Another major shortage \u2013 which should not be news to anyone \u2013 is power. Lynch said that it is the primary reason many data centers are moving out of the heavily congested areas, like Northern Virginia and Santa Clara, and into secondary markets. Power is more available in smaller markets than larger ones.<\/p>\n
\u201cIf our client needs multi-megawatt capacity in Silicon Valley, we\u2019re being told by the utility providers that that capacity will not be available for up to 10 years from now,\u201d so out of necessity, many have moved to secondary markets, such as Hillsborough, Oregon, Reno, Nevada, and Columbus, Ohio.<\/p>\n
The growth of hyperscalers<\/a> as well as AI is driving up the power requirements of facilities further into the multi-megawatt range. The power industry moves at a very different pace than the IT world, much slower and more deliberate.<\/p>\n Lynch said the lead time for equipment makes it difficult to predict when some large scale, ambitious data centers can be completed. A multi-megawatt facility may even require new transmission lines to be built out as well.<\/p>\n This translates into longer build times for new data centers. CBRE found that the average data center now takes about three years to complete, up from 2 years just a short time ago. Intel, AMD, and Nvidia haven\u2019t even laid out a road map for three years, but with new architectures coming every year, a data center risks being obsolete<\/a> by the time it\u2019s completed.<\/p>\n However, what\u2019s the alternative? To wait? Customers will never catch up at that rate, Lynch said.\u00a0 \u00a0That is simply not a viable option, so development and construction must go on even with short supplies of everything from concrete and steel to servers and power transformers.<\/p>\n","protected":false},"excerpt":{"rendered":"Another major shortage \u2013 which should not be news to anyone \u2013 is power. Lynch said that it…\n","protected":false},"author":2,"featured_media":148291,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12],"tags":[64,63,99,171],"class_list":["post-148290","post","type-post","status-publish","format-standard","has-post-thumbnail","category-markets","tag-au","tag-australia","tag-business","tag-markets"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/148290","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=148290"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/148290\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/148291"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=148290"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=148290"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=148290"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}