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Why Companies Are Choosing Data Center Colocation   1 comment

Oct 1, 2019 @ 9:00am colocation


For many companies, offloading the care and responsibility of their computers, servers, and IT infrastructure onto trained IT professionals at a data center carries multiple advantages. This type of service, known as Colocation, has steadily expanded year after year, with leading industry experts expecting the global colocation market to exceed $40 billion by the end of this year. An in-depth examination shows that five major considerations lie behind the decision by CIOs and other corporate officials to rely on data center and colocation providers.


1. Connectivity

Servers, especially for web hosting, are only as good as the internet connectivity that allows them to cram immense flows of data up and down the line, and colocation providers typically subscribe to multiple high-level broadband providers to establish superior bandwidth redundancy and to encourage competition that results in cost savings for both the colocation provider and server owners. Quite apart from the sheer efficiency of sharing top-tier bandwidth access across innumerable servers, the climate-controlled environment keeps servers within a consistent temperature range to ensure that sensitive network equipment and server components don’t fail from extended exposure to excessive heat.


2. Stability

The impact on productivity from moving corporate offices, encountering a natural disaster or suffering through an extended interruption of electrical power can be disastrous. Even the most efficient company may experience a series of unfortunate events that repeatedly delay its return to full operational status. In the meantime, customers may be yelling about misplaced orders and bungled services, and employees may be left without real work as core business processes fail to function as expected. More than a few CIOs and other upper-management staffers prefer instead to shield the company’s critical IT infrastructure from such potential chaos by entrusting them to an efficient data center and colocation provider with multiple power backups and contingency plans for dealing with IT disasters.


3. Security

In an age of brazen corporate espionage by overseas agencies, ensuring physical data security can be a challenge. Even in the absence of foreign or domestic interest in valuable intellectual property held by a business, employee honesty and awareness of basic security precautions aren’t always guaranteed. Hard drives and other computer components sometimes have a habit of walking out the door, and allowing direct physical access to servers located inside open offices also increases the risk of malicious hacking attacks by criminals through the agency of malware-laden USB sticks left lying around in company parking lots.

A well-equipped data center will lock down its facilities with multiple security measures, including burglar-resistant, alarmed entry and exit doors; coded access procedures that track all physical access to hosted servers; strategically placed surveillance cameras; biometric scanners to prevent unauthorized access by intruders and even individually locked cages for each client’s servers. Spreading the cost of these high-security measures across hundreds or thousands of servers allows the data center to efficiently offer economies of scale otherwise unavailable to the great majority of small to mid-size businesses.


4. Scalability

In a typical office IT environment, if a company quickly needs to increase bandwidth or add physical space to the office to accommodate additional IT equipment, they could wait weeks or even months. However, when companies utilize colocation, the data center can provide huge amounts of additional bandwidth within minutes, as well as provide more physical space to host additional servers or hardware as needed.


5. Financial Predictability

Maintaining in-house data and IT facilities typically invites unexpected capital outlays that play havoc with limited quarterly budgets. Many firms prefer the predictability of a fixed monthly outlay that covers the great majority of expenses associated with managing critical IT hardware capability across all corporate functions. Strategic planning and corporate accounting become easier with fewer surprises for the unwary.

Only robust discussion among company principals can determine the ultimate wisdom of outsourcing IT hardware management functions to a dedicated third party. However, the cost savings, significantly improved operational stability and peace of mind offered by the colocation option have proven to be compelling value propositions for an expanding number of commercial enterprises, as well as SMBs and other organizations. For more information regarding colocation as well as the Data Center and Cloud Solutions we provide here at TurnKey Internet, visit our website:


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Written by David Maurer on October 1st, 2019

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