Colocation essentially involves customers housing their own equipment within our managed data centres. The decision to choose colocation is influenced by several key factors. Primarily, businesses are moving away from maintaining their private data centres, which can be costly and complex due to the need for up-to-date standards, certifications, and security measures. By opting for colocation, companies can leverage our facilities that provide the necessary space, power, cooling, and enhanced security, reducing their overhead and increasing efficiency.
Additionally, colocation serves as a first step towards adopting broader infrastructure services. Once in a colocation setup, customers often reconsider whether to transfer old equipment or upgrade to new technologies. This transition often leads to discussions about managed services, where we can not only supply the new equipment but also manage it. Services such as enhanced storage, backup solutions, and comprehensive managed service wraps are frequently integrated. So, colocation becomes much more than just space rental—it becomes a crucial part of the customer’s IT infrastructure strategy. This strategic flexibility and cost-effectiveness are what draw customers to colocation.