Server colocation is a great choice for companies that are interested in streamlining their server operations. By leasing space in a data center, companies have the ability to redistribute bandwidth and power costs, while also having the option to have complete control over their data and hardware
The amount of money that companies save in networking and power alone can be enough to move their servers completely offsite. However, there are other expenses that should be considered before making the decision to do so
If youâÂÂre looking to Get More Info about colocation pricing and how it could affect your company, keep reading!
## Colocation Pricing Considerations
Before you select a provider, there are things that your company should be aware of. HereâÂÂs what you need to know:
1. Hardware
When youâÂÂre paying for colocation hosting, youâÂÂre not paying for the âÂÂrentâ on a dedicated server machine. This means that youâÂÂre using your own companyâÂÂs equipment, which creates the need for you to purchase your own hardware
In comparison to leasing, this may seem like a costly option. However, this is only a one time fee thatâÂÂs required upfront. After that, thereâÂÂs no monthly fee that youâÂÂll have to worry about like there is with dedicated servers
This means that at the end of everything, youâÂÂll have complete control to select whatever hardware components you want
2. Costs Per Rack
The pricing of colocation heavily depends on the required physical space thatâÂÂs rented out. The physical space that is rented out has two different ways that it can be measured: in space per square root or in rack units (U)
One rack unit is 1.75 inches in height and can cost anywhere from $50 to over $300 a month
You should also keep in mind that racks come in several sizes. If you arenâÂÂt completely sure about the type of rack that your equipment is going to need, you should go with a standard 42U rack
If the standard sizing ends up not working for you, the majority of colocation hosts will accept custom sizingwhich allows you to pick whatever power capacity and sizing you need
3. Setting Up
The standard colocation host has a Service Level Agreement (or SLA), which means that the hosting company assumes that youâÂÂre going to deploy equipment by yourself. However, there are some providers that will provide with you hardware deployment onsite and remote hands if needed
There are even some colocation hosts that will allow you to ship your equipment to them and theyâÂÂll deploy it for you. This should only cost you a one-time setup fee for the service that youâÂÂve requested
If you donâÂÂt have a large IT staff, this could be a great option to make sure that your equipment is properly set up
4. Blending Your Bandwith
One of the biggest benefits that colocating has to offer is providing users with the ability to directly connect to an Internet Service Provider. This means that if your main location is in an area thatâÂÂs limited to 40 Mbps connection, data centers have the ability to directly connect with the Internet Service Provider to get thousands of more megabits per second!
The majority of colocation hosts also invest in high-end fiber optic cables to make sure that youâÂÂre receiving the maximum interconnectivity possible
In addition, leasing racks as a data center thatâÂÂs carrier-neutral will allow you to create your own blend of bandwidth. This means that if one internet area provider ends up going down, you have the ability to transfer any of your important workloads to a different provider and still be able to maintain the service youâÂÂre receiving
5. Location, Location, Location
The location that your company resides in can drastically affect the pricing youâÂÂre paying for colocation. For example, if the data center resides in an urban area, real estate in the area is bound to more expensive. The cost of the property that the data center is using is rolled down to you
Operational costs also vary dramatically by location. Everything from electricity costs to the skilled labour pool to the costs of heating and cooling the building can vary dramatically from one geographical location to another. Ideally, youâÂÂll be looking for the best combination of convenient location (close to your target market) with low electricity and labor costs
In addition, data centers charge more for convenience if theyâÂÂre closer to an important location, such as airports, or if theyâÂÂre easily accessible. When youâÂÂre choosing a colocation host, you should also keep the cost of travel in the back of your mind
While you may have found an amazing colocation host, if the company is located thousands of miles away from you, the cost of travel may offset your savings. If the employees are required to travel to your location to help manage your equipment, you may be spending more than you bargained for when signing up for the company
Also, natural disaster recovery should be a factor that you look into when choosing a colocation host. Tornados, floods, hurricanes, and fires are natural disasters that could affect the downtime of your host
Make sure that the colocation company youâÂÂre choosing has done everything that it can to protect itâÂÂs facility if there were any disasters that could occur. In addition, you should also ask the hosting provider what their expected downtime is if there is a natural disaster that affects their services. Getting a service level agreement (SLA) to back this up is prudent as well
## Colocation Data Pricing
The most important thing that you should take away is that colocation hosting should match what your business is in need of. Make sure that you take the time to learn about a provider before signing up. Get a thorough understanding of how the colocation host runs its data center. A good indication of quality is SSAE-18 certification
The majority of the colocation pricing is transparent and easy to understand, such as leasing fees and power rates. However, make sure that you take in the other factors that arenâÂÂt as obvious, such as the risk of high latency or potential downtime
If youâÂÂre looking to Get More Info about colocation pricing and how your business could benefit, feel free to contact us today for a custom quote.