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Almost anyone who shops in bulk at a big box store will tell you that they shop there for the lower product costs, which are due to lower store expenditures on packaging and distribution. The same logic applies when you look at a business’s energy consumption. By keeping servers in-house, businesses are essentially paying a premium on the electricity their server rooms consume and often have to hire technical support to make sure that the servers actual run and are properly maintained. This practice commonly leads to overspending on electricity and cooling for their technology.
By choosing to move their servers out of their office(s) into a data center, businesses no longer have to pay premium prices for power. Like the big box store that sells you a lot of things for less, a colocation provider has access to “bulk” or volume pricing for space rental and electricity. A data center’s business is solely focused on providing power, security, and support for its clients. Due to its enormous electrical usage, a data center has the purchasing power to negotiate pricing with electric companies; this in turn is passed onto the individual or enterprise collocating in the facility.
Rather than hiring a dedicated staff to maintain in-house servers and constantly worry that they understand the intricacies of these crucial business elements, colocation provides the assurance that a company’s servers are being maintained by a team with advanced technological training.
A company simply needs to buy the dedicated servers and have them set up in a data center with the help of expert professionals. The IT Support in the data center will know the exact levels of power that the server needs, as well as the amount of cooling required. Moreover, the data center staff is available around-the-clock if your system needs a reboot or if there are any problems such as a traffic spike in traffic to your site that requires a bandwidth boost to keep your server from potentially crashing.
In conclusion, colocation gives companies savings since it takes the security precautions, staffing, and electrical costs out of your hands and makes it its top priority. It is also better for the environment too!