(Colocation Pricing 2020 Guide) Recognizing Data Center Prices


Making the decision to colocate servers with a third-party data center is simply the initial step in a longer process of finding the proper partner. Cost is often a vital consideration when a business begins to evaluate colocation facilities. However, colocation pricing could be rather complex. Standard features in one facility may be considered”add-on” providers at the other, creating the illusion that one supplier is quite a bit pricier than another. It’s important to understand what goes into the quoted costs, when making pricing comparisons.

Table of Contents

Rack Space


Bandwidth Requirements

On-Site Service

Redundancy and Disaster Recovery Options

Business Intelligence Software

Assessing Your Colocation Costs

Crucial Questions for Your Colocation Provider

The market for colocation data centers has seen enormous growth in the last few years and shows no signs of slowing. When most businesses make the transfer to third party data centers for operations-related motives (redundancy, increased network capability, launching new programs ), price remains a crucial factor for key decision-makers. Even though getting your own on-premises facility sounds attractive, most firms suffer sticker shock after asking”How much does it cost to construct a data center?” And search for an alternate solution. Colocation offers savings in contrast to building a data center that is private, however there are a number of elements to take under account when calculating colocation expenses that are potential.

How to Know Your Colocation Pricing Cooling and power Requirements

The power demands of colocation server pricing gear make up a substantial portion of any colocation expenses. Different colo providers offer you an assortment of methods to purchase electricity (from the circuit, by the kilowatt( or as metered power), and also the price of those plans is generally affected by the centre’s power utilization effectiveness (PUE). Data centers that are more energy-efficient may pass their efficiencies to clients, providing pricing on energy and cooling. Cupboard installation and server functionality might have an effect on pricing, although these costs are spread across all colocation customers. State of the art centers often incorporate the latest cooling technology (such as elevated floors or liquid cooling system ) in their infrastructure to help drive colocation down prices.

Customers should keep in mind that local electrical and building codes may restrict power usage, so a provider’s advertised upfront costs may not reflect the true number of usable power. When looking at colocation data centre pricing, it’s important for clients to remember that their electricity requirements may increase in the future, so they should ensure a facility and their expansion needs meet.

  1. Rack Space

All the talk about power and connectivity needs frequently overlooks the exact physical character of colocated servers. Every server needs to be slotted into rack area in a facility, and while contemporary servers take up space, there is just so much room available in the data floor’s cabinets. Server colocation pricing is generally based on either the number of racks or the amount of square footage colocated assets take up. However, colocation cost per rack might not be the only option available. In several instances, better value is provided by full rack colocation pricing. Some providers allow customers buy or to lease cages or entire cabinets. Colocation cage pricing, of course, varies based on the specifications of the cabinet.

Not all stand space is created equal, obviously. Using more narrow servers might help companies cut back on their own colocation costs because every unit will take up less rack space. However, they should keep in mind that these high-density servers can have different power requirements and extra power distribution choices, which might influence cupboard installation.