Data Center spending is said to increase in next two years and this was revealed in the survey conducted by 451 Research. The research firm confirmed that data center operators surveyed in North America and Europe had plans to increase data center facility spending and over one-quarter of them said that they will increase spending over the next 90 days.
With Cloud Computing on full swing, there was a fear in the data center industry that cloud services will shrink the spending on data centers maintained by small enterprise.
But the recent survey conducted by 451 Research said that enterprises are consolidating smaller data centers into larger centralized ones, as they are reluctant to build new data centers. So, those large data centers are older facilities that have to be upgraded to support the consolidated capacity.
In general, data center heads start looking out for options to expand capacity when they reach out about 75% utilization of their existing data center footprint. When they start to do, they have the option of consolidating into large existing facility, buy or build new data center or use cloud services, or lease colocation space.
According to 451 Research, Consolidation is said to be much preferred option. Cloud was the second most popular option, and is said to be the third. About one-quarter of respondents said they would consider building new data centers, and only 6 percent said they would look into buying one.
Since, there is a lot of pressure on IT organizations to support growing business demands, Dan Harrington, research director at 451, explained. To address those needs, companies are allocating more budget to modernization of older data center facilities.
The modernization of data center and the increase in spending will be witnessed primarily in healthcare and finance sectors. The bulk of new enterprise data center spending is going to racks, cabling, electric gear, and Data Center Infrastructure Management (DCIM) software.
Still, while enterprises are planning to spend more on data center infrastructure, there will be fewer actual data centers.
Companies are actively consolidating smaller data centers and server rooms, replacing them with larger centralized facilities, supplemented by colocation and cloud services. As a result, there will be fewer facilities, but the total overall footprint will remain about the same, the analysts concluded.
So, if you are planning to increase the capacity of your data center and want the spending to be done in a more meaningful and resourceful way, approach Dynamic Network Factory(DNF Corp) for your needs.
Dynamic Network Factory, Inc. has deep knowledge in cabling and infrastructure, power and cooling, rack layout and design, security and management practices. All of these elements, put together in the right way, can make for long-lasting IT systems and true operational efficiency for your company.
Just call 510 265 1122 and talk with experts or click on DNF Corp link and fill in the form, to get a call from an expert at the best convenient time to you.
