you're watching the cost of everything we're today. we're going to be breaking down the costs of these digital storage houses. the data center facility is house computer systems and associated components to store process and disseminating data and applications. because ip opperation are crucial for business continuity, infrastructure must also include backups, data communications, connections and environmental controls and various other security devices. companies primarily use the cloud in order to reduce the total cost of ownership, have quicker delivery and better prospects for innovation. the cloud has been the foundation of the digital transformation and allows for flexible digital work places and remote work. but the cloud is actually built on top of these data centers. northern virginia and the united states is the world's largest data center market. but india is quickly becoming the global destination for setting up new

data centers, due to lower costs, cheaper labor and tax incentives. now, setting up a data center is very cost intensive. as a general rule of thumb, it costs between $61100.00 per square foot, or $7000000.00 to $12000000.00 per megawatt of commission. i to load to build a data center. first, there's the cost of land and the building shell, which is between 15 to 20 percent. then there are the electrical systems which have to run 247 and have back up generators, batteries an uninterruptible power supply. this will be approximately 40 to 45 percent of the total cost. then you need network connectivity where one mile a fiber optic connection may cost as much as $250000.00. and then you have h back and cooling systems to chill the units,

which will be another 15 to 20 percent of the total cost. finally, there is the building outfit which includes a standard lobby, shipping and receiving area, which will be 20 to 25 percent of the project budget. in total, a data center of the size that facebook or google might use would cost around $500000000.00. microsoft is now building it's forced data center in india, where this latest center construction is estimated to cost about $2000000000.00. microsoft already has more than 200 physical data centers, in more than 34 markets around the world, serving over 1000000000 customers and 20000000 companies worldwide. amazon also announced in 2020 that it would spend $2800000000.00 to build a 2nd data center in india. and a donnie group has also announced plans to build 6 data center campuses all across india with the growth of data intensive technologies like cloud computing,

organizations are generated in processing larger volumes of data. these data centers need to scale their server infrastructures to accommodate the increasing workloads. so as a number of data center grows, there's a corresponding need. 4 more server infrastructure to support the expanding competing requirements. industry revenues are expected to increase at a compound it annual growth rate of around 18 to 19 percent from the increase in rack capacity. so with this in mind, let's bring in the professor of computer science reco marble. yeah. at the melbourne university. now professor, can you discuss any emerging trends or technologies that are driving changes in data center design operations and cost optimization? a? yeah, so um in a magazine data center i see a different makes this, you update our technology that are driving the punches in data center that can

produce any, reduce the cost and done. so service asked me. so if you look at the, uh, the advice is introduced and more than more driven by a imaging obligations to, to those coming from domain, like a, say, active heating divisions. so these are cases are now video nick, a model of the local. so as it is so that companies, while i'm doing that being really with more expensive b, c, b was sent to prison unit. and also these a obligations, the consumer and all of us of energy like this card with the lending, pending much lending the terms. so then they can come on and but onset, so there's a lot of, you know, time to process. so therefore we need to keep getting denser. beating this enters, enters into that, an alternate foster, but not obviously energy efficient. so that out of goods is that are coming up in

terms of how demand and lead us into resources and taking advantage of 9 indiana. so the example in the cloud computing the need to send us of the backbone today. most of them are mandated to do as well. uh, resources and computers who did, but this was quoting resources. so the need for having integrated what is the degree of managing viewed as a design other imaging? uh, yeah, the concept is coming up. so in that the example of what's of the uh, looking into a building. so it's a new class i've done. it doesn't support me. what to do. i have not really can mean it might be conducive. and that'd be so that you can reduce the cost of a maintenance of the end of the construction, but also the maintenance. i'll be somebody's about police and the cost of this. and it got to be high, as you know, uh, particularly building it out of center, maybe the next a month. obviously the cost and the tools. so we're looking to so these are the

emerging in terms of how does it in terms of application? well, i mean done something up for us to manage it, do they send us what they do? we can deliver services in a cost of using the amount of energy and what are some potential challenges or risks and operating data centers and regions prone to natural disasters? or political instability. so yes, a, you know, and that's what a disaster can be. very common. so if you have, it isn't, doesn't one place thing for somebody is any business or disaster. so you do a kind of for the end of the customers and all that. so this is van aspect of having a deal. this will be submitted out of 10 does come to be chip rated uh, instead of having audio biggest $91.00 in one place, you can have multiple datasets individually, locally can be submitted, plus somebody is any one of the data center is not available. then you can dynamically switch that to us, nor do i have another place to be able to have an event. so this, that again, my name is the last us a, these also can be, you know, uh as simple as,

are you losing your network? could i duty uh, out of cause losing the pallet. uh, if there is some kind of do you got big safe? no, and i know anything that causes the one that is dyslexic. um then according to what is the effective means and so you have 30 days to really in the country. so people can, i know, cut off a lot of the network. so how does that other happens? so therefore, we need, you know, a backup plan. so does that not does that cover now? so it'd be submitted. i mean, we can many of this with your by disappearing if one of them you're not eligible for whatever reason because it's all the others. and then for what i mean terms of uses. so there is one of the, i know, one of the best, the magazine of the situation. so these are assigned to release of the products. and how important is redundancy and back up infrastructure and data center operations as what are the cost associated and considerations when building?

yeah, so i didn't see the way to i to hi everybody. uh, so you have something you're not available. so you can move to i to get it done done because copy entered into the video. com. and this has been uh, if each of that being added to you on to the satellite. so you can go to the one side of other can both of us use multiple computers and if one of them as soon as you can, we'll do that in, in task, similar to the other doesn't to fan so you can move in data center. so obviously the moment you will put it in and see if the cost to come see the picture, because you may have to have more than $1.00. and i mean, you need how much of an attempt to do because to deal with this, the only problem. so you want to get a combination of, for example, sometimes you want to come producing you, but how many different companies, but nobody sometimes do really good because for somebody that if you tears you can't afford to restart the whole thing. you have like totally different kinds of companies and so it's amazing the cost somebody say with nick low,

competing and who i bank and it feels like there it is. yeah. uh 10 percent. that means you have costs with us and convert into percent in terms of paying for that the close of business plus us little managing the data consistency because it is very easy to say. so if i keep it and then the, which is the latest copy, i know you 5 operating, whether you over the here, but i had to also update that and update it because so, so there is a cost of acquiring this. most of the costs associated with the mentality, pick a consistency, visit x, the cost. that is the audit also makes the development of soft data complex. building an application that can deal with it in and see consistency. what can cause user to the increased complexity of the software system engineering. so you will see the cost of the bus pick the audit committee, and also software obligation beating, having the you know, to cost the dining looking to have done. but if i've

a um obligation with the subject of redundancy, what happens if i have one degree degree of physical activity? so as you do more than welcome to the last, then that means you have to move on what i'm going to see. so more in a few minutes, more complex it in what extensions can you provide some examples of real world scenarios or case studies where data center downtime has severe consequences for businesses or users? oh yeah, that i totally me. the example here in uh, state instead of uh, in 2016, 17, we had do this, and this isn't it, us. and somebody has multiple companies all set up that isn't a different place it on the they also have inputs up enough to jump in the city. it was because of started, so that about the net does he do. and because of fee to all those, i'm thinking that i didn't want that uh, not us in the neighbor, novelty, simple example, a credit card. you know,

this credit card. so if you want to buy that or we have a meeting. so you need to clear this up, so when people are not able to pay for it to cause they need to create a capital credit card because that service off putting this up indication and take advantage of that is not not expensive by the name of this one problem, so it can be one of the trans systems in the middle, but, so we have, you know, mike is, is like a 10 car. so very go to that research and you said they're open to get no, uh, because the be says the syndication and i know when to opening. yeah. the more the data on the close to the cloud, the be kind of getting to the thing. is it less in benefitsolver? and yeah, this can cause a lot. i mean, the huge problem. um yeah, so this as simple as he did with 8 people and then you go to the businesses, obviously the beginning because the electronic dynamics instead of using the ending

on the cloud, it is not available. therefore, you can, you can kind of look of the many, many examples as you go on see date of just how kind of work and causes meetings. and views of last example companies like imagine. so who was simple, who, how does the ca, electronics, uh, be a business, you know, you come us. so you said the site is down and they do something like sort of the dns by the business of what to do and what are some notable differences and data center costs between developed and emerging markets? yes, so emerging markets a, you know, the other thing, the joe looked at places like a studio is and some of the countries so that i did it now looking at emerging markets like say, indiana does. so then also they showed up dick off uh, electronic transaction payments has to people in production through mobile phones, various objects and this is a mess you and then can do like you can get it to my super relation of it. so what

about um wanting to to sign electronic space needs invoice in technologies and directions. so they're, they're also now okay, i know i haven't applying this into any of it. so now that it, cuz i have that, that the next likely to canada is the roads that can be cut into that yet. this water distribution is really leaving us assume that the data center type of computer coming from the to the recent refund of india. and the government has passed in line to getting that data sent to us of the critical inputs adjust that goes the moment. for example, if the block is a good the availability. and if love does take the, let's see, the country can come to this task. like have this, i've got to love the brothers and the dog people won't be able to make any don dixon anymore. yeah, i know people have become so much of a commit. did you really small vendor to see? so they, i know i'll put a best advice statement. so there is, so here is my quality scan and it that the people not even getting money. and even

if it can be, many people are not accepting. it was a hit my you know, positive piece equipment, obviously to the present the, i don't have a change. so if these big someplace isn't on an accepting the guess they say august 25th. so there's where they can see this becomes a much more accountability of, you know, what is coming in, what is the weight loss? there is no loss of any, you know, many losses. easy so, so this is a good medium that isn't uh, not up any moment. didn't cause steps into the services, the people who attended. so independent data center become viewed, it could become a resource. thank you so much professor rack, who mar, but please stick around. professor raj gumaro will stay with us right after the break. and when we come back we will explore the future of data centers in india. don't go away

the the 1st time in history meantime country's culture has been cancelled. the very modern weapons cancel the culture. they need to ask the associated milestone little folks here, just me sitting on a put glue. the phrase now particularly refers to counseling russian culture. and yet the worst it could be up, see what was the zip code where you might have to push it over here on this chart is that the most of the, some rich, the, one of them, the, the moines blood rushes created the pos 1500 years there's no question actually condemned, reviled and reject it to sit alone and use that to put somebody at the middle of

the panel. there's a lot, i don't know because i don't know. she does not use it a little, some of the list. joining total condemnation grows daily and now includes the staff skate to call, skate and assess the coverage that the i need to. yeah, of course to must, but yeah, she thinks that would be the w apartment, e u the 2 is the aggressive today i'm authorized with additional strong sites today. russian was the country with the most sanctions imposed against it. a number that's constantly growing, but i think the pitch of the seniors just click on the only thing and we see more

in the way we shift for banning all important of russian oil and gas news, high res, suffering the price for another country. hope all's well. we're going to reset the fed service thing for the little joe biden in imposing these sanctions on russia has destroyed the american economy. so there's a boomerang the the world has approximately a 1000 physical data centers as of 2022, with 33 percent of them located in the us. the us has 2701 data centers more than any other country in the world. followed by germany at 487, the u. k. at 456 and china, a 443. the largest data center is located in china at

10700000 square feet. however, india is one of the fastest growing markets for data centers, although it currently ranks 13th place with a $138.00 data centers. india has more than 700000000 internet users at the end of 2022 almost doubled that in the us. the data center market in india is expected to grow out of compound annual growth rate of over 4 percent through 2025. as more and more people rely on the cloud, and the proliferation of smartphones, businesses are increasingly migrating to cloud based business operations. and the government is attempting to roll the digital economy through supporting data center development to the favorable government support in india in the form of tax incentives is another key factor of accelerating market growth. these data centers are also able to access longer tenure, that competitive rates and access to foreign funding through external commercial borrowing, as well under a national policy framework for data centers,

the i team ministry intends to provide up to 1800000 in incentives. the growth of india is data center is driven primarily by large hyper scalars like amazon web services, google, facebook, microsoft, ibm goober, alibaba, dropbox, to power all of their cloud demand. the rapidly growing cloud computing and increasing internet penetration or fueling the demand for data centers in the country and the sector is likely to witness a 5 fold increase in capacities in the next 5 years. there are also major investments into india as big data, and i ot technology sectors that are increasing the demand for data centers sector such as logistics, transportation, e commerce and government agencies. they are witnessing high demand for co location services. the overall public cloud service market in india may hit $10800000000.00

by 2025. and while this growth is rate for the economy and productivity. * our availability will become increasingly constrained, particularly in top markets. power costs already rose by mean a 16 percent in 2022 and data centers are expected to consume 20 percent of the world's power supply by 2025. in 2020 the data center industry consumes around a 196 to 400 carol, what hours. so while data centers are great for the advancement of technology, many environmental activists are paused due to a massive energy consumption. so for this and more, let's bring in again, computer science professor, rush kumar, b a at the melbourne university. so professor, how have advancements in technology and infrastructure affected the cost structure of the data centers of the past decade? yeah, so definitely the affordability as been, i know, you know, uh, becoming more and more of the sticker. and so on the, uh,

so this big got us in the us. i want to be con, close, obviously. is that a primarily used by no, not companies, but not with them again, so it ends up becoming more like commodity through tanks to cloud computing. so anyone without investing upfront, you're going to get them so they can simply move to a lot of these close out of 10. does an start up really their business is any uh, usually in the past, the really big companies we have the one with building such so much to give every day. and then um, getting the might have to. but now the small, the emerging startups can also come in the video and we do surveys the cost. if we send the car come to close out and they didn't know they wouldn't be different offers on cost, not the good of cost of a big $1.00 because the kept the expense of history, the ship to an appraisal costs. so we have a cost with labels with the business good, and the business is going value and obviously the expenses. so the model. so this

combination of that as in the cloud computing has not, you know, how much of what it is but imaging as a new entering into the marketplace. so, and they were playing see it. if somebody has a great idea they can, will quickly. and also it is going to be very disrupt, you get this stuff inside of use. i mean with a lot, this kind of thing can be this type, the whole business. uh so you can do that uh, you know, what is indeed up to date, even though we did today may not be at the remote tomorrow. maybe somebody else. can you share some insights into the potential economic benefits that data centers bring to local economies such as job creation and attracting technology investments? uh yes, uh, this is one of the reasons why the number of governments are considering us and as, as it could be coming to success just like yours. so therefore they are making sort of that, i know they are friendly, a do us creation of the same. does it also providing uh, you know, make any sense or that, uh, different companies to invest in the country. so if example uh in india,

so you know, uh they have made use where they just send us using the product to because a lot of energy, so constant uninterrupted by something is a. so therefore, the government is that also providing normally stimulated city, but also encouraging the people to deploy the data centers in places where introduce abundance and the low cost. sometimes maybe a window of somebody about place. they have the energy so, but the, so you can pull out of them so, so this is creating, you know, new we're kind of in what taking place in the video on think of a. so that are remote places where there are no business. no, certainly of us that are not as investment as of leading that applying positive energy sources and then pulling it out. and so we just creating the, you know, new economy in the places, very new laptop. so, so this is one of what you find out about city. then obviously more and more

services, i'm going to have this. so this becomes kind of the reason why you need to go there . you've some country can provide you with such stability. cities debit involved and then get us into, you know, not pointed to size by anybody is. so these are the us, what is the, what are the government? i testing some of the people to move their businesses to those countries. they have to think about possible and how these data center costs intersect with sustainability initiatives and energy efficiency goals within the industry. guess a funny if you look at the consumption, so here it is increasing. although the height of it and the minutes i'd be going to usually send what a motor in is if you send. but how about the use of the data center? the use of the slow down as in the obligation sees a drastically growing audit. i'm wondering what applications are going to include auto center. this is it is the thanks to this quote is what people do working from home. that means obligated southern on the load and then really interacting

a total of the case. so the, without the flow notice it does increase. so next, because of this is the amount of energy comes about us and us use it's, we security more and more. so there are studies there. so that by 2030, i know it's like the worst case as i'm sure it was kids who did attend to colorado in the kinds of and then the last 2. but i'm 20 percent of global energy. that is 1st and the 2nd image and stuff like that got into the end of takes everything become part of the internet and then enjoy the want to clear, smart uh, services. so it is, i would need to obtain some healthcare in small cities in spite of it because it, so these obligations love the gaming entertainment. so what do you want? a lot of interest, that'd be sense of is the, do they do this as this? if i any say the service that a small sense of really quick the community services enhance, give you a for example. so what do you want?

any services, if you upset somebody more data center, which i didn't include auto center. so with the latency very high. so therefore, i know people on know moving that us into, into the city. so that means the daughters in the city. so they may have been in the further, what are they going? some said, so they're coming to this, the, the, the, the end of the people think of defining this, the, you know, the salon pentodes and so on the side of the city. so there is a, maybe that there's a place there to the sun and assign energy is very high, then put it there. but how do this real time look and see if the case and i'm making that to put some of it isn't the city. so now they want to see the big settings of the, the government between those whose guns in the red that a, what activities we develop and the city level and what it to these, what about in the other level. so these are the new lots of things are coming up

here that energy continues to be increasing. so we need and once it's in how the money to feed us into resources and holiday direct them only to put that us in both to minimize the some of you can use and to minimize the cover constrained. so these are the 2 big challenges. the next any thank you so much, professor raj, come off all your time today to my now it is cliche that data is a new oil, the high tech fuel of the 21st century economic progress. but unlike oil, we often think that data has no physical form, and therefore no environmental impact. all of our data gets stored in the cloud, right? some imaginary internet infrastructure that just some how it works when we need to pull it out. that couldn't be further from the truth. the international energy agency estimates the data centers consume approximately $200.00 terre what hours of

electricity, or nearly one percent of global electricity demand, and contributes to point 3 percent of all global c o 2 emissions. and while it is attempting to point the finger a big tech, the truth is that every company and every individual with a smartphone contributes to the increase in data center workloads. companies are now looking into solutions to address this problem by designing improved cooling systems and updating server that has significantly reduced energy costs. while this helps to slow down the problem, it is but a temporary band aid. the more digitized our economy becomes, the more we will rely on data centers to support it at the expense of the environment. i'm christy, i thanks for watching and we'll see you right back here next time on the cost of everything. the

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