Apple is building a new 1 billion dollar data center, five times larger than it’s existing one in California. Supposedly, to start offering “cloud computing” services (i.e. allowing users to store their data on the web, or use web-based applications).
Everyone’s major concern about cloud computing, is “What happens to my data if the service goes down?”. (Another one, especially for companies, is “How secure is my data if its not in my data center?”). Apple, being Apple, is sure to have addressed that issue. So if they are going to offer cloud computing services, where is their back-up data center going to be? Unless a second location for a similarly sized data center emerges, I would guess that its more likely to be for adding capacity to Apple’s content delivery services: iTunes and App Store servers, which have in the past been outsourced to companies like Akamai.