T5’s Chief Operating Officer Aaron Wangenheim gives his input on Los Angeles, one of the most strategic US data center markets.

This is an episode of HawkTalk, datacenterHawk’s series of candid one on one conversations with executives and leaders in the data center industry. If you enjoyed this episode, you can check them all out on our blog. If you’d like to know when we release future episodes, you can subscribe here. You can also subscribe to our podcast to be notified when we release a new episode.

On HawkTalk 48 David chats with Aaron Wangenheim about the large and strategic Los Angeles data center market. They discuss the history of the market, the reason for the recent growth there, and why the hyperscale user is attracted to this market.

Here are a few quick takeaways from our conversation below.

The Growth of the Los Angeles Data Center Market

T5 Data Centers has been in the LA data center market since 2006, and they’ve lived the growth and challenges that have taken place over the years there. Naturally, the market has always circled around media and entertainment, which is still the case today. But with its high land, power, and tax prices, the providers who have chosen to enter this market are the ones who need to be there from a strategic standpoint.

Why 2019 L.A. Data Center Market Growth was at an all-time high

Most of the growth that we’ve seen lately in the LA market has been from the hyperscale users. This market has always aimed to serve the media and entertainment industry, and hyperscale users have recently taken an interest in servicing these industry verticals. While that growth is happening, the enterprise user still maintains a strong presence in the LA market.

What Hyperscale Users Value in a Data Center Provider

One of the main concerns for hyperscale users when making a decision on where they should deploy is they need to know that they can grow if they need to. When a hyperscale user picks a market and a provider to deploy their product in, they know that they’ll need more in time. Often they don’t know how much or by when they’ll need that space, but they do know that they’ll need a partner that will grow with them.

We also talked about…

• Specifics about the T5 facility in Los Angeles
• How COVID-19 has changed T5’s 2020 plan
• Work from home trends and how company communication trends are evolving

Don’t forget to check out the rest of our HawkTalk's and don’t miss out on our latest release of market data for the data center industry.