Today’s businesses run on the speed, reliability and availability of their data centers. With employees and customers expecting (and demanding) always-on, anytime, anywhere access to a range of critical applications, even the smallest window of data center downtime can wreak havoc with the bottom line. To remain competitive, companies need absolute reliability with a focus on core competencies and market differentiators, but with minimal overhead. That’s why colocation services can be a smart idea.
Colocation services, in which data center operations are hosted in a professionally run and managed state-of-the-art hosting facility, are seeing fast growth, with 451 Research projecting the global colocation market to be worth $36 billion by 2017, up from $22.8 billion in 2015. Forward-leaning enterprises find colocation services are trumping in-house data centers in a variety of ways, including:
Cost: Rather than sinking huge investments into building in-house data centers complete with the power, cooling, space, security and technical specifications required by today’s businesses, many enterprises turn to colocation services to reap the same benefits, but at a lower cost. Since all colocation resources are shared, customers are able to leverage economies of scale they can’t achieve on their own.