Is Leasing Colocation Space a Smart Idea? Here Are 5 Good Reasons Why


Two predictions for the upcoming future. Firstly, the mechanization of basic work is going to require a huge amount of data storage during the fourth industrial revolution. Secondly, international cybercrime is going to accelerate as knowledge becomes the new center of power.

These two opposing trends are forcing business in the direction of safe colocation storage hubs. Chicago-based Cision Ltd forecasts over $11 billion new investments in the industry between 2019 and 2023.


We decided to skip over broader topics about why colocation makes sense because of global warming, climate change, extreme weather etc. Instead, below we narrow down on the numbers, making a solid business case for basing servers at a central point.


Data may be at the heart of your business, but not many people consider the importance of data storage facilities. Below we outline some convincing reasons why leasing colo space is a smart idea.


# 1: Data Center Storage Costs Less than Company Facilities


If your data storage needs follow global trends, then sooner or later you are going to run out of room for storage racks. A server room cannot operate during construction, and so you are likely going to need a whole new facility.


This is not a task to be undertaken lightly, according to research by Vladimir Lensu from Laurea University of Applied Sciences writing on Open Repository Theseus. Dip your toes into the table of contents. Ask yourself “why do I need to do this when colocation data storage centers are already there?”


Leasing colocation space to accommodate your servers and racks will cost you less because you share the infrastructure with other users. Hence you pay only a fraction of the cost of construction, cabling, and cooling equipment. A data colocation center therefore makes good business sense.


# 2: You Can Pick and Choose Your Amount of Space


If you were to decide to build that new server room with all the necessities Vladimir Lensu underscores, then it would logically be larger than you needed for quite a while. You would have no option unless you repeated the exercise shortly.


That expansion space would therefore be idle as data servers need special requirements in terms of hygiene, access, and temperature control. If you were to lease space at a colocation center instead, you should have none of these hassles.


A data center is a large, open, air-conditioned, secure space in which clients hire as much (or as little) room as they need. All you need bring are your servers, racks and allied equipment. The service company provides the electricity and data cabling.

You have a strategic plan and you know how your date storage needs are trending. With this foresight in mind a data center should be able to adapt accordingly.

# 3: You Can Protect Data Continuity by Using Various Locations


Award-winning, secure global WAN provider Aryaka explains how the distance between server and user affects the stability of a network. . Global companies are therefore faced with a choice between dispersed computer rooms, and more affordable multiple remote facility providers.


Moreover, the on-board flexibility of leased space allows them to position their storage in multiple markets. They incur exponentially lower costs this way, compared to the immense expense of constructing, and managing remote server rooms.


Therefore, there is an increasingly strong case for leasing colocation space. Which is better? Renting a car at each airport you fly to, or having autos in storage at each point. Hiring space as you need it makes more sense too.


# 4: You Can Achieve Your Data Storage Goals Faster


The rapidly changing and upgrading infotech environment necessitates being agile and nimble to stay ahead of competition. Flexible, leased space the way we described it can get you to where you want to be faster, and cheaper.


The physical infrastructure, cooling, and security arrangements are already there. As are the data and power cables coiled up under the raised floor.  


All you need do is position your servers, install your infotech equipment, cable up, commission, test, and go live. This gives you a faster, more reliable implementation path than any other solution.


To improve matters further, a data colocation center should have skilled technicians on hand to assist, and even project-lead the entire process with your authority.


“Time is the friend of the wonderful company, the enemy of the mediocre,” says Warren Buffett. Use it to your advantage when you plan your storage.


# 5: You Can Achieve These Related Goals You Always Wanted

Most American business owners wish they could sleep better at night knowing their data was secure back in the office. They start worrying the moment hurricane and tornado alarms sound.


Economies of scale allow data colocation centers to invest significant capital in managed services, technical infrastructure, and robust interconnections.Most Houston data centers kept running smoothly throughout Hurricane Harvey.

Data center customers get their fair share of all these additional benefits simply by signing leases and commissioning their storage. It could be argued there would be no need for in-company facilities at all, had this innovation been available at the time.


Success in business is about having a clear mind, defining a strategy and staying ahead of the rest. Your main competitor could already be benefiting from secure, tier-four storage, and would have a distinct advantage if there was an interruption in local data flow around you.


The business case is already there, and we outlined five good reasons why you should consider investigating this option further.


What Your Own IT Department Is Thinking

IT professionals are driven people. They don’t allow themselves the luxury of imagining failure. They want to be able to guarantee 100% availability on the back of technology you may find hard to afford. However, you should be able to cover the cost of the protection an approved data colocation center offers.


Our skilled advisers are eager to share your data storage needs in confidence, and exchange ideas how we would be able to help. Reaching out to us could turn out the best decision you made in 2019.



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