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Review: Data Center Closures Bring Less Savings than Advertised

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The federal government has recently embarked on a round of data center closures, an initiative the White House said will save agencies a combined $630 million by 2015.

The Office of Management and Budget had previously said the closures would save $3 billion by 2015.

Agencies are reporting revised data center plans that are likely to reduce the savings, citing the costs of closing the centers, delays, and lower-than-expected savings.

However, a review conducted by the Federal Times says the savings will be even less than previously thought, totaling only about $100 million.

Agency plans for closing data centers were posted online Oct. 7. Many agencies, including the Defense, Labor and State departments, did not include savings or cost estimates in their plans.

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