Data Center Survey: 50% to cut Data Center spendings in 2009

By Tarry Singh at 23 December, 2008, 4:51 am

About half of data centers are responding to the economic crisis by cutting their budgets an average of 15% for 2009, according to a new survey by the AFCOM Data Center Institute.

While the overall cuts were “surprising low” in the view of Jill Eckhaus, the CEO of the Association for Computer Operations Management (AFCOM), she said she doesn’t want to minimize the impact those cuts will have on the 49% of affected data centers.

Eckhaus said the low number of data centers making cuts indicated their importance to the businesses. And while half are cutting, the budgets for the remainder are staying the same or going increasing.

That’s important, because it wasn’t long ago when data centers “used to be known as the money pit,” she said.

For those data center managers that are cutting budgets next year, a large percentage of those cuts are aimed at big ticket items, including: IT equipment, 21%; IT support equipment (such as cooling systems), 16.5%; and staff, 14%.

This survey was initially conducted in May with 300 responses from managers of large data centers, which make up much of the association’s membership. But in response to the economic downturn, a follow-up survey was conducted in late November. It prompted 133 responses.

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Categories : 2009 | DataCenter | Economy | Markets | Strategy


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