Articles

Dec, 16 2022

Colocation of Data Centers or Cloud: Which is the Better Alternative for your Data Center Requirements?

Colocation of data centers is a specialized service type wherein the users provide their own hardware and equipments or can rent out personalized to a data center manager who is responsible for their appropriate functioning and operations. Collocated data center providers offer cooling, space for keeping the storage components/servers, power, infrastructure, physical security and bandwidth to fulfil the overall operational needs of these servers whereas the user provides the storage servers and computing hardware.

These collocated data centers are providing a low-cost alternative to data center constructions that a lot of the organizations are currently looking forward to. This requirement of having individual data centers from these organizations is because of the wide-spread requirements of better storage and computing needs from their business operations. These businesses are also looking for lower cost storage solutions as compared to constructing their own facilities. This need is either fulfilled by cloud computing or colocation data centers:

  • Cloud – Cloud computing refers to the adoption of virtual storage servers and other services provided by various cloud providers. These services eliminate the overall need of organizations to buy the equipments, components and storage servers for either construction or colocation date centers. This system is highly effective and an economical alternative for having to construct each individual organization’s data centers.
  • Colocation Data Centers – As clarified above, colocation of data centers is renting of infrastructure and its associated components which are designed to fulfil any network/storage associated data center requirements of organizations. Although, a cheaper alternative to data center construction but higher costing in comparison to cloud servers; many organizations still prefer for the adoption of these specialized services. This demand is due to the fact that the rate at which the data is being generated there is an immediate demand for storage servers at a low cost so as to not affect their profitability ratio in their conventional business operations.

Conclusion – Although, cloud hosting can be a highly affective service if utilized in the right way and for users that do not have enough capital funding or resources for maintenance of these equipments. This method also helps making up for the lack of technological expertise of these organizations required for the maintenance of data centers.

But in comparison, colocation data centers are known to provide highly personalized and physically secure storage infrastructure as it can be modified and personalized as per the needs of each individual. And in the long term, colocation data centers are expected to provide greater economic benefits as the prices for virtual servers on the cloud are rising heavily as the service providers are taking advantage of the opportunity by surging their service costs.

However, to enhance the efficiency of small and medium-sized businesses the best alternative would be to combine both of these services to handle their organization’s networking/storage needs and utilize each individual benefits of these services, as both of the services fulfil  certification and compliances needs of data centers which are expensive to maintain and acquire.

For more valuable insights and information on data centers and the construction process, Data Bridge market research has published a new report on “Global Data Center Construction Market”, visit the report at: https://www.databridgemarketresearch.com/reports/global-data-center-construction-market


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