A colocation data center is a business enterprise that leases computer servers, physical space, and bandwidth on a wholesale basis to other telecommunications and network service providers within the same facility. As a result of this shared experience, the operating costs to data center customers are held to a minimum.

We live in a time where information flows at a tremendous pace, and the amount of data required to support this flow of information continues to grow on an almost daily basis. Because of this, the desire for organizations to house servers and store data on-site has declined, mainly due to the high capital investment and growing capacity needs. Companies want to focus on their core business instead of spending resources building and maintaining their own Data Center; they want to be able to eliminate overhead, increase efficiency, and leverage new Data Center technologies offered by experts in the industry.

Colocation offers reliability, flexibility and scalability far beyond that of the in-house server room, therefore the adoption of Colocation continues to grow within North America and across the globe. Below are some reasons why Colocation has become an ideal solution for many organizations.

1. Reliability:
Because of the way we use data today and the sheer volume of data that is shared on a daily basis, reliability and availability have become primary drivers for outsourcing mission critical equipment into Colocation facilities that are built with redundancy and backed with an uptime guarantee. Losing or not having access to data can cost a company tens of thousands of dollars or more for every hour of downtime. Colocating servers off-site in a facility with redundant power, cooling, bandwidth etc., gives companies the peace of mind that their servers will always be up and running and data will be accessible without the high capital expenditure of building out a fully-redundant Data Center in-house.

2. Security:
Data Centers typically offer robust security measures such as on-site guards, man-traps, 24 hour surveillance, key card entry, visitor lists and more. It is imperative that you protect your data and mission critical infrastructure from malicious attacks, theft, damage, vandalism, or disaster. By moving your internet connected applications and services to a Data Center you also free up more bandwidth in office, resulting in greater performance for your on-site employees. Look for Data Centers that hold certifications such as SSAE-16 Type II SOC II, to ensure that their security procedures have been audited, confirmed, and monitored on a regular basis.

3. Flexibility:
Colocation providers can offer a wide range of Data Center resources to help organizations optimize their IT infrastructure. No matter what your requirements, from rack size to power, colocation offers the ability for you to customize your environment and make adjustments as needed. For clients with high density requirements, customer cage requirements, or multiple racks, a strong provider will work with you to satisfy your current requirements while also preparing for future needs.

4. Scalability
Colocation provides the ability for clients to scale up or down their rack and power requirements seamlessly. Some Colocation providers offer innovative power distribution systems that allow you to easily deploy new cabinets inside a day’s time to meet your requirements quickly. Advances in power distribution technology, such as the use of busway systems, replace the need for an electrician on-site and can be deployed instantaneously without the risk of human error.

5. Support
Colocation typically offers remote hands and monitoring support by trained staff that can take action when needed. 24/7 live technical support, email support, dedicated Account Representatives, an online portal and remote hands at any time are services you should look for from a Data Center provider. The more support they can offer, the more options and availability you will have to focus on your core business.

6. Lower Total Cost of Ownership
Not only does Colocation offer the qualitative features listed above, but it also eliminates the overall capital expenditure of building, maintaining, and updating an in-house facility, which is often significantly greater than the rental fees paid out to Colocate in an external Data Center.