Six Quick Tips

February 6 2009

Picking A Data Center Site
How To Ensure You Find The Best Location

There has been a lot of fanciful talk about relocating data centers in such heat-minimizing venues as Iceland, but the typical small to medium-sized physical data center site usually gets chosen for more than the local climate or a trendy address. "It's a combination of factors. Any one factor does not make or break the decision," says Lee Kirby, vice president and general manager at infrastructure solution provider Lee Technologies (www.leetechnologies.com).

So what criteria should IT and data center managers at SMEs consider when choosing their data center sites? Here are a few tips to help you out.

Keep Location Risks In Mind

"Many IT managers believe that risks are quite low when it comes to their data center becoming completely submerged in water due to flooding or without power for an extended period of time because of a hurricane, and on a grand level, they are correct in their assumptions," says John Bennett, worldwide director of HP Data Center Transformation Solutions. "However, very few realize that data center outages due to local flooding or power losses due to a local fire are quite common."

Bennett says it makes sense to avoid locations with high natural disaster potential. At the same time, try to avoid local areas that are prone to seasonal flooding or higher- than-average fire risks. "In addition, locations close to ports, chemical plants, highways, or other areas that could be subject to a local disastrous event should also be avoided," Bennett says.

Lior Blik, president and CEO of network infrastructure technologies solutions provider NIT Connect (www.nitconnect.net), notes that if you live in a flood zone and need, for whatever reason, to have your data center in-house or nearby, do not install your data center on the ground floor of your building. "Floods are often unprecedented and will severely damage the data center," Blik says. "A more ideal location would be on the second, third, [or higher] floor."

Plan For Future Growth

Make sure you consider where your organization will be during the next five to 10 years when selecting a physical location for your data center, recommends HP's Bennett.

"As the business grows, the data center increasingly becomes a more strategic asset, helping to keep the business competitive," Bennett says. "IT managers should align their data center strategies with business goals and select a location that can support long-term business growth from both a space perspective and a technological one."

Consider Security & Safety

For his part, Lee Technologies' Kirby says it's important to make sure that the physical location that you choose for your data center is safe for your employees. You don't want to have it located in an area where petty theft or other crime is an issue.

"Terrorism and earthquakes seem to be the vogue thing people think of, but sometimes people forget about simple crime," Kirby says.

Check Out Local Incentives

Kirby also recommends checking out what incentives the local EDC (economic development council) can offer your organization for choosing to locate a data center in its community. "A lot of [EDCs] have gotten really aggressive in trying to attract people into the area because an EDC is just like any other type of salesperson," Kirby says. "They know if they get one person in there, they'll get another because it'll attract and legitimize the fact that they're making this area attractive to IT organizations."

Mario Hernandez, president of the San Antonio Economic Development Foundation, says that San Antonio was able to lure a Microsoft data center, as well as several others through the incentives the city offered. According to Hernandez, his organization provided Microsoft a package that included $5 million to help the company purchase specialized transformers that offset some of the startup capital costs, along with a tax abatement from city and county government property taxes for 10 years. In addition, the local utility company provided a multiyear commitment to provide energy needs at less than 5 cents per kilowatt-hour, Hernandez says.

"If companies can show the benefits to communities [through their] economic impact from having a data center, then communities will be inclined to provide meaningful assistance and incentives in the areas most important to the data center," he notes.

by Robyn Weisman

BONUS TIPS: Consider The Data Center Itself

Allocate additional space for fire systems. Lior Blick, president and CEO of network infrastructure technologies solutions provider NIT Connect (www.nitconnect.net) recommends allocating addtional data center space for a fire suppression system. Such a setup should include the installation of chemical-holding balloons or nitrogen-pressured cylinders.

Windows are great for humans but potentially disastrous for IT equipment. Blik recommends that you avoid installing a data center in a room with windows because managing temperature and other environmental controls becomes more problematic when you add windows to the mix. "Windows may allow warm air to come through from the outside, generating more energy usage and affecting proper airflow management," he says.

You don't want to have your SME's data center located in an area where petty theft or other crime is an issue.

Money-Saving Tip: Shop Around For The Best Power Prices

Lee Kirby, vice president and general manager at infrastructure solution provider Lee Technologies (www.leetechnologies.com), says that the price of power is becoming a more important screening criterion. "You don't even get to the table to determine if that area would have other aspects because people are running away from the high power grids," Kirby says.

Kirby points out that you first want to make sure the power is available and then find out what the local utility will charge for it. While a small to medium-sized enterprise usually can't leverage a utility company the way a large enterprise can, it can still shop around to see who is offering the best prices.

"Power is one of the most expensive parts of the data center operating budget. Once you get it built, you've got to keep it powered and cooled, and it's just a never-ending cycle," Kirby says.

Best Tip: Ensure Accessibility To IT Talent & Vendors

If power costs were the only major criteria in determining where to house your next data center, you could build it in Antarctica and be done with it. But Kirby warns that if you get too far away from the major metros, availability of resources gets tough.

"Your costs go up because you're having to transport people in," he says. "During the construction cycle, there are a lot of people onsite building the data center. As it gets into operation, it's a lot less, and you may be able to find local talent, but chances are if you're way out there, you may not find the type of talent that you want."

Staying close to major metropolitan areas gives you a greater likelihood of finding the talent and vendors you need to get your data center up and running. Combine that with potential incentives from local EDCs (economic development councils; for example, San Antonio has brought in midsized companies, along with Microsoft and Lowe's through the incentives it offers), and you should be able to find a good balance that doesn't drain your wallet.