<![CDATA[Gawker: valleywag, datacenters]]> http://tags.gawker.com/assets/base/img/thumbs140x140/gawker.com.png <![CDATA[Gawker: valleywag, datacenters]]> http://gawker.com/tag/valleywag/datacenters http://gawker.com/tag/valleywag/datacenters <![CDATA[Google delays $600 million datacenter]]> A giant datacenter on 800 acres of land in Pryor, Oklahoma, won't start operating until 2010, Google spokesbots now say. The $600 million datacenter was supposed to open early next year, employing 100 people. Local and state officials had bent over backwards to attract Google to the site, even passing a law which made Google's energy bills private, lest competitors determine how efficiently it was running. (Photo by David Jones/GTR Newspapers)

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<![CDATA[Yahoo building 300,000-sq. ft. Nebraska datacenter]]> Layoffs be damned, Yahoo needs more servers. Data Center Knowledge reports the company spent $14.8 million to buy a warehouse/office building in La Vista, Nebraska, a suburb of Omaha. Paperwork suggests Yahoo is ready to put $100 million into the site. Here's the real-estate porn:

The property includes a 300,000 square foot existing structure on 24.3 acres of land, with approval to add a 38,000 square foot expansion. The building includes a three-story office area and a warehouse with a 35-foot ceiling. Tender Heart Treasures, which makes gifts and home decor products, will vacate the building in January when it moves to another location, according to the Omaha World-Herald.

In August Yahoo applied for tax incentives under the Nebraska Super Advantage program, which requires a minimum investment of $100 million and the creation of at least 50 high-salary jobs paying a minimum average salary of $68,700. The filing revealed that the project would be in La Vista, a fast-growing Omaha suburb whose corporate residents include HP and eBay’s Paypal unit, which employs about 2,000 workers at a call center not far from the new Yahoo site.

Omaha was recently named one of the most affordable U.S. cities to operate a data center by The Boyd Company, with an annual operating expense of $12.9 million, less than half the cost of operating a similar facility in New York.

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<![CDATA[Green Texas datacenter CityNAP goes into red]]> When CityNAP, a San Antonio-based datacenter, opened last year, it bragged about its environmental credentials, such as buying its energy from a wind-power concern. "Sustainability and green business practices make good business sense!" thundered CityNAP president Frank Robles, shown here in the blue shirt, in a press release. Robles should have paid more attention to keeping CityNAP in the black: With assets of $100,000 and $460,000 in debt, CityNAP has filed for bankruptcy. CityNAP is contesting $230,000 in claims from its landlord. It's not easy being green.

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<![CDATA[Google's plans to literally offshore data centers]]> In a recently filed patent application, Google details plans to build a "Water-based Datacenter," complete with an array of pontoons to generate electricity from the motion of the ocean. The abundant water could also be used to cool the servers, and power could be further augmented with wind energy. But the real gains aren't greentech, necessarily — in international waters, the company can more profitably invade you privacy free from evil governments and their tyrannical taxes and laws. [USPTO]

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<![CDATA[Microsoft stacks up the servers]]> Microsoft's thirst for new markets is requiring massive hardware to back up its dreams, especially the ones dealing with clouds. It's adding 10,000 servers a month. At its new Chicago data center, it's using an interesting method for growth. Using server farms self-contained in shipping containers, it stacks and racks them like Legos, swapping out the entire container when the servers fail. Microsoft will open similar data centers in Chicago, San Antonio, and Dublin, Ireland. [News.com]

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<![CDATA[Tnuc]]> What's a clever way AOL can avoid datacenter layoffs? Today's featured commenter, Tnuc, has the plan:

To [cut] costs, AOL will turn all their websites off for 23 hours per day.

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<![CDATA[Layoffs coming in AOL's datacenters?]]> On August 20, big layoffs are expected in AOL's technology operations. AOL CEO Randy Falco's vision for the Time Warner-owned Internet company: Get rid of all that messy Internet stuff. Madison Avenue, let's do lunch! Stripping AOL down to an ad-sales operation (and a collection of Web properties on which to place ads) requires shedding some of the things AOL was best known for — like hosting large-scale websites. After AOL bought Weblogs Inc., gadget blog Engadget handled Macworld-keynote traffic like a champ. Alas, the server farms are soon to be put out to pasture, if a tipster is correct. Commenter aoltech1 writes:

AOL is getting ready to have major layoffs again. After a so so report card rumor has it that they are selling their MTC & DTC data centers and will be contracting all of the services out to Emcor. There are way too many managers and a lot of them are expected to get laid off. After attending meetings it appears that upper management has finally realized they are way too many managers in technologies and that it would be better to contract central config, asset management, IPE's and SI.Operations is going to take a big hit.

MTC and DTC are datacenters based in Manassas, Va., and the vicinity of Dulles Airport, respectively, near AOL's former Northern Virginia headquarters. Emcor is, as best we can tell, a facilities and construction manager better known for doing the wiring on datacenters than running a network operations center. It's not clear how AOL's websites will fare during a transition to a new, inexperienced Web host. AOL employees: You've got layoffs. AOL users; You've got fail!

(Photo of AOL server farm via KK)

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<![CDATA[Datacenters not the gold mine rural towns thought they'd be]]> Because of the cheap electricity that flows alongside the Columbia River, server farms starting popping up next to actual farms in the agricultural regions of eastern Washington and Oregon back in 2006. But that doesn't mean techies with salaries that can afford a brand new McMansion will be flooding into towns like Quincy, Washington — where Grant County's publicly owned power authority offered companies like Microsoft and Yahoo rock-bottom electricity prices and developers built estates like "Serenata" on spec.

With grand entries and vaulted ceilings, the homes speak to high, perhaps unrealistic, hopes. Developers originally asked for around $400,000. They recently cut prices 25%. Few of the homes have sold; dozens remain empty, and poured foundations have been left to the weeds.

The problem is that the 460,000-sq. ft. facility recently opened by Microsoft only employs forty people, and even if those forty create two or three more jobs in town, that still amounts to work for only two percent of Quincy's tiny population. All the real jobs that the datacenters enable will go to urban centers like Seattle, just like the cheap electricity from the Grand Coulee Dam does. What jobs will be created? More of the same: Cooling and air conditioning technicians. Because one thing that apple-packing and server-packing have in common is the need to stay cool during the blistering summers. (Photo by AP/Shannon Dininny)

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<![CDATA[Meet the guy spending Facebook's $200 million]]> Facebook, CEO Mark Zuckerberg recently told employees, will spend $200 million on capital expenditures this year. But fear not! That oversized budget, funded by Microsoft's $240 million investment, will not rest in the hands of a 23-year-old college dropout. No, even better! It's up to a 31-year-old graduate of Palo Alto High School to spend Ballmer's bucks. Despite his lack of higher education, Jonathan Heiliger has a lengthy resume and more experience than most racking up servers in datacenters. But the scale of his current project is daunting.

Data Center Knowledge has already identified some of Heiliger's investments: new multimillion-dollar datacenters are going up in Ashburn, Va. and Santa Clara, and Rackable, a maker of servers, is receiving a large chunk of Facebook's hardware budget.

But I'm more amused by the money Heiliger didn't spend. On his honeymoon, that is. In 2004, he and his fiancée Germaine Yokoyama hit up wedding guests to pay for a trip to Venice.

(Photo by Jonathan Heiliger)

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<![CDATA[Pleading, price cuts can't halt Rackspace exodus]]> Rackspace management called Tumblr's David Karp yesterday and pleaded for mercy. The Web-hosting service even offered to cut bandwidth chargeds from $2 a gigabyte down to 40 cents. (Other Rackspace customers, take note.) Didn't work. Karp, who runs today's favorite blogging tool for emo hipsters, dropped the hammer anyway. In the end, he tells us, it wasn't even Rackspace's winter and fall full of fail that led him to quit the service.

Rackspace's promise of 100 percent uptime just doesn't mean that much anymore, Karp explained. He said after recent innovations, it has become far cheaper for startups to protect themselves from downtime by buying twice as many servers as they'll ever need rather than to go with managed hosting. If half of them suddenly fail, so what?

Some services and sites have known this for a while, but it's only now that Rackspace is reeling. Why? One disastrous side effect of the truck crash that caused Rackspace meltdown last fall, is that the downtime voided many clients' contracts. Under the terms of their agreements, they're now free to cancel service and go elsewhere.

(Photo by rp72)

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<![CDATA[Facebook to lose $150 million in 2008]]> Blowing it all on serversMark Zuckerberg called an all-hands meeting at Facebook to discuss the company's financials, Kara Swisher reports at AllThingsD. Headcount will swell from 450 to 1,000 this year. (To put that in context, Google adds more employees in a single quarter.) Revenues, at $150 million in 2007, are projected to fall between $300 million and $350 million, with an operating profit of $50 million. But that's before Zuckerberg's spending spree on servers.

Facebook, he told employees, will spend $200 million on capital expenditures in 2008. That's a lot of servers, switches, and other datacenter equipment. And it means Facebook's negative cash flow will swell to $150 million for 2008 alone. There goes nearly half of the $300 million Facebook has raised. Maybe Facebook should start charging for employee meals after all.

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<![CDATA[The eerie art of datacenters]]> CablesI've always been oddly fascinated by datacenters — the rectilinear racks of servers, the curving twists of cabling. Turns out I'm not alone. Royal Pingdom has assembled a collection of creepily organic, eerily beautiful shapes of datacenter cabling. (Photo by tim_d)

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<![CDATA[Rackspace's Web-hosting operation says that...]]> Rackspace's Web-hosting operation says that the increase in online shopping this month will increase "pressure" on websites. "The slightest delay in navigating a website could cause a customer to make a purchase at a competing site," says Rackspace. Yes, that could be an inconvenience. Sort of like Rackspace's pricey servers going offline again and again. [Web Host Industry News]

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<![CDATA[Rackspace spin generators now working]]> 60760497_678c489ef2.jpgA commenter on our previous coverage of Rackspace's Texas datacenter outage last month had some pretty harsh words about Rackspace's recovery effort. I called Rackspace for comment and got slightly less alarming spin on the situation. Our tip, and the company's story, after the jump.

Rackspace is falling apart again. To my understanding, the whole infrastructure has failed and they now have emergency generators and chillers for the past two or three weeks in the parking lot. This must be vary bad for the remaining customers to go through this again and again, not to mention that Rackspace is not a true redundancy A-B side as they advertise to the public. This company is a bad investment!
A Rackspace spokesperson told us that the tipster was badly misinterpreting the situation. There are reserve chillers and generators in the parking lot, she says, and they'll remain there for an "indeterminate amount of time" while they do testing on the system. Currently "all systems are working normally."

(Photo by kylemac)

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<![CDATA[365 Main up for sale]]> 365 Main, the chain of datacenters whose San Francisco breakdown brought the Web to its knees this summer, is being put on the block by the private-equity funds which own its real estate. Significantly, it doesn't appear that 365 Main Inc., the company which currently runs the centers, will be involved in operations after the sale. Rockwood Properties, which owns a majority of all but one of 365 Main's datacenters, is looking to sell all or some of the centers, which provide space, power, and cooling for servers. No price is set, but the five centers make $68.7 million a year in operating profit — with $18.6 million of that coming from the troubled San Francisco center alone. Frankly, this sounds like a much better business than any of the Web startups hosted by 365 Main. After the jump, the offering document being circulated by Credit Suisse and Eastdil, Rockwood's bankers.

365 Main sale sheet

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