GPU racks draw power at a rate that simply was not on the roadmap for most facilities built even five years ago, which is why power delivery — not floor space — is now the binding constraint.
Ask ten infrastructure leaders how they choose a data center and you will get ten different answers. Yet beneath the variety, the same handful of questions tend to decide the outcome.
The factors that actually move the needle
Connectivity richness is frequently underweighted. A carrier-neutral facility with a dense ecosystem of networks and direct cloud on-ramps can save more over a contract term than a modest difference in the rack rate ever will.
Tier classification tells you what a facility was designed to do, not how well it is run. A well-operated Tier III site routinely outperforms a poorly managed Tier IV one on the metric that matters: real-world availability.
Where buyers get it wrong
The most expensive mistake is optimising for the number everyone sees — the monthly rack rate — while ignoring the numbers nobody asks about until the invoice arrives: cross-connects, remote hands, power overage, and renewal escalators.
Underestimating growth is more common than overestimating it. Teams that lock in exactly what they need today frequently find themselves negotiating from a weaker position twelve months later, once the facility has less spare capacity to offer.
Why it matters now
The market has split in two. Standard enterprise workloads still run comfortably at three to five kilowatts a rack, while accelerated-compute deployments are pushing twenty, fifty, even a hundred kilowatts. Those two worlds are priced and provisioned very differently, and conflating them is a common and expensive mistake.
Power has overtaken floor space as the binding constraint in most primary markets. Vacancy rates have fallen to record lows, and the practical effect is that capacity — particularly high-density capacity — increasingly needs to be reserved well ahead of when you actually need it.
A practical way to evaluate
Model the whole cost, not the monthly line. Setup fees, cross-connects, bandwidth, growth headroom, and exit terms all belong in the comparison. The cheapest rack rate is rarely the cheapest deployment.
Start with requirements, not providers. Pin down your power per rack, total committed capacity, connectivity needs, and the compliance regimes you answer to. That single page of clarity will shape every conversation that follows.
A short checklist before you sign
- Clarify remote-hands response times and what is included versus billed separately
- Request recent incident reports, not just a summary uptime percentage
- Total the full cost of ownership, including the fees that hide in the small print
- Confirm the certifications your industry and customers actually require
- Read the exit and renewal terms as carefully as the price
The bottom line
None of this is complicated, but it does reward diligence. The organisations that treat infrastructure procurement as a discipline rather than a purchase consistently end up with better facilities, better terms, and fewer surprises.