Many businesses do not know where to start when it comes to comparing the benefits of moving into a data center colocation vs on premise hosting.

We’ve put together a list of some of the common challenges companies face when deciding between colocation and on premise hosting to help make it easier to choose between the two solutions.


Challenges of On Premise Hosting

1. High Cost
The setting up and maintenance cost of an on premise hosting can be quite expensive. You need to take in consideration the high CAPEX cost of the facilities (i.e. racks, power generators, UPS, cooling systems, security, etc...), and also the high costs related to maintain the purchased facilities.

2. Not Scalable
Many businesses start by using on premise hosting with the thought that it will be cheaper to host in your own office. However, when the business expands and there are not enough rack space, room space, power, or insufficient cooling power, the company will have to put in another big sum of CAPEX investment to purchase additional equipment to support even a minor expansion out of what the existing facilities can support. If you over build resources will be wasted, whereby the resources could have been used to grow your business.

3. Not Flexible
For any expansion of facilities or infrastructure, it will also take a longer time for purchasing and installation into your existing premise, thus affecting the timeline of any business operation or launch plans that the company might have.


Advantages of Colocation in a Data Center

1. High Availability
Data Center or Colocation provider takes necessary precautions to ensure your equipment and company data are available at all times. Redundancy measures are taken in all aspect (i.e. multiple power sources, back-up batteries (UPS), 1+1 Generators + refueling,  N+1 cooling systems and multiple network/internet connections)  and fall-back scenerios are also tested regularly to make sure these measures do not fail at critical times.

2.Business Continuity & Disaster Recovery
In a data center, your equipment and company data are protected against disasters such as fire, flooding, storms, etc... Data Center providers have the proper cooling & air conditioning systems that ensure your equipment/hardware does not overheat. The  air conditioning centrally controls the temperature in the data center, and the cooling systems prevent the temperature from rising to dangerous levels. Data centers are also installed with fire and water leakage detection systems where the there are 24hr operational automated systems and duty staff to handle all situations.

3. Reduced IT Infrastructure Cost & Management Cost
Setting up and maintaining availability, continuity, security, and scalability on premise can be quite expensive. In a data center, the services and costs are of predictable OPEX cost model and shared between all customers helping to make it a more affordable option.

4. Scalability
Turning to a data center colocation provider allows you to “pay-as-you-grow.” You can add or contract your leased space as needed and only pay for what you’re using today – no idle or insufficient capacity. You eliminate all facility-related issues and can maximize the value of your IT investment.

5. Security & Data Protection
Data centers have a number of different, yet equally important, types of security to limit  access, protect against physical attacks, and keep the servers safe from intruders. These measure may include include 24/7 video surveillance and alarm monitoring, keycard access, cabinets equipped with locks, and more... All these will ensure your company data is kept safe and confidential.

6. Service & Support
Data centers have 24/7 technical staff on duty where they offer remote hands service for companies who require emergency attention to any issues of their equipment. This will also help to reduce manpower costs for companies as their IT staff no longer need to be on 24 hours shift on-premise and also a peace-of-mind knowing that there are always professional staff in the data center that can help them and the company can focus on their main business operations.


About NTC Data Center (Global Cloud Exchange - GCX)

Global Cloud Exchange (GCX) is the only Data Center Provider that is able to achieve Tier 3 compliant, and is the highest tier in Cambodia. Our colocation services empowers businesses to reach their full potential by not only providing cost savings, but also providing a sustainable, scalable and high quality business infrastructure. GCX’s colocation offers the best solution for power, connectivity, security and 24/7 professional IT support. Colocation facilities focus on the data center and network services, so your company can focus on your core business operations

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