(The Hosting News) – Digital Realty Trust, Inc. (NYSE: DLR), has published the results of its annual study of the U.S. data center market. The study is based on a detailed survey of senior decision makers at large corporations in North America and was conducted by the respected research firm Campos Research & Analysis. Highlights from the study are provided below and a more detailed presentation of the survey results will take place in a webinar on March 15, 2010 featuring IDC Vice President Michelle Bailey and Digital Realty Trust senior executive Chris Crosby. To register for the event, visit www.digitalrealtytrust.com.
Key findings of the new study include the following:
—83 percent of respondents are planning data center expansions in the next 12 to 24 months;
—36 percent of respondents have definite plans to make those expansions during 2010;
—73 percent of respondents plan to add two or more facilities as part of their data center expansions;
—The need for additional power is the top reason for data center expansions, rising from fifth place on last year’s survey to first place this year;
—Data center and IT budgets are both projected to increase by 8 percent in 2010, up from 7 percent and 6 percent, respectively, last year;
—Of those planning to expand, 70 percent are planning large projects of at least 15,000 square feet in size or 2 mW or greater of power; and
—83 percent of respondents with definite plans to expand in 2010 plan to do so with a partner that specializes in data center design and construction or data center leasing.
“These survey findings point to strong demand for data center space this year and next year as a large majority of enterprises expand their IT infrastructure. One of the most interesting pieces of data in this study is the lead role that power is now playing in these expansions. The need for additional power has become the main driver for data center expansion plans as companies seek facilities with adequate power and favorable utility rates to control operating costs,” said Chris Crosby, Senior Vice President of Corporate Development for Digital Realty Trust.
Mr. Crosby added: “Another key finding of this study is the increasing importance of data center partners in these corporate expansions. More than ever before, enterprises are turning to wholesale providers and other specialists for these data centers in order to leverage their expertise and to reduce or eliminate capital expenses.”
Of those companies planning to expand:
—53 percent plan to do so by leasing from a wholesale data center provider;
—Finance is taking a greater role in how companies select partners; and
—C-level executives have replaced the IT department as the final decision maker for data center partner decisions – serving as the primary influencer by a margin of 2:1.
Commenting on the survey results, Michelle Bailey, Research Vice President for IDC said, “Last year, many enterprise customers put their plans for new datacenter construction on hold as the capital markets dried up. As a result, we have seen IT organizations increasingly look to third party suppliers with flexible financing strategies as a means to supplement their own aging datacenters.”
The study also examined data center energy efficiency initiatives:
—76 percent of respondents now meter their power use;
—The number of companies that meter power down to the PDU level increased by 29 percent over last year;
—75 percent of companies are confident they can comply with future carbon emissions-related and energy-related regulations;
—The average reported PUE energy efficiency rating for respondents’ data centers is 2.9; and
—One in six respondents report PUE ratings of less than 2.0 for their facilities
“There has been significant progress over the past two to three years in the area of data center energy efficiency. Over that period, the industry has gone from power metering being the exception to power metering being utilized by more than three quarters of respondents. Awareness of PUE is also nearly universal now, with 96 percent of companies familiar with the emerging standard for measuring energy efficiency,” added Mr. Crosby. “These are very positive signs that companies better understand their data centers’ energy use and can make informed decisions to reduce energy consumption.”