To best describe the outlook for Jacksonville’s future data center market, it is all about power … and specifically how much power is presently available, how fast can it be delivered, and when will more power be available?
The advent of artificial intelligence (AI) and machine learning (ML) has required data center operators, developers and their deep-pocketed investors to scour the entire country, including hurricane-prone Florida, in search of electrical power, ideally a minimum of 100 megawatts to start with a proven runway to 500+ MWs within three to five years.
For some perspective, one MW of power will supply about 1,000 homes. Prior to AI and ML, a typical computer cabinet or rack required about 5 kWh per rack. Now, high-density computing requirements need 20 to 40 kWh per rack, which necessitates a substantial increase in power and cooling capacity.
Jacksonville has eight data centers, totaling about 40 MWs of critical power capacity. These data centers range from legacy enterprise data centers originally constructed in the 1980s to carrier hotels housing up to 20-plus telecommunication carriers in a single building, to modern purpose-built, cable landing stations (CLS) that bring submarine fiber-optic cables ashore from the ocean.
Jacksonville enjoys the benefit of having 2 CLSs: AMX – 1 linking Jacksonville to Brazil/Latin America, and PCCS connecting Jacksonville to the Caribbean, Central America, the western side of South America and the Pacific.
A new entry into the North Florida data center picture is “Project Orchid” - a new CLS being developed by DC Blox in Flagler Beach. This CLS is designed for up to six submarine fiber-optic cables connecting at the 34-acre site, recently purchased for $ 3.5 million west of Interstate 95. This facility will be the only CLS between Jacksonville and Vero Beach.
While Jacksonville has always enjoyed a robust collocation (CoLo) market, it plays a critical role in the area’s connectivity story.
When combined with the intersections of two major interstates (I-95 and I-10), U.S. 1, and three railroads (CSX, Norfolk Southern and Florida East Coast Railway), these rights-of-way for fiber-optic cables make Jacksonville the “Gateway to Florida,” now the third most populated state with more than 22 million people.
Data center operators and developers desire proximity to large populations to ensure the lowest possible latency. Latency is the speed of data. Lower latency equates to higher speed and a better user experience.
All businesses, universities, governments and the public benefit from low latency, which attracts new data center and hyperscale developers to the region.
AI and ML are the new frontiers for business. Provided we can supply the power, Jacksonville is positioned well for continued data center growth.
Bruce Jackson is a member of NAIOP Northeast Florida.