Despite the advantages that colocation brings, some organizations are still hesitant with the idea of colocating resources to cloud and data center providers. Here, we debunk three common misconceptions regarding colocation. If you (or your IT managers) have said any of the following at some point, allow Beeinfotech PH to tell you otherwise!
1. “I can still maintain my own infrastructure.”
Companies choosing to maintain their own IT facilities may struggle with the significant capital expense (CapEx) it entails. The CapEx includes rising costs for labor, technology, security, and energy. The growing rate of digital use spurred further due to the COVID-19 pandemic is also a factor, as the added demand from customers forces companies to expand their IT capabilities. A setup like this is simply not economically feasible and can even put a dent in reaching growth. However, by entering into colocation agreements with cloud and data center providers, a company can significantly reduce its CapEx spending. In colocation, businesses no longer have to worry about procuring the entire facility and its maintenance requirements as cloud and data center companies will provide all of those for them, including the ability to scale up resources quickly. Moreover, some providers give businesses the freedom to choose specific services only to save more money. We at Beeinfotech PH, for example, employ colocation under the Open Design concept, which allows clients to pay for only what they need and use.
2. “Colocation will compromise my data.”
Cybersecurity is a subject that can be difficult to tackle without expert help. The number of breaches is increasing every year as methods to steal information keep evolving. In 2020 alone, 68% of businesses across six APAC markets, including the Philippines, experienced a data breach, and 60.83% of them admitted to taking more than a week to recover. With the help of cloud and data center companies, organizations can acquire adequate data security technology and measures to fend off cyber-attacks. Our Beeinfotech PH data center, for example, has a Security Operations Center (SOC) that immediately detects and responds to threats. In addition, the enhanced security provided by cloud and data center colocation allows companies to comply with stringent data security standards and regulations implemented by government bodies. Failure to follow these standards can lead to penalties like fines or even the removal of a license to operate.
3. “Keeping IT on-premises makes my network more reliable against downtime.”
Colocation to cloud and data center companies provides businesses a better chance to quickly recover from downtime as compared to having the network solely on-premises. During downtime, companies that choose to maintain their network on-premises have no choice but to wait until everything is repaired or back online. This wait can lead to significant losses to both the company’s finances and reputation. Meanwhile, businesses who choose to go with colocation enjoy the environmentally controlled facilities offered by cloud and data center providers. These facilities utilize multiple redundancy measures to protect infrastructure from downtime and outages. The cloud can be configured to back-up critical information in multiple locations, while data centers like ours at Beeinfotech PH are built to withstand disasters such as earthquakes and typhoons. Furthermore, our data center is designed to meet Uptime Institute’s Tier-III standards, which assures that the facility experiences no downtime whatsoever during maintenance.
Research and Markets expect that the APAC colocation market will reach approximately $11 billion in 2026. This just shows how vital colocation is to companies and proves that its benefits far outweigh the cost of maintaining facilities on-premises. Aside from freeing businesses from the challenges of maintaining IT facilities, colocation enables further growth as it allows the proper allocation of vital resources towards core business goals.