Copyright 123RF Stock Photos
Copyright 123RF Stock Photos

When blogs and businesses discuss the benefits of data center colocation, the focus often tends to be on the external, Internet-based features and options available.  While there are plenty of compelling reasons on that side, there’s another angle to colocation that tends to be overlooked: the benefits to a business’s physical location.

Even organizations that are currently uninterested in global or cloud-based expansion can easily realize operational savings through colocation, and they can significantly reduce risk in several areas.

First, there’s a direct benefit to ongoing site operational costs. Colocation can reduce or eliminate the need for expensive and power-hungry server equipment on site.  This simultaneously reduces a business’s hardware budget while also lowering monthly electrical consumption.

The interior square footage saved is often significant as well, since server setups tend to require plenty of space to prevent heat buildup.

Offsite data centers also offer superior protection for both the physical equipment and the data stored on it.  An optimal server room needs to be climate-monitored and controlled, and it needs to be isolated from any other elements within the building, such as water lines, that could cause harm in the case of equipment failure.

Because colocation data centers are vast and include these features, economies of scale make it possible to rent suitable facilities for a small fraction of the cost of local installation.

There are also liability issues to consider:  Most consumer data is protected under both federal regulation and state laws, which vary from state to state.

Regulations on data storage and retention in industries that deal extensively in private information, such as health care and finance, can be extremely strict while carrying steep penalties for non-compliance. Holding onto data for too short or too long can bring large fines or potentially civil legal liability.

Plus, there’s also the ever-growing danger of data breaches and other malicious hacking activities.  A single instance of data theft can cost a company millions in fines and reparations, and it can cause significant loss of reputation among customers.

Offsite data storage takes the burden of data compliance off of businesses while ensuring the relevant regulations are adhered to through constant audits.

It’s not hard to see why companies are turning to colocation for their day-to-day data operations.  The combination of added features, lowered local costs, and increased system-wide security make it a sound investment.