Advanced Computing in the Age of AI | Tuesday, April 23, 2024

Modular Datacenters – What’s in a Name? 

When Compass Datacenters began branding its approach as "truly modular," the strategy had unintended consequences. 

When you hear the word "modular" in reference to datacenters, do you envision a mobile, trailer-like structure or a way of adding capacity that is both flexible and sturdy?

As an evolving term with multiple connotations, "modular datacenter" means different things to different people. This opportunity for confusion led to a bit of a branding crisis at Compass Datacenters.

A prominent company in the datacenter world, Compass has been promoting its "Truly Modular Data Center" approach for over a year now. The strategy had unintended consequences as Compass Datacenter CEO Chris Crosby explains:

"What did modular really mean to prospective customers? I got my answer the other day when I was meeting with a prospective customer who expressed to me that they had reservations about working with us because we offered a modular solution. But when he actually saw one of our videos of a facility being built he was immediately relieved and said, 'That's not modular; that's a building.'"

The problem is that the word "modular" can refer to two different types of datacenters; one being the portable containerized-type and the other a more permanent structure that relies on prefabricated components for ease of deployment. Despite the identical terminology, the resulting form factors are quite distinct.

As different as this:

Versus this:

Crosby saw this flaw in the company's marketing strategy and quickly sought to find a solution. He found that they were emphasizing the process, rather than the result. Instead of concentrating on the permanence of their datacenters, they were focusing on the method used to build them. After this "aha" moment, he knew what he had to do to solve the problem.

"So now that we've identified our mistake, what are we going to do here at Compass? First and foremost, we're going to listen to folks like that prospect and focus on the deliverable product and not the methodology we use to build it," Crosby wrote. "Oh, we'll still let customers know that they can grow their operations incrementally, but we won't be throwing the 'M' word around with the degree of frequency that we used to. We'll also argue strenuously with anyone who tries to pigeon hole us as a 'modular provider.'"

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