CNet is reporting that Apple is currently considering constructing a new data center outside of Prineville, Oregon. The 31 Megawatt facility would be built on 160 acres outside of the small Oregon town and would join other prominent tech companies’ data centers including those of Facebook, Amazon, and Google.
According to Oregon Live, it is the area’s mild climate (meaning lower cooling costs compared to naturally warmer climates in addition to all the heat from servers), low electricity costs, and certain “rural enterprise zones” that exempt computers and equipment from normal business property taxes. They state that such exemptions could save Apple several million dollars.
Although Apple has so far declined to comment, city officials have commented that the company looking to purchase the land for the data center codenamed “Maverick” appears to be serious about going through with the purchase. Two major issues stand in the way of Apple building a large data center in the area, however. The company is concerned about tax issues against their intangible assets. Due to Apple putting a great deal of stock (er, the other kind :P) in their brand name, trademarks, and patents, they could face further taxes in the way Oregon’s State Department of Revenue taxes data centers. The largest issue; however, lies in power concerns. In order to supply enough electricity to the various data centers in the area (including Apples should they indeed be building one), Bonneville Power Administration would need to upgrade the Ponderosa Substation, construct an additional substation, and add further transmission lines. This is because the utility company’s transmission capacity to the area is currently nearly maxed out. A 31 Megawatt data center would consume enough electricity to power approximately 22,000 homes and that kind of capacity is not available in an area where towns are a fifth of that size.
The upgrade to the areas electrical subsystems would cost nearly $26.5 million and would take almost three years. Member Services Director for the Central Electric Cooperative, Jeff Beaman, believes that after the appropriate upgrades, a new data center “seems doable.”
Whether this elusive “Maverick” is indeed Apple, and whether the company decides to build a data center remains to be seen; however, it is certainly plausible. Now that Apple is moving more services to the Internet, and the increased adoption of IOS devices thanks to the iPhone being available on all the major US carriers, the company would definitely benefit from having another facility on the other side of the country as their current North Carolina based data center for performance as well as redundancy and stability reasons. What are your thoughts on the reports, is Apple looking to put more cloud (server horsepower) in your icloud?
Image courtesy Tom Raftery via Flickr