Data Center Costs
December 9, 2015
I find cost estimates useful and sometimes entertaining. Most companies do not reveal their costs for specific line items. When costs are released, they are “shaped” like clay to present a good looking pot, ash tray, or dish.
I read “Average US Data Center Costs $270 Million over 10 Years.” That works out to $20 million or so every year. Here are some details from the write up, which may make interesting reading to a company with $5 million in revenue:
with the right site-selection strategy, organizations can more than halve their data center costs. The right blend of tax incentives along with careful consideration of land, construction, energy and staffing costs can slash up to 52.1 percent, or $140.9 million, off the 10-year price tag of running a data center.
Another item:
Power costs can also significantly affect data center budgeting. “Power costs average 13.2 percent of the total project cost over the life of the project, but vary from 6.5 percent in Quincy, Washington, to 21.3 percent in Boston,” stated CBRE. Southern California and Silicon Valley also command high electricity rates, while Des Moines, Tulsa and Quincy, Wash. offer cheap power.
And:
Regionally, there’s not much difference in a data center costs. In the western, central and eastern parts of the U.S., enterprises can expect to pay $271.5 million, $270.2 million and $268.7 million on average over 10 years, respectively.
Planning an online intensive, Big Data operation, a Lake Superior sized data lake, and a private cloud? You have some rough numbers.
Stephen E Arnold, December 9, 2015
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Data Center Costs : Stephen E. Arnold @ Beyond Search