Profitable?
 

How much money can you really make with a data center? Deducting the initial investment and so on. How much time before you recoup that initial investment? Thanks a lot.

That is a extremely difficult question to answer which is probably why no one has replied yet to your post. It depends on so many different factors. For example: How big will your investment be? Do you own the space or do you lease it? How many clients can you find?

I bet that you can make loads and loads of money even with a small data center. I'd love to really have a data center of my own sometimes, when I grow up, that should be a good business.

Yes the variables really are what determines on how much you make. There are data centers that have been around for years and are obviously doing well enough to stay in business. But that came from years of being in business, knowing how to market the data center and so on.

It depends on the location and scope of your data center. Sometimes, it initially does not fetch any benefit but with time, it helps you to generate huge income.

Based on a recent data centre that was about 300 racks - at 25% it covers all opex expense.

At about 30% we are seeing a good return for the capex aspect, and by about 40% the whole facility has paid for itself and is now in profit (so 15% gross at that stage).

The facility opened in November 2006, and we hit 30% usage about a year later.

I would agree with the statement listed above. That is what we are seeing as well.:cool:

There are so many things which can influence how much you are capable of earning but like with any business it does take time to build it up and working hard will give you more profit.

The business model of a host/dc is great, it's based on recurring revenue, BUT it takes work and time..

This is a very good question, even i am also looking for the same. I am also planning to invest in the data center business.I want to know how much one can get profit after investing a handsome amount.