Internap Will Expand into Dallas Colo Market

Internap Network Services continues to bolster its network of company-owned data centers. Today Internap (INAP) announced plans to build a large new data center the Dallas/Fort Worth market. The new facility will feature 55,000 square feet of raised floor space, and support power densities of more than 200 watts per foot.

The new Dallas facility builds on Internap's strategy to expand its platform of company-operated data centers, while reducing its reliance on colocation services offered though partners. In 2010 the company expanded in four markets, adding data center space in Seattle, Santa Clara, Houston and Boston that added of 36,500 square feet of data center space.

"The Dallas/Fort Worth metro area boasts the largest concentration of corporate headquarters in the U.S. with 10,000 companies calling the city home, including numerous organizations ranked on the Fortune 500," said Mike Higgins, senior vice president of data center services at Internap. "With the addition of DFW to our portfolio of company-controlled data centers, we are able to provide these bedrock corporations with sorely-needed data center space that can be tailored to their specific IT infrastructure needs – from colocation, managed hosting and cloudstorage services to premium connectivity and Content Delivery Network services – and can quickly scale to support their business growth requirements."

Demand for colocation space in the DFW metroplex is expected to outpace supply through 2013, according to a recent report on multi-tenant data center supply from Tier1 Research. The new Dallas/Fort Worth facility is expected to open Phase I in the first quarter of 2012.

Internap's data center services revenue for the full-year 2010 declined by 2 percent to $128.2 million, while dourth quarter data center services revenue was $31.7 million, down 4 percent compared with the fourth quarter of 2009.  The declines were related to Internap's program to churn less profitable customer contracts in partner data center sites.