Tesla Motors Inc (NASDAQ:TSLA)’s “Gigafactory” won’t be a lonely massive facility in Nevada after all. According to the San Jose Mercury News, it will be joined by another aptly-named and massive technology industry spawn – Switch’s $1 billion “SuperNAP” data center.
“Giga”. “Super”. Is everything now big in the Silver State?
To be fair, Switch’s data center is just like Tesla Motors Inc (NASDAQ:TSLA)’s battery factory in the sense that it is enormous. The “Gigafactory’s” foundations alone cost $16 million. Dubbed by the San Jose Mercury News as the world’s largest data center, it is reportedly 3-million-square-feet big.
It will also be built in the Tahoe Reno Industrial Center where Tesla Motors Inc (NASDAQ:TSLA) is putting up its “Gigafactory”. Whereas Tesla’s facility will sit in a 980-acre tract of land, the Switch “SuperNAP” server farm will be built on a slightly larger 1,000-acre parcel of land.
According to the San Jose Mercury News, Switch will be investing $1 billion in the new data center as well as another expensive $1 billion to further develop its data center in Las Vegas.
Part of these developments will be a 500-mile fiber-optic network the company has christened the “superloop”. This network, the company claims, will link Las Vegas, Los Angeles, Reno and San Francisco, and will greatly improve data transfer speeds between these cities.
How fast, you ask? Think 14 milliseconds, with transfer between Las Vegas and Reno at an even faster 7 milliseconds.
“Superloop”. “Hyperloop”. Maybe there’s a pattern emerging here.
Anyway, Switch has reportedly also secured tax incentives from the state’s government just like Tesla Motors Inc (NASDAQ:TSLA) and Apple Inc. (NASDAQ:AAPL) – which also has a $1 billion data center in Reno – have.
According to the GigaOm, Switch plans for the first 800,000 square-foot phase of the “SuperNAP” center to come online by early 2016 and it will have eBay Inc (NASDAQ:EBAY) as the anchor tenant for that part of the facility.
Daniel Benton’s Andor Capital Management owned 1.25 million Tesla Motors Inc (NASDAQ:TSLA) shares by the end of September.