Colocation: A Crucial Pillar for Building a Data-First Organization | CIO Skip to content
Lots of attention is being paid to how hybrid IT or multicloud fits into data-first business transformation, yet plenty of companies count colocation facilities as an important pillar of their IT landscape. Why? They offer scalability, agility, and cost-efficiency advantages as a way to power up data-first business without onerous data center investments.
Driven by data gravity as well as new opportunities to innovate at the edge, enterprises are shifting toward decentralized IT architectures. This includes embracing colocation to address the challenges of global coverage and edge capacity. Investment in state-of-the-art facilities and modern technologies — coupled with burgeoning partner ecosystems spanning cloud, network, and telecommunications capabilities — positions colocation as a reliable foundation for business continuity. Specifically, colocation delivers high levels of physical protection, redundancy for data backup and power sources, low-latency connectivity options, and capacity to accommodate bursting, among other benefits.
Compared to building and managing expensive onsite data centers, colocation can be a more cost-effective option for companies trying to get out of the data center business, freeing them to double down on their core business functions. With bundled services in areas such as support, security, redundancy, and management — along with access to state-of-the-art compute, bandwidth, power, and cooling capabilities — colocation can offer a level of performance and sophistication that isn’t feasible for organizations trying to run and maintain a data