Pacnet launches $40 million Sydney datacentre, but 'not due to NBN'

Pacnet launches $40 million Sydney datacentre, but 'not due to NBN'

Pacnet CEO says demand for datacentres will remain high with or without an NBN

The datacentre ...

The datacentre ...

Global submarine cable provider, Pacnet, has launched its latest datacentre in Sydney’s CBD. The first phase involves 5920 square feet of datacentre space being released and will expand out to 41,700 square feet when completed.

The Liverpool St Tier III datacentre will absorb customers from Pacnet’s Bond St, Sydney facility and is around 80 per cent larger than the old site. Phase two will be ready by the end of 2011 and the centre will stretch over three floors, with an option for a fourth.

According to Pacnet CEO, Bill Barney, the new datacentre was part of a strategy to drive the company from being the number 20 datacentre operator in the Asia Pacific region to being the 2nd or 3rd biggest operator in the region.

“We are looking to be a major player in this space going forward,” he said. “The capital expenditure is about $14 million in the first round and then it’ll be $40m before it’s finished. The operating cost is much high than that.”

Barney also said the datacentre would have plenty of demand with or without the Government’s National Broadband Network. He claimed the current political instability meant businesses were unlikely to make major investment decisions based on the NBN’s rollout.

“There’s huge opportunity for growth even if the NBN is never built,” he said. “I think our view is that we’ll fill this centre whether [the NBN] is built or not.

“If you look at datacentres today…prices per rack are going up as bandwidth prices are on 10-15 per cent negative growth and essentially declining,” he added. “We’ll take advantage of [the NBN] when it comes but… until there’s stuff in the ground and there’s stuff happening we don’t plan around it.”

The datacentre will have a power capacity of two megahertz, a power density of 6kVA per cabinet and has a current capacity of 200 server racks. Security guards are permanently stationed at the datacentre along with biometric entry systems and CCTV cameras.

Pacnet claimed the site was built as a mainframe datacentre in 1977 and left vacant for the past few years. Because it was built within an existing structure, the efficiency has been reduced and the maximum power usage effectiveness (PUE) measure it can reach is 1.7.

Pacnet’s announcement is the latest in a string of major datacentre openings. Macquarie Telecom (ASX:MAQ) launched the Intellicentre 2 in North Ryde in October 2010 while HP launched a $119m datacentre in Sydney’s Western suburbs on February 13.

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Tags SydneypacnetNational Broadband Network (NBN)global submarine cable provider

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