Supply chain vulnerabilities shape sourcing decisions

Supply chain upheaval is one of the pandemic’s ripple effects, and the data center sector has not been spared. For most operators and vendors, supply logistics will remain a source of uncertainty for the near term. In Uptime Institute’s Global Data Center Survey 2021, we found that most data center suppliers (including consultants and builders) expect strained supplies of critical facility and IT equipment over the next two years. To further investigate, Uptime conducted a supply chain survey in July and August 2021 (the findings of which we will publish in the coming weeks).

A considerable number of data center operators feel exposed to shortages of critical equipment, with more than half rating their data centers as at least somewhat vulnerable. Operators of large sites (20 MW or larger), in particular, see elevated risks to the timely availability of major power and cooling equipment. This has propelled supply chain considerations to the front row of priorities when it comes to selecting a vendor: 38% of all surveyed operators say successful mitigation of supply chain risks would motivate them to pick one supplier over another. Among operators with large facilities, the proportion jumps to 60%.