THIS MORNING IN JERSEY

Netflix, Hulu, Zynga—all services and applications we use are driving the need for data centers, and we’re in the early innings of a boom cycle, 175 attendees learned this morning at Bisnow’s New Jersey Data Center Boom event in Gotham City. (Well, really Newark, but upcoming Batman flick The Dark Knight Rises is filming there for a few days.) Thank demand for outweighing supply for the foreseeable future. Telx CEO Eric Shepcaro says he’s seen 12 straight quarters of 30% year-over-year growth. Clients are now asking, “Do I really want to build a 50MW data center?” when they know they can growslowly and cost efficiently by outsourcing, points out Digital Realty Trust VP Brian Doricko.
Growth is not only coming from the financial industry (both NY and Chicago) but also from healthcare and consumer brands, which are looking at data centers differently, says Savvis VP Drew Leonard. Instead of focusing on building data centers and achieving compliance, they’re becoming comfortable with IT outsourcing and are concentrating their efforts on growing their businesses internally. These clients are becoming more savvy, understanding the costs and what the providers will deliver. They’re doing their homework on how dollars are spent, he says. See full coverage of the event here.

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