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By Autumn Salama, Vice President, Cloud Operations, DataBank

Companies of all sizes rely on their IT infrastructure to drive productivity, efficiency, and innovation and to help their businesses achieve their most critical goals.

However, behind the scenes, it can be exceedingly difficult for some companies to manage all aspects of their IT environment and operations in house because the overall effort is usually extremely resource-intensive, expensive, and challenging for many other reasons.

One challenge many companies face is struggling to have the right employees in place, particularly those with specialized skills, experience, and required certifications. Attracting, hiring, and retaining these key employees can be tricky, especially for budget-constrained companies or those that don’t have a large IT staff in place.

The brightest technical talent might be attracted to larger technology companies where they can continue to work with bleeding edge technology not often found in everyday business. Even when a company has hired great technical talent, retaining this talent often means allowing them to work on new and exciting projects that bring value to the business.

For companies facing these challenges, it may make sense to partner with a managed service provider (MSP) to offload important IT services such as upgrades, ongoing maintenance, help desk and troubleshooting, and general support. In general, these tasks might be considered mundane and boring by their in-house IT staff but are essential to the security and availability of a company’s IT infrastructure.

Yet, there may be a better model related to outsourcing managed services: partnering with a colocation data center provider who is capable of delivering a comprehensive suite of managed services.

Managed services offerings in a colocation environment can be an extremely effective win-win: Not only are you able to reduce costs by offloading manual, time-consuming tasks, but you also gain access to a wide range of service offerings and expertise to overcome daily challenges and position your company for long-term success – all where you maintain your IT infrastructure.

Let’s take a closer look at many of the specific services and powerful benefits delivered by colocation providers, such as DataBank.

1. Enhanced networking monitoring and management: Reliable managed services within a colocation environment can provide continuous monitoring and management of critical network infrastructure. These service teams use highly skilled staff and the most advanced monitoring tools to proactively detect and troubleshoot issues to ensure smooth network operations.

Such a proactive approach prevents network outages, minimizes downtime, and optimizes network performance—all vital in supporting the company’s daily processes and business goals.

2. Comprehensive security services: All you have to do is look to the latest high-profile cybersecurity story in the news to realize that cyber threats pose a real—and significant—risk to any company today.

Colocation providers are now better equipped to deliver everything you need to make your IT environment safe and secure. Many, such as DataBank, offer a multi-layered defense-in-depth approach including controls for physical security, the network/perimeter, user access, and servers and internal systems, as well as continuous monitoring.

These managed service teams implement and manage innovative security measures such as firewalls and intrusion detection systems and intrusion prevention systems (IDS/IPS). They also conduct regular vulnerability assessments. All of this helps fortify your IT infrastructure to help ensure the availability of your critical data and systems.

3. Powerful data backup and recovery: Let’s face it: Data loss can be catastrophic for your business. The good news is that with colocation managed services, ensuring the continuous availability of your data and applications doesn’t have to be a time-consuming, expensive process.

For example, powerful disaster recovery-as-a-service offerings can protect your IT environment and enable your business to quickly resume operations in the event of a disruption.

Additionally, colocation managed services teams can perform regular backups of critical data to safeguard against potential loss and implement well-designed backup strategies. They also employ redundant storage systems to ensure data resilience.

4. Cloud services: Today, the cloud has become an integral part of modern business operations, offering on-demand scalability, flexibility, and cost-efficiency. Managed service teams in the data center possess extensive experience in managing all aspects of cloud infrastructure.

For example, managed services teams can provide guidance and support when it comes to migrating to the cloud, managing cloud-based storage solutions and interconnection options, and deploying cloud-based software applications. By tapping into their expertise and related services, you can reap the full potential of the cloud, scale your IT infrastructure, and further optimize resource allocation.

5. Efficient software and hardware management: Managing software installations, updates, licensing, and hardware devices can be time-consuming and resource-draining.

Turning to managed services teams in colocation data center facilities will streamline software and hardware management processes. These teams handle software updates, ensure license compliance, and perform regular maintenance of hardware devices. This approach reduces the burden on internal IT teams, freeing up valuable resources to focus on core business activities and more strategic initiatives.

6. Improved IT consulting and strategic planning: Finally, managed service teams within data center colocation facilities serve as trusted advisors and provide valuable IT consulting and strategic planning services.

They possess a deep understanding of technology trends and industry best practices. By aligning IT infrastructure with business goals and objectives, these managed service teams can help you make more-informed decisions about technology adoption, system architecture, and digital transformation strategies.

Such a strategic partnership—and one backed by these comprehensive services—helps maximize your IT investments, increase productivity and innovation, reduce costs, and stay a step ahead of the competition.

Interested in learning more about DataBank and our comprehensive suite of managed services? Visit our managed services site or www.databank.com today.

About the author: Autumn Salama is a proven tech operations leader with nearly 20 years of experience in product management, sales enablement, customer support, engineering, critical infrastructure, and service delivery. She is dedicated to success in every aspect of life and
thrives on creating operational efficiency through collaboration, tools, processes, and, most importantly, people.

See these related resources:

Why Managed Services are Critical to a Hybrid IT Strategy

Customer Portal Tutorial Series: Managed Systems

Discover the DataBank Difference

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Milliseconds No Longer Suffice in Today’s Accelerated Digital Environment

By Gregory Ryman, DataBank Solutions Engineer

Application and database latency are critical factors for enterprises across many industries. A delay of mere milliseconds can break a business when it comes to financial transactions, real-time data analytics, and online gaming. As a result, the demand to reduce latency is on the rise. Whereas milliseconds were once acceptable, microsecond responses are now required.

The first step in solving the latency challenge is understanding the drivers behind the demand for faster response times. In this blog, we delve into five use-cases that illustrate the factors fueling the need for microseconds over milliseconds. We also examine how data center colocation companies play a pivotal role in meeting these evolving requirements.

Microsecond latency refers to data transmission delays measured in millionths of a second. This is a performance threshold that might sound like engineering overkill until you understand which industries live and die by it. In high-frequency trading (HFT), for example, the difference between executing a trade in 10 microseconds versus 100 microseconds can be the difference between profit and loss. Trading firms co-locate their servers inside data centers physically adjacent to exchange matching engines for exactly this reason. Online gaming and real-time multiplayer platforms also demand sub-millisecond response times to keep gameplay fair and immersive. A 50ms lag spike is noticeable to players, and consistent microsecond latency is what separates a great gaming experience from a frustrating one. In healthcare, real-time diagnostic imaging, robotic surgery systems, and intensive care monitoring all require near-instant data processing where delays could have serious patient safety consequences. Achieving microsecond-level performance requires a combination of geographic proximity (servers close to end users), optimized networking hardware (FPGA-based processing, fiber interconnects), and purpose-built data center infrastructure designed to minimize every possible delay. As AI inference workloads, autonomous systems, and real-time analytics become mainstream across US industries, the demand for microsecond latency infrastructure will only intensify in the coming years.

Use-Case #1—High-Volume Trading: Every Nanosecond and Microsecond Counts

In the realm of high-volume trading, microseconds are the new currency. (A microsecond equals one one-millionth of a second) Financial institutions rely heavily on lower-latency connections to gain a competitive edge in executing trades.

This has driven the need for closer proximity to major exchanges and trading platforms and has led to the rise of specialized data center colocation facilities—strategically located near financial hubs. These facilities provide low latency connectivity, enabling traders to capitalize on market opportunities faster, mitigate risks, and improve overall trading performance.

Financial services, high‑frequency trading, and edge AI inference demand true microsecond latency. Providers leverage direct interconnection, on‑site accelerators, and edge pods to meet sub‑microsecond requirements by 2026.

Use-Case #2—Cloud and Edge Computing: Revenues Rely on Superior User Experiences

The proliferation of cloud computing and the emergence of edge computing contribute significantly to the demand for reduced latency. In industries such as e-commerce, online gaming, and streaming media, even a few milliseconds delay can result in a subpar user experience—leading to lost revenue and diminished customer satisfaction.

To solve this challenge, data center colocation providers strategically position their facilities near major network interconnection points, reducing the distance and necessary network hops between end-users and cloud resources, resulting in faster response times and higher throughputs. Many cloud service providers host applications and store data in these large-scale data centers to reduce latency for users accessing compute resources, providing an improved customer experience with higher customer satisfaction..

Use-Case #3—Internet of Things and Analytics: Real-Time Decision-Making Required

The rapid growth of Internet of Things (IoT) devices and the need for real-time analytics further intensify the demand for reduced latency. Industries such as manufacturing, healthcare, and logistics rely on IoT sensors and devices to collect and transmit data in real-time. This data is often processed and analyzed to make immediate decisions, monitor equipment performance, and optimize supply chain operations.

With the increasing volume and velocity of data generated by IoT devices, minimizing latency is crucial to ensure timely insights and actions. Data center colocation companies, equipped with robust network connectivity and edge computing capabilities, answer the challenge by offering the infrastructure to process and analyze data closer to the source. This will enable real-time decision-making of the future, such as managing smart cities and edge-based infrastructures for oil and water pipelines.

Use-Case #4—Interactive Applications: Streamlining Productivity and Collaboration

End-users are accustomed to instantaneous responses from the applications they use daily. Whether it’s a messaging app, video conferencing, or online collaboration, users expect seamless and lag-free experiences. Any delay or latency can hinder productivity, collaboration, and user satisfaction.

To meet these heightened expectations, companies developing interactive applications seek data centers with high-performance networks and fast interconnections. By locating their infrastructure in these colocation facilities, software development firms can deliver superior experiences and retain users to gain a competitive advantage.

Use-Case #5—Emerging Technologies: Seamless, Future-Proof Functionality

As technology continues to advance, new applications and technologies will demand even faster response times. Innovations such as augmented reality, virtual reality, autonomous vehicles, and 5G networks will rely heavily on low latency to function seamlessly.

Colocation providers with advanced infrastructure and connectivity options are positioned to support these emerging technologies. By deploying infrastructures in these data centers, enterprises can future-proof their business and ensure they are well-equipped to embrace user demands.

Colocation Data Centers Play Key Role

In today’s digital landscape, microseconds matter. That’s why enterprises across almost every industry are increasingly prioritizing reduced latency to gain a competitive advantage, enhance user experiences, and drive business growth.

Data center companies play a vital role in meeting these evolving demands. By strategically locating their facilities, investing in high-performance networks, and embracing edge computing, colocation providers offer the infrastructure to minimize delays and enable real-time data processing and transmission. As the demand for microseconds over milliseconds continues to grow, enterprises can rely on colocation data centers to provide the required low-latency connectivity to thrive in today’s fast-paced, interconnected world.

To learn how DataBank can help your business leverage the benefits of reduced latency and enhanced operations to stay ahead of your competition, contact us today.

About the Author: Gregory Ryman has had the pleasure of working in the hosting and data center industry for over 20 years in support roles and director level engineering positions. His passion for technology is rooted in a lifelong pursuit of continuous learning and building meaningful solutions that solve real world problems.

See these related articles:

What Will IT Infrastructure Look Like in 10 Years?

Start Designing for Portability – Right Now

Avoid a “Frankenstein” Hybrid IT Infrastructure: Proactive Planning and the Right Partner Make All the Difference

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Frequently Asked Questions

Denver’s fast-growing economy—driven by the Denver Tech Center and notable technology companies like XO Communications, Zoom, AT&T, and HP—has attracted technical talent and accelerated innovation. This critical regional hub for local, national, and international businesses is also driving demand for colocation options.

A key player in this ecosystem is DataBank’s DEN3 downtown Denver data center, near the 16th Street Mall. Located at the intersection of major fiber pathways servicing Denver and the Rocky Mountain region, the premier carrier hotel delivers five key benefits:

• Fast Delivery: Quick installation intervals that speed time-to-market for new services
• Carrier Selection: A diverse range of many telecommunications service providers
• Low-Latency Performance: Direct access to carrier backbones
• Arbitrage Costs: Competition among the carriers drives down customer pricing
• Scalability: Flexibility to select carriers without physically moving equipment to another data center

Whether customers need to connect to an internet service provider, network service provider, or peering exchange, DEN3 has interconnection points where needed in the greater Denver area.

DEN3 – 1500 Champa Street, Denver

DEN3 is located in the central business district in Denver at the corner of Champa Street and 15th Street. Built in 1985, the 138,000+ square-foot building includes large plots and substantial load capacities across three floors along—with extensive and numerous fiber-paths and diverse riser paths.

DataBank provisions colocation services within the building from nearly 10,000 square feet of raised floor space that supports critical IT loads with two megawatts of power. The data center features riser connectivity to the building’s Meet Me Room. DataBank also offers managed Internet, cross connects, intra-building risers, innerducts, and point of entryways.

Hundreds of Connectivity Options

To facilitate customer connectivity, DataBank has established direct connections with 11 network carriers that operate within DEN3. These include Apple, AT&T, Coeo Solutions, Cogent Communications, Comcast, Disney Streaming, Google, Inteliquent, Telnyx, Windstream, and Zayo Group. For cloud on-ramps that connect via local loops, customers can choose from Console Connect, Megaport, and PacketFabric (Unitas Global).

The DEN 3 data center is also in the heart of the Denver telecommunications community, making it an ideal carrier hotel location. Other important nearby players include the Denver Gas & Electric carrier hotel (910Telecom Building), which is only 250 feet away. A fiber vault sits between the two facilities, providing DataBank customers with access to hundreds of ISPs and carriers. Another key telecommunications player, AT&T, is less than a tenth of a mile away while the Mountain State Telephone building is just two-tenths of a mile from DEN3, and the Qwest central switching office is less than a mile away.

A Key U.S. Hub
The Denver tech ecosystem is one of the nation’s most educated populations and one of the highest concentrations of advanced technology workers. With the DEN3 carrier hotel data center serving as a vital technology player in the Midwest region, DataBank is helping drive one of the most important network provider hubs in the U.S.

See these related articles:

DataBank’s Dallas Carrier Hotel Data Centers: Consolidated Capacity for Your Compute Resources

DataBank’s NYC and Newark Carrier Hotel Data Centers: Connections to Every Corner of the World

Interconnection Types and Definitions

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Frequently Asked Questions

Featuring: Mark Houpt, DataBank’s Chief Information Security Officer

Listen to Mark Houpt, DataBank’s CISO, as he discusses some key concepts and misconceptions about public vs. private cloud security.

Here are a few things you’ll learn:

• Defining public vs. private models via OSI and NIST

• Nuances and grey areas

• Shared Responsibility Model

• Repatriation

Run Time: 19 minutes

DataBank’s CISO Corner is for CISOs and security practitioners, where we discuss a variety of cybersecurity topics and current events from the CISO’s perspective. Our broadcast is designed for those who want to hear from security and compliance experts on the front lines.