22 Oct

Will Colocation Survive With The Rise Of The Cloud?


By Cameron Larson

Over the last 5 years there’s no denying that the demand for cloud services has been on the rise as more and more companies migrate their workloads and applications to various cloud hosting services online including pay as you go type models but, has the demand for cloud services hurt the colocation market?

The answer to this question depends on who you ask. Thanks to recent statistics from the Cloud Industry Forum we know that more than 70 percent of both private and public sector organizations are already using cloud services, and or plan on moving to the cloud at some point in the near future.

Changing Marketplace

Yes the colocation market is not like it once was but the reality is that the need for colocation isn’t going to disappear anytime soon because many companies will still be faced with the problem of needing more space to expand and they will be faced with the choice of running their own servers in house or moving them to a colocation facility.

Why Colocation?

A big selling point with colocation that will still help it to remain vital in the years to come is that it satisfies a companies need for space, power and of course performance requirements, and if a company doesn’t want to millions of dollars building a data center they will minimize their own infrastructure and hosting costs when they rent space in a colocation facility where they can maintain their very own servers, install new hardware or software and run updates while keeping their servers or network infrastructure running smoothly.

Another huge benefit for any company who chooses colocation is they will also keep their costs low because they will not only be sharing the cost of floor space but also the cost of power, connectivity and cooling as well with all other colo tenants in the same building.

Colocation works because it offers any company tight control of not only their costs but also their infrastructure as well since they can choose a variety of network or storage configurations and so much more.

Why Choose The Cloud?

Although many companies will still choose colocation the reality is that with colo a company still needs to have their own IT department plus they still need to invest in routers, network switches, servers and the other hardware that you would normally find a company using in any colocation environment.

Many industry insiders predict that due to the cost required to get started and maintain a colocation environment it may be uncommon for companies to choose colocation in 5 years because they will choose a solution like CISCO Cloud and have the infrastructure, products and solutions they need right at their own fingertips.

Another benefit of moving to the cloud is that cloud services are accessible from anywhere in the world that offers an internet connection and this enables any company to stay competitive in the global marketplace while having their data in a highly scalable, reliable and robust environment.

Get Started With Colo or Cloud Today

Have you been thinking about moving your servers to colocation or maybe you’ve been considering the cloud but don’t know which choice is the right one for your company?

Let Wavesmith thoroughly evaluate your technology needs so we can come up with the right solution for you.

Contac us today by calling (800) 792-5850 ext 500 or click here to connect with us online.

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