IT Execs Leasing Data Centers Instead Of Building Their Own

Friday Feb 5th 2010 by Staff

The recession has made executives reluctant to construct new data centers, so they're leasing server space instead.

InfoWorld: The recession has led to good news for at least one part of the IT industry--companies that offer data center space for lease are reporting record demand for their services.

InfoWorld reports that one of these companies, Digital Realty Trust, "can't get new space online fast enough to meet demand."

While many enterprises are finding that they have filled up their existing data center space, they hesitate to take on debt to construct new data centers because of the current economic conditions. "Anyone moving forward with new space has to consider a third-party operator," says IDC analyst Michelle Bailey.

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