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What you need to know about Colocation: Answering Frequently Asked Questions

What is Colocation?

Colocation is a service that enables businesses (or individuals) to rent space in a data centre to house their servers and networking equipment. Colocation is often referred to as ‘colo’, and it means that businesses can benefit from the infrastructure of a data centre without having to build their own.

What is included with colocation?

Colocation services typically include

  • Rack space
  • Redundant power supply
  • High speed Internet connectivity
  • 24/7 physical and network security
  • Environmental monitoring and cooling
  • Remote hands available at additional cost
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How do I choose a colocation facility?

When deciding on a colocation facility there are many factors to consider. Location is consideration for some businesses. Proximity to your IT team is important if you are looking to access your equipment regularly without using remote hands. Many businesses manage their hardware using VPN access and remote hands meaning location and accessibility is less important to them. Different locations and providers may offer different scalability and capacity options, so this is worth considering. Connectivity options is another important factor, with carrier-neutral facilities offering more flexibility. Look at the security standards and redundancy and uptime guarantees that each facility/provider offers.

How secure is colocation?

Typically, colocation facilities are very secure. This is one of the major benefits of colocation. Most data centres offering colocation have 24/7 video surveillance, biometric and key-card access controls, private cages or locked cabinets and firewalls.

What if I need help managing my equipment?

Many colocation providers offer an additional service known as ‘remote hands’. These services are usually available at an additional cost and reduce the need for your staff to travel to the data centre for routine maintenance. Remote hands could be used for things like visual inspections and diagnostics, rebooting servers, cable patching and reconfiguration, and hardware replacement or installation.

Is colocation scalable?

Colocation is a scalable service. You could start with a few rack units and scale up to a full cabinet as your needs increase.

How much does colocation cost?

The cost of colocation varies depending on many factors including space requirements (number of rack units), power usage, connectivity (type and number of connections), location of the data centre and any additional services required (remote hands, managed services).

How is colocation different from hosting?

With colocation the customer owns and manages their own hardware in a data centre that they rent space within. With hosting, the customer rents both the space and the hardware from their provider. Colocation offers greater flexibility and is ideal for businesses wanting full control over their infrastructure.

Is colocation different from the cloud?

Colocation is different from the cloud. Cloud computing provides virtual resources (like storage, computing power, and applications) over the internet, typically managed by a third-party provider. With the cloud, you're using someone else's infrastructure on demand whereas with colocation, you own and maintain the equipment You maintain control over where and how your data is stored. Colocation can be used to build your own private cloud.

How does the cost of colocation compare to the cloud?

When considering whether colocation or cloud services are right for their business, many people make the mistake of only considering the upfront costs. Colocation has higher initial set up costs, as the business needs to invest in their own servers etc. With cloud services the initial set up costs are usually non-existent as you pay as you go. This can make cloud services appear much more appealing. 


However, once you have invested in your hardware for colocation, the ongoing costs tend to be much more predictable and consistent than with cloud services. The cost of cloud services often increases exponentially as your data usage increases which can make colocation the better investment decision long term.

Can I use colocation alongside Cloud Services?

Yes! Many businesses choose to adopt a hybrid IT strategy, combining colocation with cloud resources. This combined approach offers many businesses the flexibility they are looking for. 

Is colocation green?

The environmental impact of colocation is dependant on many factors, including the data centre you choose. the hardware you deploy and server utilisation. CloudConnX can offer colocation powered by 100% renewable energy through our trusted partner Telehouse, validated by Renewable Guarantees of Origin (REGO) certificates. Telehouse also hold ISO 14001:2015 and ISO 50001:2018 certifications for effective environmental impact management and continuous energy performance improvement. They are members of the ‘Climate Neutral Data Centre Pact’, and their London Docklands campus has been classified as an ultra-low carbon emitter since 2021.

Considering Colocation for your business?

Here at CloudConnX we offer Colocation at a number of robust data centre locations, including East Sussex, Croydon and London Docklands. We are always happy to discuss your data centre needs and advise on the best options for your business. Get in touch on 0330 122 0550 or email This email address is being protected from spambots. You need JavaScript enabled to view it. and we would be happy to help.