What Is Colocation Hosting and How Does It Work?

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Sectorlink website hosting services
What Is Colocation Hosting and How Does It Work?

 November 17th, 2020

It's great if you have a business that can operate entirely in the cloud. Still, some need to house a portion of their IT equipment on site. For them, colocation hosting is a solution with a lot of advantages.

Should you consider the possibility of renting space for your IT hardware at an offsite data center facility? Continue reading below to find out what colocation hosting is and how it works.

What is Colocation Hosting?

When a firm uses its high-speed internet to move its server infrastructure to a shared data center, it's called colocation hosting. Most often, colocation hosting comes with cost savings and other advantages. Examples of these are improved operational security and long-term stability.

Colocation hosting is an option that makes sense for many businesses. It allows them the security and infrastructure of a data center without the maintenance costs. What’s more, it lets firms enjoy the benefits of having servers in the cloud while keeping physical control over their systems.

Today, information is a business’s primary work product, and it requires servers with many needs. These needs include cooling, connectivity, power, and security, along with redundancy and backups. Mitigating some of these costs can be achieved by hosting your servers in a facility like the ones offered by Sectorlink.

Benefits of Colocation Hosting

Did you know that the colocation market has been growing worldwide? According to this report, they expect it to reach ninety billion by 2024. What’s more, server colocation lets companies avoid the financial investment needed to build an on-premise infrastructure.

By “sharing” these costs, they receive ongoing cost reductions along with many other advantages.

Cost Savings

Large and small firms find they can save on initial infrastructure costs. They also gain ongoing savings through colocation hosting, where these costs are shared with other businesses. What’s more, the savings come with services that are state of the art, which they may not have been able to afford independently.

Smaller firms gain access to a large IT department, minus the additional salaries.

Reduced Downtime and Redundancy

Downtime has its own set of financial costs that are avoided through collocation hosting. A company can lose millions from a single outage. Should a physical disaster occur, bandwidth, cooling, diversified power sources, physical security, along with others, have reinforced resources in collocation data centers.

Scalability and Flexibility in Collocation Hosting

Your growing company needs a strategy that supports expansion. Enlisting colocation services is a savvy way to manage your growth. What’s more, growth spikes are distributed over many users, which reduces the cost for a colocation tenant.

Making the Colocation Hosting Decision

Your bottom line may be the deciding factor to move to colocation hosting. Making the switch lets you shift your focus back to your revenue-generating projects and away from managing your data center. Still, the chances are high you have more questions before you sign on the dotted line. 

The colocation experts at Sectorlink are ready to provide all the answers you need with a focus on you, the customer. Contact us today to learn more.

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