Web Hosting Reviews

Choosing Between Colocation And Running Your Own Data Center

Choosing Between Colocation And Running Your Own Data Center
May 02
07:44 2018

Your business is growing, and you’ve more customers than you’ve ever seen before. Suddenly, rather than just serving a few people, you’ve an entire market segment clamoring for your brand. That old server you’ve got in your broom closet simply isn’t going to cut it anymore.

You’re going to need to go bigger.

The question is, how? Should you go with a dedicated server, or take things a little further and run your own mini-data center with a colocation host? What it really comes down to is the matter of cost versus ownership.

Before we get into that, let’s talk a little bit about the differences between the two plans. With a dedicated hosting plan, you’re generally given a single (high-powered) server whose hardware is managed entirely by the host. You may or may not be responsible for the technical elements of software management.

With a colocation plan, on the other hand, you’re renting rack space or a server room at a larger facility, and installing your own hardware. You’re completely in control of what systems you install – you basically treat your section of the host’s data center as your own smaller, self-contained facility.

The key advantage of colocation is that it tends to be cheaper in the long run. Sure, you’re renting the colocation space, and you’ve got to put forth a pretty hefty investment upfront to populate it with your own hardware. At the same time, you’re not subject to a lot of the fees you’d need to deal with if you chose to run a dedicated server.

Geographic availability is also a concern. There tend to be fewer colocation facilities than hosts that offer dedicated servers, so finding a colocation site that’s near where your business operates can be an issue. Comparatively, there are far more hosts who offer dedicated hosting – but those hosts vary much more wildly in quality.

You also have far less control over your server with dedicated hosting – after all, the server isn’t really yours. You’re basically just borrowing it from the host, who determines what hardware your hosting plan uses, and you may not even have access to the physical system on which your processes and applications are run. And while the host can troubleshoot or add space as necessary, for some organizations, that lack of control is a significant concern.

Of course, if the hardware in a dedicated server fails, the host generally replaces it at no cost – with colocation, you may be responsible for replacing your own failed systems.

At the end of the day, colocation and dedicated hosting are both valid choices – it’s ultimately a matter of which you feel will suit your needs best.

Article written and provided by Cyberwurx.

About Author

FindMyHost Editor

FindMyHost Editor

The 'Web Hosting Blog' at was established to provide the web hosting industry with the very latest in news, technology, interviews, event information and more. About Launched in January 2001 to protect Web Host Consumers and Web Developers from making the wrong choice when choosing a Web host. showcases a selection of web hosting companies who have undergone our Approved Host program testing and provides reviews from customers.

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