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Data Center Locations


KEY


1st Quartile lowest risk 2nd Quartile 3rd Quartile 4th Quartile highest risk


locating their data centers anywhere in the world – making the data center industry a truly global phenomenon.


KEY


In the past, when deciding where to locate a data center, there were clear principles and requirements that needed consideration such as access to a reliable energy supply, international bandwidth and security. As global location options have increased, a broader range of risk


1st Quartile lowest risk 2nd Quartile 3rd Quartile 4th Quartile highest risk


Figure 3 – The Data Center Risk Map


criteria needs to be taken into account. The Data Centre Risk Index indentifies the top risks likely to affect the successful operation of a data center, and applies an individual weighting to create a balanced view and ranking of 20 countries (see Figure 1 on the left showing Sub Category Weightings).


The Data Center Risk Index identifies risk at a macro/country level. Countries scoring


poorly on the index might be able to offer the ideal environment for a data center at a micro/ local level and should not be discounted. It should also be noted that many risks can be mitigated or managed with the introduction of relevant safeguards. In some circumstances the cost of measures such as these will be outweighed by the commercial need to be in a particular territory.


19 4 3 4


12 11 1


12 17 14 6


18


14 8 7 2 9


13 15


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13 7 17 7 5 11 11 8


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11 13 12


1 4


15 1497 10 20 4


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13 14


19 6 9


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7 1


17 13 12


18 222365 8 8


13 17


18 19 9


12 20 1


917611 10 3 7


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16 10 14 5


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12 11 13 6


18 10 2 8


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Country highlights Australia's ranking as 10th was just one of the highlights from the risk index. Lack of international bandwidth was seen to be its biggest risk, but this is expected to improve over time as investment in infrastructure takes place.


China, ranking 18th, is also worth a mention. Regulatory control and energy provision are issues in China, but large-scale infrastructure investment means it should still be considered as a data center location.


Brazil, which ranked 12th, has seen substantial improvements with bandwidth, and could emerge as a Latin American powerhouse while France (ranked 9th), is already established. High corporation tax and energy and labour costs, however, are now putting it at great risk.n


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CORPORATION TAX


COST OF LABOUR


POLITICAL STABILITY


SUSTAINABILITY


NATURAL DISASTER


GDP PER CAPITA


INFLATION


WATER AVAILABILTY


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