Manage episode 311276967 series 3082496
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Why Dallas Continues to Be An Attractive Market One of Flexential’s biggest markets is the Dallas data center market. Flexential has experienced continual growth in Dallas and their customers find this market attractive for their IT infrastructure. As Downie acknowledges, Dallas has been a destination market for enterprises for a decade or more and he feels fortunate to have participated in that. Still, there were questions as to whether or not Dallas was oversupplied and if this would lead to price compression. That being said, it seems that the Dallas supply is always consumed and Downie believes that we’re currently seeing a continuation of this fact. “I think there’s clearly been a change in product profile in Dallas in terms of what’s being built and some folks in the industry are solving for the very large-scale, multi-megawatt deployments and that just drives a price that, in comparison to history, would be considered compressed. But there’s still a significant amount of enterprise”. Specifically, Downie believes that the large retail and medium retail that’s going on in the Dallas data center market has remained consistently strong. Downie also acknowledges that another reason that Dallas is such an attractive market is that it has inexpensive land and power, along with the fact that the city offers tax benefits that are business-friendly. These factors have driven large-scale enterprise into the market in recent years. Further, from a network density perspective, Dallas is well-situated. Downie states that it is all of these various factors that continue to make him optimistic about continuing to operate in the Dallas data center market. What Types of Companies Favor the Dallas Data Center Market? While Dallas is an attractive market in various ways, there tend to be a few types of companies that favor the current market found there. For example, technology companies, insurance companies, and financial companies fit the enterprise user base that data center companies like Flexential have the ability to attract. Downie remarks on the fact that companies within these industries are those that have been both early and long-tenured consumers of what companies like his deliver. Flexential’s Potential Growth in the Dallas Data Center Market in 2021 As Flexential comes out of a difficult year in 2020, Downie remarks on the fact that, just as is the case in any year, his company will come out stronger in its ability to deliver a high-quality value proposition to their customers. For this reason, he expects 2021 to be an exciting year for the Dallas data center market. “A lot of the things that we were able to accomplish in 2020 position us well.” In the second quarter of 2021, Flexential will be opening up its largest data center ever in Hillsborough. This speaks to Flexential’s focus on continuing to drive the scale of its platform and its relevance for national-use cases. Further, Flexential’s Dallas expansion is an exciting prospect for much the same reason. “We’re very focused in 2021 on continuing to drive the evolution of the customer experience,” Downie says. He also says that it is a primary focus of Flexential to evolve its portal, something that is a differentiator for their existing customers. Finally, Downie says that they want to make sure that they’re focusing on building automation into the network platforms and remarks on the power of the FlexAnywhere Network in its ability to connect all of Flexential’s facilities together, making consumption easier than ever. It is exciting to watch Flexential’s growth and it seems that there are some potentially revolutionary things in the works for 2021!