Colocation in a data center or Cloud service?

In recent years, businesses have been facing a strategic decision that affects not only their IT infrastructure, but the way the entire organization operates - whether to place their systems in the cloud or use colocation in a professional data center.

Both approaches have their advantages and disadvantages, and the right choice depends on the scale, needs, and priorities of the company. Today, the question is no longer simply “cloud or colocation,” but how to use the strengths of both models in a smart, secure, and cost-effective way.

What colocation means and what the cloud provides

Colocation means that a business places its own physical equipment - servers, storage systems, network devices - in a professional data center. There, the infrastructure receives everything it needs: reliable power, cooling, physical and digital security, 24/7 support, and high-speed connectivity.

The cloud, on the other hand, provides virtual resources as a service - servers, memory, databases, and applications accessible through the Internet. The user does not own or maintain the hardware and pays only for the computing resources they consume in the cloud.

Key differences between colocation and cloud

The two types of services differ across several key factors that are important for business operations. Some of these are fixed when it comes to high-class data centers, but they may vary across different cloud services:

• Control: With server colocation, you have full control over the hardware and configuration, while cloud resources are virtualized and often shared.
• Performance: With cloud services, performance may depend on overall service load if you share resources with other users.
• Costs: Colocation in a data center ensures predictable and fixed costs. Cloud services offer flexibility but can become more expensive during peak usage.
• Scalability: Cloud services allow you to instantly scale resources up or down, whereas physical equipment usually requires adding hardware.

When colocation is the right choice

More and more businesses are turning to colocation in high-class data centers, taking advantage of the benefits they offer. (See more on the topic: Over 500 billion USD in data-center colocation by 2034.)

Here are some of the reasons behind this growing trend:

• You manage critical resources like ERP, CRM, large databases, or AI models that require a stable environment, high performance, and low latency.
• Security is a top priority, especially in sectors such as finance, healthcare, insurance, and others.
• Traffic is predictable and stable over time (internal systems or processes that do not need elastic scaling).
• You need absolute control over your data, hardware, and network.
• Your business operates locally, and colocation in a nearby data center provides low latency and faster response when needed.

Colocation at AbsCloud Data Center

If your business operates in the Northeastern Bulgaria region, all these advantages are available to you at the AbsCloud Data Center (AC☁DC). For many years, no such solution existed for local companies, but now they can rely on an environment with redundant cooling using multiple HVAC systems, independent A and B power feeds, separate groups of UPS units, and backup generators.

This means that no matter the circumstances, your servers continue running without interruption.

Contact our team to learn more, visit our data center, or receive a customized colocation offer tailored to your business needs.

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