.

      --
      "No, no, no. Don't tug on that. You never know what it might be attached to."
  2. Who cares where the data center is? by schwep · · Score: 4, Insightful

    Just put in a fat pipe to the data center & connect it to the backbone. Data centers are (by design) a commodity, and as such will be outsourced to where it makes sense.

  3. Re:Why... by mikael · · Score: 3, Insightful

    This article seems to list everything a corporation should consider:

    Price of power
    Networking infrastructure
    Accessibility
    Talent pool
    Local incentives

    --
    Vintage computer adverts: http://www.vintageadbrowser.com/computers-and-software-ads