Advantages to Using Colocation for Small-to-Medium Businesses

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For many companies, colocation is the smart, safe choice for valuable IT infrastructure. When a company places its servers into a colocation facility, it is able to utilize bandwidth otherwise not accessible. Partnering with a colocation facility can be a big decision. Companies should consider some of the following significant advantages when making the colocation choice.

Bandwidth and Cost

Colocation centers utilize redundant, high-speed internet connections through multiple ISP backbones. With this abundance of bandwidth, the colocation client is only charged for the amount of bandwidth it uses. This is considerably less expensive than maintaining a T1 network line in the client’s own facility.

Better Protection and Reliability

Quality colocation centers use redundant power, cooling and internet. In addition, they offer high-class security measures to keep equipment and data secure. Most companies do not have the IT staff or budget to maintain these types of systems. Colocation centers typically have virtually no downtime. This means they are able to produce a more-reliable service than a company can do on its own.

Hardware Ownership Options

When a tenant utilizes space at a colocation center, they have the option to either install their own equipment or rent it. If the tenant owns its equipment, it can choose when to upgrade the equipment. It does not have to wait for the colocation center to upgrade servers when they become outdated.

The Tenant Owns the Software

Tenants who own their equipment in colocation centers do not have to limit themselves to the software and tools of the colocation center. Any software the tenant wants to utilize can be purchased and installed using their own machines. This can be done at any time, without prior approval from the colocation center.


Moving is No Longer an Issue

When a company does not outsource its storage, it may have to move its IT infrastructure in the event of a disaster. These moves could even occur if the company moves its home office. This typically means setting up and transition IT equipment in a new facility. This can easily lead to downtime. Colocation center customers don’t have to worry about downtime or moving and reinstalling hardware.

Software Management and Hardware Monitoring

Colocation facilities manage a tenant’s hardware at all times to make sure it is functioning properly. Most colocation centers have staff on-site 24/7/365. That way they can notify the tenant immediately if a malfunction is detected. This onsite management is highly beneficial for small-to medium-sized businesses. These businesses often don’t have in-house IT staff or the center may be simply located too far away. Furthermore, some colocation centers can help install hardware components. This will assist companies who have limited technological knowledge in regards to IT infrastructures.

Colocation facilities are highly cost effective for small-to medium-sized businesses. The average company of this size cannot afford the overhead and initial capital to build a physical data center. So, combining its servers and hardware into a rented space is the most cost-effective option. This gives smaller companies access to the infrastructure of a corporation without spending the same amount.

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