Facebook building a $450 million datacenter

GotGusto

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http://bits.blogs.nytimes.com/2010/11/11/facebook-chooses-north-carolina-for-new-data-center/

Following in the footsteps of Google, Yahoo and Microsoft, which are building ever-growing networks of data centers, Facebook said Thursday that it will build a new data center in Forest City, North Carolina. This will be the second data center that Facebook is building from the ground up. Its first facility in Prineville, Ore., is currently under construction and is expected to open next year. Facebook also leases data center space — and in some cases entire data centers — in several other locations, including Santa Clara, Calif.

“This project continues Facebook’s strategy of moving from leased data centers to owned facilities that are customized to be more cost-effective and efficient,” Barry Schnitt, a Facebook spokesman, said on the company’s Web site.

In an accompanying press release, North Carolina Governor Bev Perdue said that facility is expected to create more than 250 construction during the 18-month building phase and will employ between 35 and 45 full time and contract workers once it is finished. Gov. Perdue said that Facebook would invest about $450 million in the new facility, which it may expand in the future depending on business needs.

Facebook came under sharp criticism for its choice of Prineville for its first standalone data center, because the facility will get its electricity from PacificCorp., a utility that power is largely generated from coal. Facebook has defended its choice, saying the design of the Prineville facility is highly efficient, leading to energy savings that would offset its use of coal.

According to the Environmental Protection Agency, about half of the electricity in Forest City, North Carolina, is coal-generated, in line with the national average. Another 39 percent, or roughly double the national average, comes from nuclear power. Five percent is from natural gas, which makes up nearly 19 percent of the national average.
Several other Web companies, including Google and Apple, have chosen locations in North Carolina with a similar power mix for some of their data centers.

“The team we will hire here will help us provide faster, more reliable and more robust service to people around the world who rely on Facebook to connect and share,” said Tom Furlong, director of site operations for Facebook, in the press release.

Facebook will receive approximately $17 million in local subsidies and tax breaks over 10 years, according to Tom Johnson, director of economic development for Rutherford County. Facebook will also be exempt from paying state taxes on all equipment, electricity and construction materials for the data centers. Mr. Johnson said he didn’t know the value of those tax breaks and that it would be difficult to obtain on Thursday because of the Veteran’s Day Holiday. He said that even with the tax breaks, Facebook will become the county’s largest taxpayer after the local utilities and railway. Rutherford County, with a population of about 63,000, has an unemployment rate of 14.5 percent. It’s once-dominant textile industry largely vanished in the late 1990s, Mr. Johnson said.

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Kilgore Trout

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Oct 18, 2008
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How does Facebook make money.
The whole thing seems like an expensive free public service and I can't see where they generate revenue and create profits.
 

islandman4567

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Oct 9, 2002
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How does Facebook make money.
The whole thing seems like an expensive free public service and I can't see where they generate revenue and create profits.
500 million users and counting. Don't you think every advertiser wants a piece of that userbase? and with the amount of info people put on there about themselves , makes it pretty easy for advertisers to hit their target audience.

You don't pay for membership around here , but you don't really think Fred's doing all this just because he's a nice guy do you.
 

pua

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Oct 3, 2010
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In the not so distant future, when people lost their ability to socialize in real world, and solely rely on facebook to keep friendship, CL to hookup for sex, POF to get dates. Everyone is wired into this huge centralized Matrix.
How devastating would it be if terrorists blew up a couple of these data centers to completely fracture the social networks, and everyone suddenly feels lonely and frustrated. Only then maybe people will realize making conversations with stranger sitting next to you on bus or a guy in a supermarket asile is not so creepy after all.
 
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