Data Center Building Boom In Silicon Valley

1sockchuck writes "Data center developers are building like mad in Silicon Valley, with seven active projects in Santa Clara alone. The building boom includes the resumption of several stalled projects that prompted concerns of a shortage of wholesale data center space in the Valley. The flurry of construction activity is different from the overbuilding during the dot-com boom, which was characterized by too much funding and too few customers. This time, industry experts say, the end of a funding drought has created a situation in which construction is struggling to stay ahead of demand from companies like Facebook — which just scarfed up an entire new data center in Santa Clara."

Comments

Re:sure sure

[nacturation]

what about when the next fad comes along and facebook is forgotten over night?

If you subscribe to the theory that Facebook has built demand, then that demand (with the corresponding need for servers) will shift elsewhere. If it ends up being that a large part of the demand simply vanishes, then yeah... they will have overbuilt.