Colocation has become a popular option for businesses who still need, or want, to use data centers. To get the most from colocation, however, businesses need to choose the right location for their colocation data center. With that in mind, here is a straightforward guide to the benefits of colocation in Denver data centers.
Colocation is a data center service where businesses rent space to house their own servers and IT hardware.
Instead of maintaining an on-premises data center, organizations place their equipment in a third-party facility that provides power, cooling, security, and connectivity. This allows businesses to leverage enterprise-grade infrastructure while retaining control over their hardware and software configurations.
Here are 7 key features of colocation.
Space and rack availability: Colocation providers offer different rack, cabinet, and cage options to accommodate various server sizes and densities.
Power redundancy: Facilities provide multiple power sources, backup generators, and uninterruptible power supplies (UPS) to ensure uptime.
Cooling and environmental controls: Precision cooling systems maintain optimal temperatures and humidity levels to prevent hardware overheating.
Network connectivity: High-speed internet access, carrier-neutral options, and private networking ensure low-latency connections.
Security: Colocation providers handle physical and network security for the facility. They also take care of health-and-safety issues such as fire suppression.
Compliance and certifications: Many providers adhere to industry standards like SOC 2, ISO 27001, and HIPAA for regulatory compliance.
Remote hands support: On-site technicians offer assistance with hardware installations, troubleshooting, and maintenance.
The headline benefit of colocation is that businesses get access to data center facilities without the hassle of running a data center. Here are 10 more specific examples of the benefits this situation delivers.
Cost savings: Building and maintaining an on-premises data center requires significant capital investment in infrastructure, power, cooling, and security. Colocation eliminates these costs by providing a shared facility where businesses pay only for the space and services they need.
Improved reliability: Colocation data centers are designed for high availability, with redundant power supplies, multiple network connections, and advanced cooling systems. These features help minimize downtime and ensure continuous business operations.
Managed physical security: Colocation vendors take care of all the physical security in the data center facility. This relieves clients of both a major cost and a major responsibility. It also ensures that physical security measures are managed by experienced specialists.
Regulatory compliance: Colocation providers often meet strict regulatory standards such as SOC 2, ISO 27001, and HIPAA, ensuring that businesses comply with industry-specific security and data protection requirements.
Scalability: Businesses can easily scale their IT infrastructure within a colocation facility by renting additional space, increasing bandwidth, or upgrading power capacity without major infrastructure changes.
Better performance: Carrier-neutral colocation centers offer high-speed, low-latency network connections, enabling faster data transfers and improved application performance, which is crucial for businesses relying on real-time data processing.
Disaster recovery support: Many colocation providers offer geographically distributed facilities, allowing businesses to implement disaster recovery strategies and maintain operations even in the event of natural disasters or local outages.
Expert support: On-site technical staff provide remote hands services, assisting with troubleshooting, maintenance, and hardware replacements, reducing the need for businesses to send IT staff to the facility.
Focus on core business: By outsourcing data center management, businesses can concentrate on innovation, customer service, and growth without worrying about infrastructure maintenance.
Hybrid cloud enablement: Many colocation facilities offer direct connections to public cloud providers, enabling businesses to integrate their on-premises infrastructure with cloud services for a flexible hybrid cloud strategy.
Here are just five of the major benefits of colocation in Denver.
Denver has a mature and competitive data center market. This extensive presence provides businesses with a variety of options to meet their specific colocation needs. Moreover Denver hosts numerous cloud service providers, including Microsoft Azure, Google Cloud, Amazon Web Services, and IBM. This proximity allows businesses to establish low-latency connections to their preferred cloud platforms.
Denver boasts a well-developed fiber-optic infrastructure, ensuring high-speed and reliable data transmission. The city’s strategic location serves as a central hub connecting major markets like Salt Lake City, Phoenix, and Las Vegas, facilitating efficient data flow across regions.
The average power cost in Denver is lower than in many other major data center markets. This affordability makes Denver an attractive location for energy-intensive operations. Moreover, the city’s commitment to renewable energy sources like hydroelectric power, ensures a reliable supply of power as well as minimizing a data center’s carbon footprint.
Colorado experiences relatively few natural disasters compared to other states. Moreover Denver’s mild climate and low humidity enable data centers to utilize ambient cooling methods effectively. This improves cost-effectiveness as well as promoting sustainability.
Although Denver does not currently offer specific tax incentives for data centers, programs like the Enterprise Zone provide various tax credits for businesses investing in new equipment and job creation. Additionally, the city’s Economic Development Office offers resources and support to foster business growth and success.
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