New York City Mayor Michael Bloomberg on Monday officially threw the switches on the first of two next-generation data centers designed to offer streamlined services to more than 40 city agencies and their clients.

The 18,000 square foot data center will initially centralize the technology infrastructure for 19 agencies, but over the next five years the number of agencies served will grow to more than 40. The new facility is part of a city-wide data center consolidation effort, known as the Citywide IT Infrastructure Services (CITIServ) Program.

“By consolidating the IT operations of more than 40 city agencies, we’ll modernize the city’s technology infrastructure while saving taxpayers $100 million in the first five years alone,” Mayor Bloomberg said in a statement. “And by reducing the IT work done by individual city agencies, we’ll enable them to concentrate more of their resources on what they really do best.”

The city’s Department of Information Technology and Telecommunications (DoITT) said initial costs for the new data center are $11.7 million, including hardware, software, equipment and facilities build-out. Annual leasing costs are $2.7 million.

DoITT Commissioner Carole Post noted that “dozens of unique data centers” currently serve the city’s agencies. The centralized IT infrastructure being created through the data center consolidation effort will provide “modern, reliable, secure and green services at reduced costs.”

The data center project is part of a wider initiative called NYC Simplicity, aimed at making government services more efficient and customer-focused. In October, the city announced it had reached an agreement with Microsoft to consolidate dozens of individual license agreements, which could save about $50 million over five years.




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