To address these issues, businesses can optimize their existing infrastructure through virtualization and containerization or adopt multicloud strategies to manage workloads more efficiently. Another viable solution is utilizing data center and carrier-neutral internet exchanges (IXs), which allow for direct peering and improved connectivity, even if businesses relocate outside the city. This approach can help maintain high-performance access and minimize disruptions during transitions. As the data center crunch intensifies, companies must choose between relocating, optimizing their operations, or risking falling behind competitors.
Key takeaways:
- New York City faces a shortage of data center capacity, with vacancy rates at an all-time low of 6.5%, causing challenges for businesses needing data storage solutions.
- Businesses are encouraged to adopt hybrid and multicloud strategies to distribute workloads and reduce dependency on individual physical data centers.
- Relocating data center workloads outside of New York City can lead to latency and connectivity issues, but interconnection through data center and carrier-neutral internet exchanges (IXs) can mitigate these problems.
- As data center space becomes more limited, businesses must choose between optimizing their current infrastructure, relocating, or risking being outpaced by competitors.