The Dallas business hub, which features 18 Fortune 500 companies, is a prime interconnection point for data center developers. Equinix, in response to growing customer demands in the region, recently expanded its Dallas data center service footprint.
According to the Dallas Business Journal, Equinix’s new Texas data center campus now includes 230,000 square feet of space over five facilities at the Dallas InfoMart site. The company added a new Dallas data center, DA6, which is currently in phase 1 of development. This stage will include the establishment of 450 cabinets for client use. The facility has the capacity to house 900 additional cabinets, which will be added incrementally in future phases.
Thanks to this recent expansion, Equinix’s investment in the Dallas data center market now exceeds $100 million. In addition to providing additional resources to support increasing local customer demands, the new Texas data center will also serve as a connection point to the company’s Brazil data centers.
“We continue to invest where we see a high level of demand,” said Karl Strohmeyer, Equinix Americas president. “We operate four facilities in Brazil. That’s a huge part of why we’re investing in Dallas. It’s a gateway for us to Latin America.”
Texas Data Center Tax Incentives
In addition to a growing business hub creating boosted computing needs, Texas is also an attractive location for operators due to its data center tax incentives. Wired Real Estate (Wired RE) reported that Texas recently passed new data center tax incentives, including those connected with House Bill 1223 and House Bill 1841. These provide breaks on the sale and use tax applicable to the data center operator, as well as its customers.
These incentives benefit the state as well. Dallas Economic Development stated that over a decade, a single data center could add $500 million to as much as $1.7 billion to the state’s economy.