Pros and cons of managed colocation: A detailed analysis

Have you ever felt overwhelmed by the thought of managing your business’s IT infrastructure, especially as it grows and becomes more complex? You’re not alone. Many companies face this challenge as they scale up.

The good news is that there’s a solution that’s gaining popularity for its practicality and effectiveness: managed colocation.

This post will walk you through everything you need to know about managed colocation. It’ll break down what it is, how it works, and most importantly, weigh its pros and cons. This lets you decide whether it’s the right fit for your business.

Managed colocation is a service where you rent space for your servers and other computing hardware at a third-party data center facility. It’s like having a dedicated team that takes care of the power, cooling, security, and bandwidth needs of your hardware.

This means you own the hardware, but you don’t have to worry about the day-to-day management or the technical headaches that come with it – the colocation provider assists with that.

In a typical managed colocation package, you’ll find a mix of essential services, including:

• Robust physical security to keep your hardware safe from harm.
• Ample bandwidth to ensure smooth data flow.
• Reliable power and cooling systems to keep everything running at optimal temperatures.
• Some level of support for your hosted equipment, which means less worry for you about the technical upkeep of your hardware.

This service is great for businesses that have outgrown basic hosting solutions but aren’t ready to dive into the complexities of managing their own servers. It’s a step up, offering more flexibility and control while removing the burden of managing the physical aspects of IT infrastructure.

It’s also particularly suitable for businesses that have specific needs for their IT infrastructure, such as compliance with certain regulations, but don’t have the resources or desire to manage all aspects of their data center operations.

Managed colocation providers come in different shapes and sizes. Some might offer a more hands-on approach, while others might provide a more basic service but with added flexibility. This empowers you to choose a provider that fits your business’s unique needs and goals.

Imagine having your own data center but without the hefty price tag. Managed colocation saves you money in the long run by reducing the need for in-house management, maintenance, and space, which are all costly aspects of running your own data center. By hosting your infrastructure externally, you’re cutting down on expenses while still maintaining control over your hardware.

One of the biggest perks of managed colocation is top-notch security. Your data and hardware are protected in a secure environment. Think state-of-the-art surveillance, optimized temperatures to keep servers cool, and varying levels of security depending on the service you choose.

With managed colocation, you get access to cutting-edge infrastructure without having to invest a fortune. This means you can leverage the latest technology and facilities to keep your IT running smoothly without the burden of huge capital expenditure.

Got a tech problem? No need to hire an in-house expert. Managed colocation services come with professional tech support to handle any issues, resulting in less downtime.

Knowing that your data is in expert hands is invaluable. A reliable colocation partner means you can rest easy, knowing your data is available 24/7 and managed by specialists. 

Managed colocation allows you to access and manage your data remotely, which enables you to stay connected to your data wherever you are.

For businesses dealing with large volumes of data, the ease of migrating data is a huge plus. Managed colocation often allows for quicker and more efficient data migration compared to other hosting models, making it a practical choice for growing businesses.

While managed colocation comes with many benefits, it’s also important to consider its potential drawbacks. Understanding these challenges will help you make a more informed decision about whether this service aligns with your business needs:

• Upfront transportation costs: Moving your hardware to a colocation facility can be akin to moving to a new house – it requires careful planning and can incur transportation costs. This is especially true if you have a lot of equipment or if the facility is located far from your current operations. It’s a one-time expense, but it’s something to budget for.
• Long-term contractual obligations: Managed colocation often involves long-term contracts. You’re committing to a set period, which can range from a year to several years. This requires certainty about your long-term business needs and can feel restrictive if your business is experiencing rapid change or uncertainty.
• Remote management capability: Handing over the physical management of your hardware means you’ll rely on remote management tools and interfaces. While these tools are usually user-friendly and efficient, there is a learning curve involved. Some businesses may miss the hands-on control they had when managing their IT infrastructure in-house.
• Loss of control: When you entrust your hardware to a third party, you rely on their expertise and responsiveness. This requires a level of trust and can be a hurdle for businesses that are used to having direct control over all aspects of their operations.
• Hardware upgrades and repairs: Upgrading or repairing hardware in a colocation facility isn’t as straightforward as doing it in your own office. It requires coordination and planning. You’ll need to ensure compatibility with the colocation provider’s systems and potentially schedule downtime, which needs careful management.

Despite these challenges, choosing the right managed colocation service can significantly mitigate these drawbacks. For instance, Liquid Web offers ‘Remote Hands’ support, where you’ll get access to a team of experts who will assist you with hardware upgrades, repairs, and other tasks, reducing the impact of the loss of direct control. 

Liquid Web’s colocation services are designed to offer the flexibility and support needed to make the transition and ongoing management as seamless as possible.

Choosing the right IT infrastructure solution is a vital decision for any business. Understanding the difference between managed colocation and other popular data hosting methods will help you select the right fit for your business needs.

Traditional or on-premise hosting is a setup where a company houses its IT and server infrastructure within its own premises. This approach has been the cornerstone of business IT operations for many years. Here’s what this approach entails and its implications for your business:

• Setting up on-premise infrastructure: Opting for on-premise hosting means you’re responsible for creating and maintaining all aspects of your IT infrastructure. This includes servers, network connectivity, backup facilities, and security measures. You’ll also need a dedicated space within your premises to house this equipment, which should be secure, well-ventilated, and equipped with power backup solutions.
• Full control over your data servers: You have direct access to your servers, giving you complete oversight over your data, its security, and how it’s managed. This can be particularly important for businesses with highly sensitive data or specific regulatory compliance requirements.
• The cost perspective: As your business grows, your IT infrastructure needs to scale up too, which means investing in more space, more sophisticated equipment, and potentially more advanced cooling and power solutions. You will need to think about ongoing expenses that include maintenance, upgrades, and utility bills.
• Staffing needs: Maintaining an on-premises IT setup requires a dedicated team of IT professionals. This team will be responsible for day-to-day operations and troubleshooting, updates, and managing security threats.

While traditional on-premise hosting offers maximum control and direct access to your IT infrastructure, it comes with the responsibility of managing and scaling the infrastructure yourself. It can also be costly and resource-intensive. For businesses considering this route, it’s important to weigh these factors against the benefits of complete control over your IT environment.

Cloud-based services represent a modern approach to data hosting, where your data is stored over the internet. This method can be categorized into two main types: public cloud and private cloud hosting.

Instead of investing in and maintaining physical servers, you rent space in these virtual environments. It’s like renting an apartment in a large building; you have your own space, but the building’s infrastructure is managed by someone else.

There’s no need for hefty investments in physical hardware or dedicated IT staff. Additionally, cloud services can be rapidly deployed, making them ideal for businesses that need to scale up or down quickly.

Since your data is stored off-premises and often shared among multiple tenants in public clouds, the risk of data breaches can be higher. That’s why choosing the right cloud provider is necessary. A provider like Liquid Web – known for its reliable, secure, and scalable cloud hosting options – can offer peace of mind.

Despite its advantages, cloud hosting might not be suitable for all scenarios, especially for large-scale or complex infrastructure needs. For businesses handling vast amounts of data or requiring more control over their IT environment, cloud hosting’s virtualized nature might fall short. 

⭐ This is where a data center-based solution, like managed colocation, becomes a viable alternative. It provides the physical infrastructure and security of a data center with the convenience of professional management, bridging the gap between traditional on-premise solutions and fully virtualized cloud services.

Here’s a side-by-side comparison:

View Table

Selecting the appropriate managed colocation provider is a decision that can significantly impact your business’s IT strategy. Here’s a guide to help you make this crucial decision:

Start by taking stock of your current and future infrastructure needs. This includes evaluating your:

• Bandwidth needs.
• Security standards.
• Compliance requirements.
• Physical location preferences. 

You’ll need to think about: 

• The amount of data you’ll be handling and the speed at which you need to access it. 
• The sensitivity of your data and the industry regulations you need to comply with. 
• Where you want your data physically located, as this can impact access times and compliance.

Investigate the provider’s uptime statistics. Providers like Liquid Web, known for their 100% uptime Service Level Agreement (SLA), offer peace of mind in this regard. Frequent downtimes can be costly for your business, not just financially but also in terms of reputation and customer trust.

You want a provider that offers technical support – ideally 24/7/365, like Liquid Web – so you’re covered at all times. This support should be easy to access and capable of resolving issues swiftly and efficiently.

Your business is not static; it will grow and change. Ensure your chosen service provider can scale with you. This means having the flexibility to increase bandwidth, add more storage, or upgrade other resources as your needs evolve.

Look for providers that offer on-site support measures and additional services. Features like Liquid Web’s remote hands support can be invaluable for handling hardware issues without your physical presence. Also, consider if they offer disaster recovery solutions to safeguard your data in case of emergencies.

While upfront costs are a factor, long-term expenditure should also be considered. Assess potential savings against the financial impact of downtime or security breaches. A seemingly cheaper option may cost more in the long run if it lacks reliability or essential features.

Don’t just take the provider’s word for it. Look for testimonials and reviews from current and past users. These can provide valuable insights into the provider’s actual performance and customer satisfaction levels.

Think about what’s best for your business. While managed colocation can offer many benefits, it’s not a one-size-fits-all solution. 

For some companies, self-hosting might be preferable, especially if they require complete control over their IT infrastructure. For others, the reduced costs, enhanced security, and professional management of managed colocation could be exactly what they need.

Take the time to research and reflect on these factors to ensure that you find a partner who can support and grow your business.

A great starting point in your search is Liquid Web – a leading provider of managed colocation services. Liquid Web offers a broad spectrum of products and services designed to optimize and enhance IT infrastructure. Their managed colocation solution provides businesses with the infrastructure support they need, coupled with expert management.

Liquid Web’s managed colocation services are feature-rich, offering various power options to suit different hardware needs and networking capabilities, ensuring:

• Fast and reliable connectivity.
• Stringent security measures to protect your data.

Several factors distinguish Liquid Web from its competitors:

• N+1 redundancy: This ensures that there is always a backup component (like power or cooling) ready to take over in case of a failure, minimizing the risk of downtime.
• HIPAA-compliant data centers: For businesses in healthcare or handling sensitive data, this compliance is crucial.
• Extensive backup and security protocols: Liquid Web goes above and beyond to ensure that your data is not only secure but also backed up to mitigate the risk of data loss.
• Fully managed hosting: Taking the concept of managed services to the next level, Liquid Web guarantees that the entire IT infrastructure operates seamlessly and efficiently.
• Customizable and scalable solutions: Liquid Web offers customizable solutions that can be tailored to fit your specific requirements. As your business grows, your IT infrastructure will be able to as well without the usual pains of upgrading or migrating systems.

As you can see by all these advantages, Liquid Web is the best solution for businesses looking to enhance their IT infrastructure through managed colocation services.

Managed colocation can be an excellent solution for companies aiming to outsource the hosting of their data hardware. It’s cost-effective, secure, and reliable, letting you focus on your core business without the worry of managing IT infrastructure.

Take advantage of excellent managed colocation services and a range of other IT solutions by partnering with Liquid Web – take your business’s technology strategy to the next level!