Can anyone give me a quote on how much it will cost to start my own small datacenter?

Discussion in 'General Business' started by profanitytalker, Feb 19, 2008.

  1. #1
    Hey guys, I just wanted to know how much do you think it will cost to start my own small datacenter. Probably only the size of 3 home garages. I probably wanna start my own webhosting business or just host a huge site.
     
    profanitytalker, Feb 19, 2008 IP
  2. pondlife

    pondlife Peon

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    #2
    Expensive! ...well I suppose that depends on how much money you've got to throw around. If I had some real estate I might consider setting up from scratch myself but I think I'd prefer to go the co-location route where you rent space in an existing datacenter.

    You've got to think about the building infrastructure, 3-phase power, cooling, fire regulations, IP trunks, failover, offsite redundancy... all very complicated and expensive stuff... I'm sure that it would be in the millions of dollars bracket to get off the ground...
     
    pondlife, Feb 19, 2008 IP
  3. profanitytalker

    profanitytalker Well-Known Member

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    #3
    I wanted to start one off shore. Maybe somewhere in asia. I think real estate is alot cheaper their. :p
     
    profanitytalker, Feb 19, 2008 IP
  4. tke71709

    tke71709 Peon

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    #4
    Real estate would be the cheapest part of starting a DC...
     
    tke71709, Feb 19, 2008 IP
  5. wisdomtool

    wisdomtool Moderator Staff

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    #5
    The typical estimate is about USD$120/square feet. That is the building part, maintenance is also quite heavy for a data centre.
     
    wisdomtool, Feb 19, 2008 IP
  6. Kwaku

    Kwaku Well-Known Member

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    #6
    You want something serious; then read above; I wouldn't advise it. However;

    I have a large part of operations in my house; 4 racks with servers and equipment to run it. I don't live in warm surroundings; cooling is not a problem. For me the costs are power + bandwidth. We get 20mbit DSL to our door for 'nothing' ($30/month) here; i multiple of those, which cost a bit more to get hooked but still; I have > 100 mbit for a lot price. And it's stable. And because everything is 'next to my bed' my customers get the fixin' speed of a huge company; I can change hds/reset servers/check stuff faster than those big ones can walk up to a rack and check.
    My servers at home have a (much) higher uptime than my servers at the hosters I run at.

    But it all depends on what you want... You won't sleep much if you have this kind of operation with 3 garages full :)

    If you are looking for (much) more profi; why not rent a cage at a provider; that is like your own garagebox, but professional. I didn't as this is *much* cheaper for me :)
     
    Kwaku, Feb 19, 2008 IP
  7. profanitytalker

    profanitytalker Well-Known Member

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    #7
    Wow. Since your hardware is in your house, won't you run into some legal issues such as fire safety and not to mention the neighbors. lol

    my plan was to go travel somewhere in asia, buy a small space. Probably a building as big as a 3 bedroom house in america, and host my hardware their. I know that asia is a little more tolerant with these kinds of things.
     
    profanitytalker, Feb 19, 2008 IP
  8. newzone

    newzone Well-Known Member

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    #8
    i think Europe is more tolerant too, your plan is strange , to go in Asia only for this ? i think is a little too much, better invest the money where you live or close
     
    newzone, Feb 19, 2008 IP
  9. profanitytalker

    profanitytalker Well-Known Member

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    #9
    Well, labor in asia is super cheap. You can pay someone 5 dollars a day while in america you pay them 8.25 an hour. The minimum wage. I'm not saying its a good thing, but its just to start a business off.
     
    profanitytalker, Feb 19, 2008 IP
  10. wisdomtool

    wisdomtool Moderator Staff

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    #10
    I would say that East Europe may be another location you can think of. Labor is not that expensive there and you can expect a lot of clients from Europe itself.
     
    wisdomtool, Feb 19, 2008 IP
  11. SEOLinker

    SEOLinker Banned

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    #11
    "5 dollars a day" to someone who can work with that datacentre ? no way
     
    SEOLinker, Feb 19, 2008 IP
  12. wisdomtool

    wisdomtool Moderator Staff

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    #12
    Level I engineers is possible for third world countries, but not Level III engineers.

     
    wisdomtool, Feb 19, 2008 IP
  13. newzone

    newzone Well-Known Member

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    #13
    In Eastern Europe ... minimum from 300 $ to 500 $ / month for Hungary , Romania , Slovakia e.t.c as full job , less in Moldova or Ukraina.

    space is very expensive : for 50mp you must pay more than 50.000 euros in a big city ( just an example ) and this 50mp is an apartment , you can rent it for around 200 euros / month or more

    food is the most expensive and taxes :(
     
    newzone, Feb 19, 2008 IP
  14. Xalmey

    Xalmey Active Member

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    #14
    its true you can have cheap real estate in asia but do you have this in your mind that in Asia, will you get that amount of internet Speed for your Data Center?
     
    Xalmey, Feb 25, 2008 IP
  15. newzone

    newzone Well-Known Member

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    #15
    good question ...
     
    newzone, Feb 25, 2008 IP
  16. wisdomtool

    wisdomtool Moderator Staff

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    #16
    Not true try Shanghai and Bangalore, you will see that the prices of real estate aren't cheap and Asia Internet connection is extremely expensive. In Australia a 30GB block is more than the pricing of an entire 1 mbps in USA and in Singapore 1 mbps is about 5x the cost of that in USA.

     
    wisdomtool, Feb 25, 2008 IP
  17. SEOLinker

    SEOLinker Banned

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    #17
    Less in Moldova, but not in Ukraine
     
    SEOLinker, Feb 25, 2008 IP
  18. gate2vn

    gate2vn Peon

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    #18
    for general questions, I can give out some numbers
    - for starting: with facility for 20 racks, at least 2M usd
    - monthly fee: it depends on the bandwidth and cooling, staff, it's around 200K - 400K usd

    If you can afford it, why not :) The above quote was valid 6 months ago, when I worked with APC staff about their datacenter solution
     
    gate2vn, Feb 25, 2008 IP
  19. wisdomtool

    wisdomtool Moderator Staff

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    #19
    Yeap as a rule of thumb the figures will be as what gate2vn said. Also you need to cater for maintenance contract with the aircon, FM 200 etc vendors, that can add up to.


     
    wisdomtool, Feb 25, 2008 IP
  20. SmallPotatoes

    SmallPotatoes Peon

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    #20
    Fire safety rules are for your protection. Moving somewhere with lax regulations and then taking advantage of them just means more risk for you.

    There are only a few places in Asia where you can get internet connectivity on par with what you can get under any rock in the USA. Primarily Japan, Hong Kong, Taiwan, Korea. To some degree Singapore. And guess what? Real estate is not cheap in those places. My friends own a studio apartment in a battered old building in Hong Kong that they rent out for over US$2500/month. I was staying there a few weeks ago after the previous tenant moved out (who would turn down a free apartment in Hong Kong?), and there was a steady flow of interested prospective tenants, bidding up the price and wanting to take it on the spot. Nice gigabit broadband though. 1000mbps - suck on that, FIOS!

    Here in Malaysia rent and labour are cheap but you cannot get decent international internet connectivity at any price. Anyone with serious hosting needs goes offshore, quite often to the USA. People only host in Malaysia when their audience is exclusively Malaysian.

    In my job I have been to almost every Asian country and had to deal with internet infrastructure and providers each time. There is no place in the region I would prefer vs US and Europe for hosting unless I was targeting Asian customers. The balance of price vs infrastructure vs regulatory hassle just doesn't work out.

    You should also remember that depending on where you are in Asia (other than far west Asia, like Anatolian Turkey and the middle east) the mininum latency to US and Europe is typically 200-300ms. This rules out or seriously degrades services like VoIP and online gaming.
     
    SmallPotatoes, Feb 25, 2008 IP