Why You Need Business Colocation

Business colocation. It’s when companies share space at a data center to house their own servers. It’s a simple concept that is revolutionizing how companies perform, and a lot of companies are jumping into it head-first, no questions asked. In fact, in 2015, 451 Research claimed that the global colo data center market would be worth around $36 billion — the data to prove if that estimate actually materialized in 2017 is not yet available, but with the dramatic increase in companies exploiting this service to their benefit, it would not be hard to believe.

So, why should your company co-locate its server(s) to a colocation center? We answer that question with these 8 important reasons:

1. Affordability

Saving money and increasing profits — that’s a core business purpose. Data colocation is all about saving you money. Businesses must have servers today to run their businesses, but it eats into budgets and expenses. First, there’s the electricity factor — they use a lot of energy. Second, there’s the personnel factor — you have to hire staff to keep the servers running smoothly. By sharing space, you share the electricity costs. Plus, colocation centers provide trained staff to keep your technology and equipment safe. Colocation companies allows you to get more for your buck.

2. Reliability

Business Colocation

As a business, you need reliable servers. You lose money every minute your business goes offline because of the internet. In fact, according to Gartner, an average network downtime means the loss of $5,600 every minute. Colocation data centers often offer recovery plans to ensure uptime and prevent downtime. At Phoenix Internet, our data center guarantees 99.999% uptime, so you aren’t going to have to worry about losing all that money per minute.

3. Predictability

This benefit is aligned with affordability and reliability. A colocation data center, like Phoenix Internet, offers IT expenditure predictability. If stored onsite, servers can run into multiple problems that add steep and unexpected costs to the budget. If stored offsite, you know what you will be paying each month.

4. Network Competition

Colocation data centers are competitive. They offer service level agreements that keep prices low and services high. Interconnectivity is part of these high services, which allows companies to benefit from cloud service. The combination of these competitive factors translates into flexibility and productivity for companies that take advantage of them. Plus, at Phoenix Internet, we offer free installation, which saves you additional time and money.

5. Enhanced Security & Disaster Protection

As part of colocation centers maintaining their competitive edge themselves, they offer significant security advantages to you. Physical security to keep the servers and data secure includes anything from biometric scanners to coded access panels to anti-tailgating technologies to infrastructure so that the building itself can withstand floods, storms, fires, tornadoes, or other weather conditions. Moreover, most colocations are equipped with generators in the case the power goes out, so your IT system is kept running. Many also offer disaster recovery programs. This is much more than the protection that most onsite servers receive.

6. Space Limitations

Maybe you are a small company and only have space for so much, or a growing company that has run out of space, either way, office space with limitations takes away from your capacity to house your server(s). The machines can take up a lot of space that can be used for other essential business. Moving the server(s) to a colocation facility frees up much-prized office space. At Phoenix Internet, we provide full and half cabinets, 1-10U individual server space, and customizable private caged space. That’s flexibility when you need.

Business Colocation

7. Scalability

Whether you have one or more servers, it does not matter. You always have the option to upsize or downsize in accordance with your needs. But scaling up is a particular benefit to housing your server at a colocation site. The problem of finding room onsite for a second, larger, and bulkier server can be daunting. If your first server is already stored in a colocation facility, it’s easy enough to store a second or third one.

8. Competitive Advantage

While other companies spend money on personnel and electricity to maintain and manage their servers onsite, you make the decision to store them offsite. This allows you to free up IT personnel for other purposes, to save costs on hiring an IT person, and to save energy on electricity usage. With the money saved, you can channel it into growing your business.


If you mean business, then your business needs colocation. Here’s a summary of the benefits you get to walk away with:

  1. Costs cut to improve profits and grow the company
  2. Reliable uptime service
  3. Predictable expenditures for future budget planning
  4. Competitive networks to get the best deal
  5. Enhanced security & disaster protection
  6. Freed up space for essential work purposes
  7. Flexibility to decrease or increase in size
  8. Competitive advance

If you are in business in the greater Phoenix metropolitan area, then your business needs to consider data colocation. The benefits of a colocation server will propel your company forward. To find out more about our data center and the services we provide, contact Phoenix Internet either online or at 602-362-9259. We look forward to hearing from. If you’re serious about improving your business, then you owe it to your business to look into internet colocation. Call us today and we’ll answer any questions you have about phoenix colocation pricing, specs, and more. See our coverage map to see if we can serve your area, and see what else we can do for your business