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News

North America Data Center Outlook

9.08.2017
Company: JLL (Jones Lang LaSalle)

It was a busy start to the first half of 2017 for data centers. We saw absorption return to normal levels, M&A activity continue at a strong pace, cloud users remain significant and construction volumes heat up.

The first half also brought some notable surprises across a number of local markets. Northern Virginia, Dallas/Fort Worth, Northern California, Atlanta and Montréal all saw significant swings in absorption levels from last year, with the direction varying based on market conditions.

Our H1 2017 Data Center Outlook offers you an insider’s perspective on what to expect over the remainder of the year. Get your copy to gain insight on the major trends impacting the industry, and what they mean for global tech and data companies, online payment service providers and e-tailers.

What to watch for:

The cloud goes global
After a frenzied 2016 driven by immense demand, large-scale cloud providers are looking overseas to expand their reach to new user groups.

M&As show no signs of slowing down
We’re already on pace for a record-breaking year with more than $10 billion worth of acquisitions closing (as of July 2017). Expect large providers to continue expanding their footprints in as we roll along in the second half.

Absorption normalizes—for now
Following a wild year for leasing, absorption is returning to more typical levels with many users still working through the massive amount of space they took on in 2016. We expect the second half to see a return to higher absorption levels as Fortune 1000 and enterprise users lease up moderate to large chunks which were previously inaccessible given low availability.

The growing need for data security and AI
Learn why big data continues to deploy extra racks as network footprints grow, and how new security procedures impact build times for bringing new systems online. Read more exclusive insider insight in our full report.

 

Tags: Real Estate | Business Development | IT |

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