Posts

Data center colocation services vector illustration of server rack equipment

Choosing colocation services for your business means that you’re leasing data center space, power, and cooling from a provider that owns and manages a data center facility for you. The popularity of colocation has grown alongside Cloud services, offering major benefits when compared with on-premises solutions.

In this blog, we focus on colocation’s financial benefits, covering five key ways it boosts your bottom line.

5 Financial Benefits of Colocation Services

1. Cut High Capital Expenditure

Building and implementing your own data center facility comes with a massive price tag up front, including having to create the proper environment and redundancies to store your servers. Colocation allows you to reduce capital expenditure because you only have to invest in hardware and software, not the storage environment itself.

This means you can enjoy a spacious, high-quality colocation data center at a price you can afford not only now, but also as your business grows and changes in the future. Colocation’s capital expenditure savings are ideal for businesses that don’t want the permanent investment of an on-site data center or can’t currently afford to build one that will meet their needs well.

2. Lower Operating Costs

On top of an already costly initial investment in having your own data center on-premises, you’ll also pay enormous amounts to keep your data center environment running smoothly and up-to-date. No matter how much space and energy you actually need at a given time, you may often find yourself paying more than necessary to cover management and maintenance.

With colocation services, you can reduce unnecessary operating costs because you only pay for what you need when you need it. This efficiency means you can expect a consistent, predictable cost without significant miscellaneous expenses.

Additionally, your provider’s team of experts are handling the huge colocation data center environment for you, meaning you don’t need to invest as much in personnel as you would if you owned the data center. This includes maintaining the space, power, bandwidth, IP address, and cooling systems necessary. Colocation hosting gives you greater bandwidth with a lower cost so you can enjoy the features of a large IT shop without the massive price tag.

Businessmen on tablet touch screen reviewing a diagram or chart of financial reports

3. Reduce Risk

Did you know that colocation is more secure than hosting your own server? Colocation offers a higher level of security and maximizes your uptime thanks to the following features when you choose a provider like LightBound:

  • Powerful generators and backup power to keep your servers safe during an outage
  • Servers stored in ideal temperatures with redundant power, cooling, and fire suppression
  • 24/7/365 monitoring and assistance
  • Advanced physical security including biometric access, cameras, individual cage locks, and substantial access logs
  • Compliance with ever-evolving industry regulations

When your infrastructure is protected and monitored by a trusted data center services provider’s environment, you can rest easy knowing your business operations will run smoothly and get quickly back on track when something goes wrong.  

By avoiding the costs of downtime and remediation, your bottom line will thank you. Plus, you don’t have to pay to keep up with expensive security technology, monitoring, and certifications.

4. Improve Customer Loyalty

Housing your infrastructure with the right colocation provider means your customers can trust that you are keeping their data safe. Reduced downtime and smoother business operations will mean less frustration for your customers and increased brand loyalty. When your business runs well, it fosters happy customers that have faith in your business.

5. Scale Easily

When you store your server equipment in your own server racks, there’s no easy or cost-effective way to move, grow, or shrink the space you store your infrastructure. With colocation services, you own your server hardware and can upgrade anytime rather than being stuck with the initial facility plan in your own data center. Rather than having to completely rebuild your own data center, your provider will provide you space to easily scale your infrastructure up or down on-demand.

Plus, if your office building moves locations, you won’t have to worry about transporting your infrastructure with it—it can stay put at your colocation site. This flexibility and scalability can be a wise investment in your bottom line, especially if your company is fast-changing, a startup, or requires a fast time to market.

Landscape view of very large data center data storage array for colocation services

Choosing the Right Colocation Provider

As much as 4-5 times less expensive than insourcing, colocation offers many benefits to your bottom line. If you think colocation is right for your business, then it’s time to get serious about choosing the right colocation provider.

This is a crucial step to ensure colocation success because no two providers are the same when it comes to the value of their offerings and service delivery. Look for a provider like LightBound who will be a partner to your business, providing continued personal attention,  24/7/365 support, top-notch security, and custom solutions.

Want to learn more about colocation services? We’d love to hear from you! Contact LightBound today and our experts will help answer all your questions and share how colocation hosting can benefit your business.

CONTACT US


Concept for new trends showing a hand moving forward a yellow arrow on a wood cube leading the way for a set of cubes with blue arrows following behind on a wooden table

Businesses continue to shift away from costly and time-consuming, on-premises solutions in favor of colocation services. By choosing colocation, a business is able to rent the physical space, power, redundancies, and cooling needed to house their own hardware from a provider, all while continuing ownership and management of their equipment.

While colocation isn’t considered “Cloud”, it’s a solution that still offers huge advantages to the right business in terms of time, money, and physical space savings. Whether you’re currently colocating or looking to make the switch, we’ve gathered four key colocation trends for you to consider when creating your own IT strategy.

1. Network Agility Will Be Pushed to Keep Up

Growth demands on networks are high and this pressure will only continue thanks to “the advent of 5G, increasing cloud maturity, and the explosion in numbers of IoT devices,” explains Hosting Journalist. While network agility is more important than ever, it’s equally as important to choose a colocation hosting provider with a network that can keep up with the pace of demand.

Illustration of running people with speed increasing from pixels as a concept for trends, changes, and digital transformation

2. Colocation Will Be Core to Hybrid Cloud

Hybrid Cloud solutions are on the rise, explains Data Center Knowledge, which isn’t surprising considering that Hybrid Cloud solutions offer increased flexibility and efficiency for businesses by integrating the use of private cloud and public cloud solutions. Colocation services will rise in use alongside Hybrid Cloud as businesses seek a cost-effective solution to house their private cloud solutions.

3. Evaluating Providers Will Go Beyond Cost Calculations

It’s already widely recognized that colocation services offer huge cost savings. Now, Forbes explains that businesses will look beyond that established fact when choosing a provider to evaluate how a provider will help them improve efficiency and capacity. It will become increasingly important to ask, “Which provider will give me an edge as a business?”, and “Which provider will work personally with me to create a custom strategy for success?”

Server control panel hosting software vector illustration for colocation services

4. Advanced Security Will Be Non-Negotiable

With today’s ever-increasing cybersecurity threats, security and compliance are on everyone’s minds. Choosing the right colocation services provider will be essential to ensuring you have top-notch security that can stand up to the threats. Businesses will look for a provider’s ability to offer advanced security features including virtual security, redundancy, compliance with industry standards, and physical security measures such as registration and biometric access.

Interested in colocation services?

Do you want a colocation hosting provider you can trust, that will grow with you as a true partner to your business? LightBound’s colocation services can help make your life simpler and less stressful, offering Choice Network, custom Hybrid Cloud solutions, compliance and security you can count on, and a true interest in the success of your business.

We’ll sit down with you one-on-one to ensure a successful enterprise strategy and you can rest assured knowing we’ll be there for you whenever you call. Contact LightBound today to get your questions answered and learn from our experts what a colocation site can offer your business.

CONTACT US


Cloud Computing Concept with three clouds designed technologically in appearance

Have you ever wondered what the difference is between “Cloud” and “data centers”? What about Public Cloud, Private Cloud, Hybrid Cloud, insourcing, outsourcing, and colocation services?  

When researching cloud computing options for your business, it’s important to know specifically what you are comparing when it comes to these often-confused terms. In this blog, we explain what “Cloud” and “data center” refer to specifically and the differences in how each cloud computing option serves your business.

Are You Talking About “Cloud” or “Data Center”?

When talking about Cloud, it’s a reference to cloud computing, which is the delivery of computing services over the Internet. Types of cloud services include infrastructure as a service (IaaS), platform as a service (PaaS) and software as a service (SaaS). IaaS is further subdivided into Private, Public, and Hybrid. Cloud services come in different shapes and sizes, but most are highly scalable, handled by your provider, and you only pay for what you need when you need it.

Where it can get tricky is understanding the three models by which cloud computing is deployed: Public Cloud, Hybrid Cloud, and Private Cloud.

Public Cloud is the most commonly used deployment of cloud computing, where a provider manages and maintains your hosting solution for you. When people simply speak of “Cloud,” they most commonly mean this kind of outsourcing to a provider. The key to Public Cloud is that the infrastructure resource pools you subscribe to are shared by other companies. None of the resources are yours entirely or discretely in terms of deployment.

If you are talking about Private Cloud, a hosting provider still provides and manages the infrastructure, but that infrastructure is dedicated to you. It’s your dedicated resource pool, or at least most of it. You may share CPU and memory, but the storage allocation is typically on a separate SAN dedicated to you.

There’s also a combination of both Public and Private Cloud: Hybrid Cloud. Hybrid Cloud allows a company to utilize both cloud computing methods as needed for a more custom solution.

On the other hand, if you’re talking about a data center, this is insourcing. Many people call this Private Cloud, but that’s incorrect. You own the data center, the infrastructure and likely your staff manages everything. Any virtualization that takes place is simply your company buying software and virtualizing the infrastructure you own. This deployment is very traditional in every way. Insourcing is called as such because your company either capitalizes the elements or leases some of them, but it’s highly capital intensive. It’s not technically Cloud, because Cloud always refers to outsourcing.

What about colocation services? The term Colocation refers to a commercial datacenter. You are essentially leasing data center space, power, and cooling from a company that owns and manages the data center. The “co” in colocation services refers to the fact that other companies put their servers and infrastructure in the same building. That infrastructure is typically housed in separate, locked cabinets or cages dedicated to your company’s infrastructure, but you share the power, cooling and other building infrastructure.

Letters "V" and "S" written on two seperate black cubes on a wooden background with the left side behind the V colored turquoise to show the concept of comparison

The Key Differences Between Hosting Your Own Data Center and Going to the Cloud

When comparing insourcing versus outsourcing to a provider, how do you know which solution is best for your business? Compare the key differences between hosting your own data center on-premise and seeking out a cloud services provider:

Insourcing with an on-premise data center:

  • Slower time to market
  • Lacks scalability and flexibility
  • Physical and geographical constraints
  • Fine-tuned control of, and access to, your environment, security, and data
  • Increased responsibility and overhead to keep your business operations running smoothly
  • Difficult to achieve 24/7 monitoring by on-site staff
  • Increased risks, unless you are experienced with industry regulations and handling disaster recovery (DR)
  • Offers no geographic separation for mitigating disaster and operational risks
  • 4-5 times more expensive than outsourcing, assuming you have all the talent and expertise in-house to make it work

Outsourcing to a cloud services provider:

  • Faster time to market
  • On-demand scalability and flexibility
  • Independence from physical and geographical constraints
  • Relinquishing some control of your environment, security, and data
  • You can focus on your core business without the distraction of supporting a non-core business expense
  • Provider can handle 24/7 monitoring for you
  • Your provider’s expert staff should be experienced in industry regulations and handling disaster recovery (DR) to reduce risk
  • Provides better geographic separation for mitigating disaster and operational risks
  • Significant cost savings and conservation of capital, only paying for the services you need

Looking for another option?

The benefit of choosing Hybrid Cloud is it allows you to have continued control over critical data with Private Cloud infrastructure while leveraging Public Cloud services for non-sensitive data.

Having a colocation site can serve as a beneficial compromise between insourcing everything and passing off responsibilities to a provider.

3D illustration of server room in data center full of telecommunication equipment as a concept for colocation services or cloud computing technology

Which Option is Right for Your Business?

Hands down, it’s almost always a better idea to outsource data center services thanks to several financial and functional benefits. At the very least, if you still want to buy your own equipment, virtualize, and staff for the management of your own infrastructure, you can still leverage a commercial colocation data center facility to house all of your infrastructure for you in a professionally maintained environment with colocation services.

Long-term, it rarely if ever makes sense to build and maintain your own data center. There are some exceptions, for instance, if that’s your main business, you have a very unique circumstance, or you have an abundance of capital you don’t know what to do with.

Otherwise, you’ll want to seek out a trustworthy cloud services provider like LightBound, who will be a true partner to your business and ensure an easy and pain-free transition to Cloud. Contact LightBound today to learn more about your options for harnessing the power of Cloud and get answers from our experts about any cloud computing questions you might have.


Concentrated experienced man working in a service cabinet and repairing wires for colocation services in a data center

If you want to optimize your business’s operations, it’s important to consider how and where you’re housing your servers. For large and small businesses alike, having server infrastructure that can handle the needs of your business is critical to keeping everything running smoothly, including eventually expanding your data center as your business grows.

While you can store your server equipment in your own server racks, there is another option that can offer your business several benefits: colocation hosting.

Colocation is a service where you place your own server equipment on a provider’s server rack instead of keeping it at your business. In other words, a provider maintains and monitors a huge data center for you, allowing you to offload data center requirements so you can easily store and scale your servers alongside your growing business.

At Lightbound, we help businesses with all of their colocation hosting needs. Is insourcing or outsourcing with colocation the right solution for your business? In this blog, we outline the pros and cons of using a colocation host.

IT Engineer installs enclosure with hard disk drive in the storage system in the rack in a datacenter for colocation services

Pros

  • You get greater bandwidth with a lower cost, enjoying the features of a large IT shop without the massive price tag.
  • You are still in control because you are still responsible for your hardware.
  • Colocation hosting is more efficient and secure compared to hosting your own server.
  • You are protected by the powerful generators and backup power of your colocation provider that will keep your servers safe in the event of an outage.
  • You own your server hardware and can upgrade anytime rather than being stuck with the initial facility plan in your own data center.
  • You can easily scale your infrastructure up or down thanks to the flexible tenancy your provider offers, rather than having to completely rebuild your own data center.
  • With the right provider, your servers are stored in ideal temperatures with redundant power and cooling.
  • With the right provider, you get  24/7 monitoring and assistance, providing extra manpower to your short-staffed IT department or assisting during major upgrades and activities.
  • You have the advantage of a reliable, large-scale data center that will maximize uptime thanks to redundancy, monitoring, and expert support.
  • The right colocation provider will adhere to strict industry standards so you know your data is in good hands.
  • Colocation centers have better security, allowing you to reap the benefits of cameras, individual cage locks, and substantial access logs.

Cons

  • Colocation hosting can be costly upfront because you have to provide your own hardware and software.
  • Moving to a colocation center is a labor-intensive process. Make sure you’re prepared time-wise to transition into a colocation hosting plan.
  • Because you’re using an outside source for your data center hosting, you are not the owner of the data center. This means you have to follow the rules and regulations of that colocation, which could restrict your access to certain days and times.
  • Some people make the mistake of investing in a colocation center far away, but you’ll want to make sure it’s close to you so you can visit if necessary.
IT Engineer installs enclosure with hard disk drive in the storage system in the rack in a datacenter for colocation services

For many business owners, total control can be hard to relinquish. However, unloading some of your burdens through colocation hosting can help make your life simpler and less stressful. Colocation centers provide a great way for you to manage and scale your servers more easily as your business grows.

When deciding whether or not colocation hosting will benefit you, it’s important to weigh the pros and cons in light of your business’s specific needs and make a plan for how you will make the transition to colocation a smooth one.

At Lightbound, we provide colocation data centers to Indianapolis businesses with redundant power, cooling, fire suppression, top-notch security, and 24/7/365 monitoring. Plus, you only pay for what you need, when you need it.

Want to ensure your IP foundation is strong, minimize downtime, and reduce your total cost of operation? Get in touch with us today to learn more about how LightBound can help your business.

CONTACT US


What Is Colocation?

 

As your business grows, it’s important to consider your options when it comes to your computing needs. One of the primary options is a colocation data center. Colocation services at a data center offers space with proper power, cooling, and security to host your business’ computing hardware and servers. Instead of keeping servers in-house, in an office, or at a private data center, you can choose to “co-locate” your equipment. This involves renting space in a colocation data center, which means you already own the server and rent the required physical space to house it within a data center.

 

Colocation data centers are beneficial through allowing you to eliminate the capital expenditures of building and maintaining your own facility, while simultaneously allowing you to retain ownership and complete control over your physical servers.

 

How It Works

 

Colocation providers rent out space in a data center in which customers can install their equipment. However, they also provide the power, bandwidth, IP address, and cooling systems that you will require to successfully use your hardware and server from that space. The space in the facility is leased by size. There are racks, cabinets, cages, or full rooms. A rack is a frame for mounting equipment and hardware, usually horizontally. A full-sized rack is a cabinet. A  cabinet is 47U, and ideal for those looking for maximum agility and room to scale in the future. A cage is a tailored option that gives you the ability to customize a secured portion of our facility to support the specific requirements of your deployment. Full rooms can meet the most complex requirements, offering the most extensive options when it comes to autonomy, privacy, security, and stability.

 

Colocation provides much more stringent levels of security, including security guards or even biometric access control. Colocation data centers have added features, like backups and UPS devices, to protect against outages. This includes outages caused by natural disaster, fire, or flood.

 

Benefits

 

Colocation is a beneficial option for your business because it is reliable. It is structured so that your data is always up and running when both you and your customers need it. It is secure. At Lightbound, our data centers are among the safest and most secure in the nation. We provide redundant power, cooling, fire suppression, and security. With us, you only pay for what you need, when you need it, thus reducing unnecessary costs. Our colocation data centers are also scalable, giving you the ability to expand and grow in your computing as your business grows.

 

At Lightbound, we provide our customers with the ultimate in availability, which starts with the colocation data center. Our colocation data centers are fundamental to any IP foundation, and we strive to create a building block for our customers to continue growing their business. If you’re ready to make the switch or even have a few questions about our colocation data centers, get in touch with us today! We’d love to hear from you.