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Why Colocate?

Mitch Fonseca
April 14, 2015

Cost is a large part of the reason that many companies choose to colocate instead of building their own data center. That’s not surprising. As we’ve mentioned before here on the blog, the total cost of ownership of a single rack in a data center has been estimated to be around $120,000 over the course of its lifetime.

But cost is only half the story. Colocating brings with it a number of other benefits to your business in addition to cost savings—all of which better position your business for success.

You don’t even have to take our word for it. A new blog by Newmark Grubb Knight Frank, a data center consulting company, gives an excellent overview of the business benefits of colocation. We liked the list so much that we thought we’d share it.

Here’s why NGKF recommends colocation:

It maximizes business potential.

NGKF asks: does your business have a team “where people are available 24/7/365 to re-boot servers when they fail at 3 a.m.”? What about an IT team with the specialized expertise necessary to monitor diverse cooling systems? Colocation companies take care of this so you don’t have to, allowing your business to instead focus on its core competencies. In doing so, you’re able to divert expertise and resources towards where they’re most needed, maximizing the potential within your company.

It enables secure, global connections.

Data centers don’t exist in a vacuum; they are hubs of connectivity. As NGKF notes, “when it comes to connectivity, colocation means a business is connected globally, quickly and securely.” Developing a similar amount of connectivity at an in-house data center or server room would be cost-prohibitive, if not altogether impossible. Colocating gives you the ability to quickly and securely build connections all around the world.

It provides sustainable infrastructure.

Finally, NGKF adds that colocating with the right partner enables a business to maximize control over its data center infrastructure. From maintaining, testing, and replacing UPS systems, to offering high-level, accredited security, to investing in green technologies, colocation providers offer cost-effective, sustainable infrastructure within a controlled environment. Cloud solutions don’t offer that same level of control, and a similar infrastructure within an in-house or company-owned facility would be much more expensive and difficult to maintain.

Of course, cost is a benefit, too. But as NGKF’s list shows, cost savings don’t even begin to scratch the surface of the reasons a company should colocate instead of building its own data center. From reducing your company’s carbon footprint to forging connections around the world, colocating with a trusted partner is an excellent in more ways than one.

Interested in learning more about colocating with Telx? See our colocation page here, or connect with us via the contact page of our site, or by Facebook or Twitter. We would love to hear from you and answer any questions you have.

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