Colocation offers a viable solution for every organization looking to expand its business, control costs, and remain secure. Here is why.  

Let’s pretend it’s 1998. Most businesses are now planning to invest in the digital spectrum, as a way to increase income from the global market. Yet, they know they have to develop specific technological infrastructure, host it somewhere and leverage its power to increase market share.  This requires a huge budget for servers, software, and people running a computing facility expensive enough to compromise the company’s future, in case the investment does not work as planned. Or even, the process includes running an IT facility insecure enough to attract advanced hackers and complicated enough to restrict future, unplanned growth. 

This scenario was fairly common back then for businesses struggling to leverage the power of IT.  

Imagine, a similar company today as we live in the era of digital transformation. Managers have to think of factors such as business scaling, security, increased costs, viability, and sustainability. How can all these factors be placed under the same “umbrella” for managers to deal with?  

The answer is simple: Colocation. Here are the main problems businesses without colocation are facing:  

- Lack of scalability: Colocation facilities are now designed with amazing flexibility to predict changing capacity requirements, leveraging economies of scale to reduce operating costs and deploying expandable technologies. Without these advantages, things can be very difficult for any company investing in a privately-owned data center.  

- Lack of sustainable infrastructure: Colocation services not only provide cost-saving solutions, but they also provide excellent business infrastructure. Elements such as power, energy, and cooling efficiency, coupled with updated equipment and software are every IT manager’s “dream”, avoiding increased costs and serious environmental issues.  

- Lack of security: Colocation providers have all the necessary resources to protect their customers against all kinds of digital and physical attacks. Their facilities are always upgraded to ensure data is protected and secure. On the other hand, we all know how hard and how expensive it is to keep an “in-house” data center fully protected from attacks.  

- Uncontrollable costs: Setting up a privately-owned data center requires increased capital expenses and operational expenses which are hard to predict, especially if scaling is expected in due time. With colocation, organizations do not need to consider any of the usual staff (from purchasing land to hiring the right people).  

In closing, the cost benefits of colocation enable companies not only to expand and scale but also to save money while doing so. How is that possible? Trough opportunities found within ecosystems created by the tenants of a relative service, like the In Hellix Ecosystem.  

Now, you obviously have more questions on colocation. Find out more by contacting our team at Lamda Hellix via this form. 

Have you seen our White Papers on Business Continuity, on the GDPR, and on Green Data Centers? Download them for free here.