Think colocation is expensive, complicated or only suitable for large enterprises? Think again.
Server colocation has become an increasingly attractive option for businesses, ISPs, MSPs and technology providers looking for secure, resilient infrastructure without the cost and responsibility of running their own data centre.
Yet despite its growing popularity, there are still plenty of misconceptions surrounding colocation and data centres.
From assumptions about cost and complexity to concerns about security and control, some long-standing myths can make businesses overlook an option that could provide greater resilience, flexibility and scalability.
So, let’s separate fact from fiction and bust eight of the most common colocation myths.
Myth 1: Colocation is only for large enterprises
The reality: Colocation can work for businesses of all sizes.
One of the biggest misconceptions is that you need a large IT estate or hundreds of servers to benefit from colocation.
In reality, colocation is highly scalable. Businesses can start with a single server, a small amount of rack space or a partial rack and increase their footprint as their requirements grow.
For smaller businesses and technology providers, this can make colocation a practical alternative to investing in their own dedicated server room or data centre facilities.
For MSPs and ISPs, it can also provide a flexible way to host customer infrastructure without having to build and operate their own physical facilities.
The key is choosing a colocation provider that offers flexible options rather than forcing customers into a one-size-fits-all model.
Myth 2: Colocation is more expensive than keeping servers on-premises
The reality: The headline price isn't the whole cost equation.
At first glance, keeping servers in an existing office or premises can appear cheaper than paying for rack space in a data centre.
But the true cost of on-premises infrastructure can be considerably higher than it initially appears.
Businesses need to consider:
- Electricity and cooling
- UPS systems and backup power
- Generators
- Physical security
- Fire detection and suppression
- Connectivity
- Network equipment
- Maintenance
- Physical space
- Environmental monitoring
- Hardware replacement and upgrades
A professional data centre spreads these infrastructure costs across multiple customers while providing purpose-built facilities designed around availability and resilience.
For many organisations, colocation can therefore provide access to enterprise-grade infrastructure without having to make the capital investment required to build it themselves.
Myth 3: Colocation means giving up control of your servers
The reality: You still own and control your equipment.
The word "colocation" can sometimes create the impression that you're handing your IT infrastructure over to somebody else.
That's not the case.
With colocation, your servers and networking equipment remain your assets. The data centre provides the physical environment in which that equipment operates.
Depending on the service, you can retain control over:
- Your hardware
- Operating systems
- Applications
- Data
- Network configuration
- Security policies
- Software and updates
The data centre operator is responsible for providing the secure, resilient environment around your equipment.
This can give businesses the best of both worlds: control of their technology combined with professionally managed physical infrastructure.
Myth 4: Colocation is only about providing rack space
The reality: The data centre environment is just as important as the rack itself.
It is easy to think of colocation as simply renting some space in a rack.
In reality, quality colocation encompasses a much broader infrastructure ecosystem.
A professional data centre can provide:
- Resilient power
- Backup generators
- UPS protection
- Environmental controls
- Physical security
- Fire detection and protection
- Network connectivity
- Multiple carriers and connectivity options
- Remote hands and technical support
- Monitoring
- Controlled physical access
This infrastructure is designed to protect the equipment inside the facility and keep critical services running.
For businesses whose customers depend on their infrastructure being available 24/7, those additional layers of protection can be just as important as the physical rack space.
Myth 5: All data centres are basically the same
The reality: Data centres can differ significantly in resilience, connectivity and capability.
A data centre isn't simply a building containing servers.
Facilities can vary considerably in areas such as power resilience, network connectivity, physical security, cooling, carrier diversity and location.
Connectivity is particularly important.
A data centre with access to multiple carriers and diverse network routes can give businesses greater flexibility and resilience than a facility dependent on a single connectivity provider or route.
Location matters too. The physical geography of a facility, its proximity to network infrastructure and the availability of diverse routes can all influence performance and resilience.
When evaluating colocation, businesses should therefore look beyond the amount of rack space available and consider the entire infrastructure ecosystem surrounding it.
Myth 6: Colocation is difficult to scale
The reality: Colocation can make scaling easier.
Traditional on-premises infrastructure can make growth difficult.
Need more servers? You may need more physical space.
Need additional power? Your existing electrical infrastructure may need upgrading.
Need more connectivity? New circuits may need to be installed.
With colocation, much of the underlying infrastructure is already in place.
As your requirements grow, you can potentially increase your rack space, power allocation, connectivity or equipment footprint without having to build a new facility.
This makes colocation particularly attractive for growing businesses, MSPs, ISPs and technology providers whose infrastructure requirements can change quickly.
Scalability is one of the reasons colocation can provide a more flexible infrastructure model than maintaining a dedicated server room.
Myth 7: Putting servers in a data centre automatically makes them secure
The reality: A data centre can provide strong physical security, but security is a shared responsibility.
Data centres typically have multiple layers of physical security, which may include controlled access, CCTV, security personnel, access logging and secure cages or racks.
However, moving equipment into a data centre doesn't automatically make the applications, networks or data running on that equipment secure.
Businesses still need to consider:
- Firewall configuration
- Patch management
- Access controls
- Password policies
- Encryption
- Backup strategies
- Endpoint and server security
- Network monitoring
- Cybersecurity policies
Colocation addresses an important part of the security equation – the physical environment – but businesses remain responsible for securing their own technology and data.
The strongest approach combines resilient physical infrastructure with robust IT and cybersecurity practices.
Myth 8: Colocation means your IT team needs to be at the data centre 24/7
The reality: Remote management and support can reduce the need for physical visits.
Another common concern is that moving infrastructure into a data centre means constantly travelling to the facility whenever something needs attention.
Modern colocation services can significantly reduce this requirement.
Remote monitoring and management tools allow IT teams to manage many aspects of their infrastructure without being physically present.
Where physical intervention is required, some data centres also provide remote hands services, allowing trained engineers to carry out tasks such as:
- Rebooting equipment
- Checking hardware
- Replacing cables
- Installing or removing equipment
- Visual inspections
- Basic troubleshooting
This means businesses can benefit from a professional data centre environment without necessarily having to maintain a permanent physical presence there.
So, is colocation right for your business?
Colocation isn't the right solution for every organisation. But it can offer a compelling combination of resilience, security, connectivity, scalability and control for businesses that need reliable infrastructure without the cost and complexity of operating their own data centre.
For ISPs and MSPs in particular, colocation can provide a strong foundation for delivering connectivity and technology services to customers.
The important thing is to look beyond the rack.
When assessing a colocation provider, consider the wider infrastructure: power, connectivity, network diversity, security, support, location, scalability and service levels.
That's where the real value of colocation lies.
Colocation with VeloxServ
At VeloxServ, we provide flexible colocation options ranging from single-server hosting through to full rack solutions, giving partners the flexibility to choose the infrastructure footprint that fits their requirements.
Our data centre infrastructure is supported by resilient power, connectivity and network infrastructure, with access to multiple connectivity options designed to help partners build robust and scalable solutions.
For partners looking for more than simply a place to put a server, VeloxServ provides an infrastructure environment designed around connectivity, resilience and flexibility.
Want to explore whether colocation is right for your business or your customers?
Talk to the VeloxServ team to discuss your requirements and find out how our colocation solutions can support your infrastructure strategy.
