Will Limited Data Center Inventory Derail Your IT Infrastructure Strategy?

Nearly every major cloud provider has already had a significant outage in the fourth quarter, leading both established enterprises and startups to increasingly realize that an overreliance on the cloud can turn those very service providers into the much-feared single source of failure.  

Outages and rising public cloud costs have led many enterprises to focus on self-managed infrastructure that can interact with the cloud when everything is humming along while also providing a resilient option to cloud downtime when times are bad.  This has resulted in data center capacity disappearing at a stunning rate.  

According to CBRE’s North American Data Center Trends H1 2025 the vacancy rate in US primary markets is an astonishing 1.6%, a record low.  We see this beginning to create strains in secondary “edge” markets, driven largely by enterprises trying to find somewhere, anywhere, to host the. While hyperscale providers are building huge AI mega-data centers nationwide, including $70 Billion in investment here in Pennsylvania, there is a limited amount of colocation data center space for enterprises and SMBs.  This budding shortage should concern organizations concerned with having an overreliance on the public cloud. 

Direct LTx: Space, Power, Clouds, & Fiber Providers:  If you are considering serving some of your IT infrastructure needs there is a provider with space and power that remains ahead of that supply and demand curve.  But possibly not for long given the demand as well as the exceptional uptime record of our Reading data center an hour west of Center City Philadelphia, with convenient access to multiple major Mid Atlantic fiber networks connecting Ashburn Virginia and Manhattan. 

Email us at strategy@DirectLTx.com for a conversation about your data center needs, as well as a tour of our Tier 3 data center right here in Eastern Pennsylvania.