Online Tech's main campus in the Detroit, Michigan, suburb of Westland. (Photo: Online Tech)

Online Tech Acquires Indianapolis Data Center

Online Tech has acquired a data center in Indianapolis — its first facility outside of Michigan. The company has been working on an aggressive expansion plan to bring its compliance-focused cloud and hosting services to other parts of the country and this is the first major step in executing that plan.

Online Tech’s core customer base is in healthcare and financial services. Indianapolis is a large city that the company believes is underserved.

“Indianapolis is the thirteenth largest city in the United States—even larger than San Francisco—and we believe its businesses are underserved by secure cloud computing providers,” said Mike Klein, Co-CEO of Online Tech. “The city’s large population of healthcare companies must ensure that all patient data remains safe and HIPAA compliant, which fits well with our healthcare IT focus and expertise. Indianapolis also has a growing community of financial, retail, e-commerce and software businesses.”

The 44,000-square-foot data center will support 3 megawatts of electrical load and 16,000 square feet of raised-floor space. The company expects to complete renovations in the third quarter.

The facility has two separate utility feeds, redundant power infrastructure and is rich in fiber. The purchase of the property and planned upgrades represent an investment of $10 million, which is also expected to create up to 25 permanent jobs for IT, sales and data center professionals in Indianapolis.

This is Online Tech’s fifth data center. The company has 100,000 square feet of space in four facilities in Michigan.

“This is our first facility outside of Michigan and is the latest in a series of sizable facility investments to expand our infrastructure, including a major new data center in metro Detroit and the expansion of our Mid-Michigan facility,” said Yan Ness, the other co-CEO. “We see demand for our services across the Great Lakes region and nationally, and our long-range growth plan includes expansion into other Great Lakes markets.”

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About the Author

Jason Verge is an Editor/Industry Analyst on the Data Center Knowledge team with a strong background in the data center and Web hosting industries. In the past he’s covered all things Internet Infrastructure, including cloud (IaaS, PaaS and SaaS), mass market hosting, managed hosting, enterprise IT spending trends and M&A. He writes about a range of topics at DCK, with an emphasis on cloud hosting.

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