Minnesota’s sales tax incentive program continues to generate significant savings for Cologix data center customers. Emergent Networks, LLC, one of Minnesota’s most respected full-service technology consulting firms, has realized approximately $50,000 in sales tax savings by colocating in Cologix’s highly redundant, enterprise-grade MIN 3 data center facility. As a result of the incentive, Emergent Networks has also experienced increased customer interest in its services that are linked to Cologix’s Minneapolis data center as their clients pursue similar cost-savings opportunities.
Cologix, the leading network neutral interconnection and data center provider in Minneapolis, announced the qualification of its MIN 3 data center for Minnesota’s Department of Employment and Economic Development (DEED) sales tax incentive program in January 2015. According to the Minnesota DEED website, “qualifying projects receive sales tax exemptions for 20 years on computers and servers, cooling and energy equipment, energy use, and software.” The benefit is available to the data center provider as well as customers who deploy new equipment into the facility.
The sales tax savings presented Emergent Networks with one more reason to select Cologix’s MIN 3 facility. “The real driver behind our growth with Cologix is the high-availability data center features, including Cologix’s robust owned and operated power infrastructure,” explained Emergent Networks president Jamie Anderson. “Additionally, from a connectivity standpoint, I’ve never seen anything even close to what Cologix has in Minneapolis. Cologix’s Meet Me Room is a key piece of what we do, as it has every provider you can think of in the building.”
Beyond that, Emergent Networks expects continued long-term tax savings that the company can reinvest into the growth of its business. “We were pleased with the initial savings of $50,000 via the sales tax rebate through Cologix Minneapolis and, more importantly, the rebate has been a big incentive to attract customers to Emergent Networks services within the data center.”
“We are delighted to enable these tax savings for our customers in Minneapolis, while also providing them with the competitive advantages tied to premium colocation and interconnection services,” said Cologix’s general manager Scott Turer. “We are very proud that Cologix’s MIN 3 facility is so differentiated in the Minneapolis market and especially proud of the customer relationships, like Emergent Networks, that we have built because of it.”