DCI Data Centers breaks ground on AKL02 center

DCI Data Centers has commenced construction on Auckland's largest data center, which is set to inject NZD$400 million into the local economy.

A recent groundbreaking ceremony was attended by DCI Data Centers CEO Malcolm Roe, Minister for the Digital Economy and Communications Hon Dr David Clark, and DCI Data Centers chair Udhay Mathialagan.

The ceremony officially marked the construction of the AKL02 data center and began with a dawn blessing where representatives from Ngāti Whātua o Kaipara blessed the 5-hectare site in Albany on Auckland's North Shore.

Previously announced in January 2022, DCI has said that the site will be a purpose-built, secure, environmentally-friendly cloud data center designed specifically for the New Zealand market. It looks to help meet the growing demand that is faced by organisations who need data storage and will provide extensive and efficient services.

AKL02 is the second of two new generation cloud data centers being built by DCI in the Auckland area (the other, AKL01, being a site in Westgate, Auckland) as it continues its expansion across New Zealand. The implied economic value of AKL02 over the project's life is estimated at approximately NZD$1.1 billion.

"As more companies, people, devices and personal data goes online, the need for reliable, local cloud delivery is becoming increasingly business critical," says Roe.

"It is fantastic to now have construction underway at our second site, which will help to meet strong demand, address a critical capacity gap in the area, and support the growth of the digital economy. AKL02 will be Auckland's largest data center when complete."

Mathialagan added that it is great the data center will provide solutions for all New Zealanders, helping promote digital innovation and ingenuity.

"The New Zealand Government is focused on enabling the country to become a thriving digital nation where people, businesses and government are all using technology to enhance their lives and livelihoods," he says.

"We commend this approach and are pleased to be a partner of this endeavour, which will drive innovation, improve productivity and enhance quality of life for all New Zealanders."

DCI says AKL01 and AKL02 are expected to collectively bring in over NZD$600 million to the Auckland region, with a combined economic value exceeding NZ$1.4 billion over the life of the projects.

They say that each data center will create more than 150 jobs during construction and approximately 250 ongoing full-time equivalent jobs in supporting information and communications technology (ICT) industries once the site is operational.