Big News for Internap - New data center in Silicon Valley

Posted: March 05, 2010 in Articles
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ABSTRACT

The big collocation news for the day is that Internap, the collocation, IP and CDN services provider is opening its first new collocation market in several years. Intenap who already maintains collocation sites in NY, Boston, Atlanta, Seattle, Houston and some smaller locations such as Los Angeles is opening a facility in Santa Clara, CA that has 27,000 sqft of raised floor.

FULL DOCUMENT

The big collocation news for the day is that Internap, the collocation, IP and CDN services provider is opening its first new collocation market in several years. Intenap who already maintains collocation sites in NY, Boston, Atlanta, Seattle, Houston and some smaller locations such as Los Angeles is opening a facility in Santa Clara, CA that has 27,000 sqft of raised floor.

The new site is part of the vision that new CEO Eric Cooney has for the company which is to deploy new data center space in key markets.

The new facility in Silicon Valley, will add 27,000 net sellable square feet of premium data center capacity in two phases for approximately $23 million.  The first phase will total 14,000 feet and is planned to come on line in the third quarter of 2010. 

The facility, a previously operated Intel data center is ready for rapid modifications which Internap will likely due to meet its relaibility and maintainability requirements.

This is a smart move from a company that has not opened a new market in several years. The location is perfect according to many analyst studies conducted on top tier collocation markets. Silicon Valley is within the top 10 of collocation markets which leaves Chicago, Phoenix and Northern Virginia as markets that Internap does not maintain its own data center that is within the top 10.

Should we expect to see more movement from Internap in other markets like Phoenix or Northern Virginia? Mr. Cooney's game plan has been coming together and the advantage of moving into a facility (Santa Clara) that once was a data center will provide Internap with some extra spending capital that could possibly allow them to rapidly look at other markets.

In addition, Internap has also announced that they will be expanding and adding more raised floor space in one of its strongest markets which is Houston.

According to the announcement by Internap, the Houston facility is approaching near capacity. The new expansion will be an aproximate $5 million investment for an additional 5,000 net sellable square feet which is also planned to turn-up in the third quarter of this year. 

Both the Silicon Valley data center and the expansion in Houston are being built with controls designed to achieve objectives included in SAS-70, type II compliance and meet N+1 redundancy standards for UPS, backup generators, and HVAC systems. 

Written by Bob DeCoufle / Wednesday, 03 March 2010