Ever increasing demands for data storage are creating a new cash crop for the Mid and Southwest – Data Centers with huge rows of servers and miles of pipeline and cable.

With skyrocketing costs in California and the Pacific Coast, companies such as Apple and Microsoft are heading East and South to open huge data warehouses for thousands of cloud servers and data pipes. Bye to Silicon Valley and the Pacific Coast, hello to Iowa, Texas, South Carolina, West Virginia.

Loans to build are harder to get, so tech companies are turning more towards leasing space at established server farms. Due to tech advancements, old data centers can be left in the dust holding yesteday’s technology at tomorrow’s prices… thus, banks are less likely to lend for buying land and building your own. 

Like all tech investments, it’s a crapshoot knowing what’s going to be the next sure thing. One thing for sure – increased data streaming demands are going to skyrocket.

Articles:
California’s Other Real-Estate Crisis - Martha White
Data storage sites are moving out of Silicon Valley—at the state’s expense.

Microsoft opens data center under the radar