Late last year, OffsiteDataSync announced plans to open the company's third data center by leasing space in Cobalt's Las Vegas facility. The Las Vegas data center market is quickly becoming a hub of technological activity.
The Tier III Las Vegas data center, which will serve as a base for OffsiteDataSync's Nevada operations, can support up to 5.5 megawatts of critical power load and features more than 20,000 square feet of colocation space.
In addition to Cobalt's facility, ViaWest also operates two data centers in the city, including the first Tier IV certified colocation data center in North America. Furthermore, tw telecom, Nevada NAP, CoreLink, Fiberhub, Switch, Syptec and zColo also have data center space in the city as well.
One of the main aspects attracting this data center activity is the naturally temperate climate and a low instance of natural disasters. For this reason, many California organizations seek services in Nevada to escape the threat of earthquakes. Additionally, the Las Vegas region is also safe from harsh winter storms experienced in other parts of the nation. Furthermore, Cobalt noted that the area's dry climate is beneficial for cooling purposes as more humid air can be less efficient and more costly to cool.
The region also boasts considerable nearby power resources to support data centers' energy needs. Local utility provider NV Energy operates power plants in the southern region of the state and imports out-of-state electricity when necessary. The company's power plants utilize less fuel and water than aging plants, providing clean energy for data center sustainability.
Nevada also boasts a number of data center tax incentives and is known for being a low tax state. Tax benefits for service providers include tax abatement and deferral programs as well as payroll and property tax abatements.
Additionally, the city also has strategically located transportation services, including McCarran International Airport, trucking and rail freight companies, making travel easy for clients. These advantages put Las Vegas in a unique position to become a major data center hub of the Southwest.