Data Center Pricing Expected to Increase in 2015

by Stephanie Faris on Monday, February 23 6:00

Businesses have enjoyed relatively low pricing on their server storage needs in recent years, as providers sought to compete with cloud services. But server movers are cautioning customers that data center prices are expected to increase this year in keeping with supply-demand dynamics.

As with other areas of real estate, the market for data center space has been sluggish in recent years. Demand has quickly picked up, however, which means building space will likely increase in price. Once space is at a premium, data center movers expect lease prices to skyrocket in such places and that cost will no doubt be passed on to customers.

Planning Ahead

Industry experts have recommended that businesses think ahead when designing new data centers and improving existing ones. Experts predict that IT demands on businesses will continue to increase, requiring cloud providers and on-premise solutions to easily scale to meet those demands. IT relocation specialists advise businesses to take this growth into account when choosing a new space, since a business s technology needs are rarely stagnant.

Experts believe that the current design of many data centers facilitates growth for many years into the future. But first IT professionals must learn to calculate the computing capacity per square foot. Additional racks should be put in place that will hold equipment as a company grows.

Making the Most of Space

In addition to leaving empty space, enterprises should consider purchasing equipment that takes up less space. Servers with smaller form factors can increase rack capacity, especially sleeveless servers or one-unit height servers. This equipment utilizes a high-tech design that accomplishes the same tasks without taking up extra space in a server room.

In considering whether to move or restructure an existing data center, a server moving company recommends surveying the existing setup and locating areas where space can be increased. Extra floor space can easily be used for additional racks over time, allowing a business to remain in place while still meeting their technology needs.

A Cloud Shift

Another major change impacting the data center space is cloud technology. More businesses than ever are making the move to the cloud, but this doesn t eliminate the need for data center storage. IT relocation specialists find that instead of small server rooms spread throughout a regional area, wide-scale data centers are set up to service a large number of clients from one space. An increase in data center storage will indirectly impact businesses that use cloud services in the long run, since cloud service providers will be forced to pass their increased costs on to customers. Larger companies still mange their own data centers in large part, leaving a demand for localized services in cities across the world.

As the real estate market picks up, businesses should be aware that the cost for storing servers will gradually begin to increase. By realizing how this increase impacts them, businesses can prepare themselves and make adjustments as needed. Whether an organization has on-site server storage or takes advantage of cloud offerings, an increase in data center storage space impacts everyone.