If your company is looking to move some or all of its computer processing off site, there are a few primary options. Often the decision comes down to colocation vs. cloud. If you’re faced with making that choice — and especially if you don’t have an IT staff — the question then becomes, “What’s the difference? What is colocation vs. cloud?” Or, in some cases, people assume the two terms mean the same thing. Consequently, they don’t bother to ask about the difference.
Colocation and Cloud Explained
While colocation and cloud platforms can help you achieve the same goals to a degree, they definitely go about it differently.
Colocation — In a colocation scenario, you own and use your own equipment but rent space from the colocation provider. You share the cost of power, communications, cooling, etc. with other facility users. Colocation is a great option for companies that want to maintain full control of their equipment. Organizations that have HIPAA or PCI requirements may prefer (or be required to use) colocation rather than a public cloud platform.
Colocation also works well for companies that need to increase their processing capability cost-effectively. With colocation, they don’t have to invest a large amount of capital into building an additional data center. Organizations looking for a disaster recovery “failover” site often utilize colocation as well.
Cloud computing — Cloud platforms are similar to colocation in that the company’s data processing, storage, etc. moves off site. However, in this scenario the cloud service provider owns and manages the hardware including servers, storage devices, and network. The provider’s staff takes care of day-to-day operational tasks, troubleshooting, etc.
Colocation vs. Cloud: Assessing the Costs
Colocation and cloud offerings and their prices vary by provider, of course. However, colocation often comes out ahead when the focus is on cost. Colocation may require a higher initial investment if you need to purchase hardware, but once you own the server(s) and software you will use, the ongoing monthly cost of having your machines in a colocation facility is frequently lower than the monthly fee for a cloud platform.
Finding the Right Fit for Your Business
If you’re debating colocation vs. cloud and you have questions, we’re happy to help. Although we’re a colocation provider, we’ll certainly let you know if the cloud seems like a better option for you. Complete our website Contact Us form, stop by our facility, or call us at 800-935-6527 and let’s talk about your needs.
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