GM To Open $130 Million Data CenterGM To Open $130 Million Data Center
Detroit-area facility will allow the automaker to consolidate tech operations and cut related power consumption by 40%.
General Motors said Monday that it will open a new enterprise data center in Warren, Mich. with an eye to streamlining its computer technology operations and reducing costs.
GM, which reorganized in 2009 after filing for bankruptcy, will spend $130 million on the project. It expects to complete construction by 2015. The data center will be housed in a renovated administrative building that sits on GM's Technical Center campus in the Detroit suburbs. The company said it plans to hire 25 tech workers to staff the facility.
GM officials said the data center will help the automaker become more competitive, both domestically and globally. The company increasingly has been turning to digital technology to run its business, promote its brands, and create smart in-vehicle systems like On Star.
"The new facility and other GM data centers around the world support the tools the company needs to design, build, and sell the world's best vehicles through digital applications enabling business functions," said GM CIO Terry Kline, in a statement.
GM said the state-of-the-art center will allow it to consolidate tech operations spread across numerous sites into a single facility, reduce IT operating costs, and cut energy consumption by 40%. The company said it expects the data center to meet requirements for Leadership in Energy and Environmental Design (LEEDS) certification by the U.S Green Building Council.
The investment comes from $2 billion that GM previously earmarked to upgrade or open facilities in 17 states. Without being specific, the company said its data center initiative received support from the Warren community and the Michigan Economic Growth Authority.
"We truly appreciate the support we received from the mayor and city council in Warren, as well as the state of Michigan. We think the result is a win for everybody involved," said Kline.
GM last month reported first quarter net income of $3.2 billion on revenue of $36.2 billion. Earnings per share were $1.77.
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