Collection services are valuable resources for businesses of all sizes. To get the most out of colocation hosting, however, it’s vital to choose both the right location and the right partner. With that in mind, here is an overview of the benefits of colocation services in Chicago data centers.
Colocation hosting is the practice of using third-party data centers to house privately
owned IT equipment. These third-party data centers are often known as colocation data centers. Colocation hosting has become popular as it combines a high level of control with a high level of flexibility while also being very cost-effective.
For most organizations, the headline benefit of colocation hosting vs in-house infrastructure is that colocation hosting is much kinder to an organization’s cash flow.
Firstly, colocation hosting can be implemented without the need for capital expenditure. Secondly, it enables organizations to match their provisioning to their needs. Thirdly, it eliminates the need for organizations to manage real estate. By extension, it therefore shields them from the potential for unexpected expenses due to that real estate.
Colocation hosting enables organizations to keep their own data, apps, and services on their own IT equipment. This gives them a much higher level of direct control over it than is possible in a public cloud.
Probably the most obvious implication of this is that it enables organizations to keep sensitive data entirely shielded from third-party vendors. Another key benefit is that it enables organizations to customize their equipment to suit their needs (and wants) exactly. This has clear implications for optimizing performance.
One of the main reasons for colocation’s popularity is that it supports business growth. Here are just five examples of what that means in practice.
Using colocation offers businesses a lot more flexibility and scalability than using in-house infrastructure. It is not as scalable as public clouds. This drawback is, however, counterbalanced by other benefits such as the greater level of control offered by colocation services.
Most colocation centers are built with strong physical and network security, including 24/7 surveillance, biometric access controls, and onsite personnel. They also meet key compliance standards like SOC 2, PCI-DSS, and HIPAA. Businesses can grow confidently knowing their data and systems are protected according to industry best practices.
Colocation facilities offer access to multiple internet carriers and private networking options. Businesses can choose the best connectivity for their needs, reduce latency, and improve uptime. As companies grow and require faster, more reliable communications with customers, partners, and remote offices, colocation supports those demands seamlessly.
Colocation hosting enables businesses to avoid the upfront expense of building or buying in-house infrastructure. It also means that the ongoing costs for that infrastructure are both predictable and proportionate to usage. They may even be more economical due to the opportunity for economies of scale (by making purchases in combination with other tenants). It is almost guaranteed to be more cost-effective than extensively using public clouds.
Colocation providers often include disaster recovery solutions such as redundant power, backup systems, and geographically diverse locations. This ensures businesses can maintain operations and safeguard data, even during local outages or disasters, which is critical for uninterrupted growth.
Here is an overview of the five main benefits of colocation in Chicago.
Chicago’s central geographic position makes it ideal for businesses needing low-latency connections across North America. Its proximity to major markets like New York, Dallas, and Toronto allows companies to serve a broad customer base efficiently. It also makes for easy physical accessibility, especially given Chicago’s excellent transport infrastructure.
Chicago is one of the country’s major internet hubs, with access to multiple Tier 1 carriers, dense fiber networks, and major exchange points. Businesses colocating here benefit from low-latency, high-speed connections that enable them to deliver an outstanding experience to their users.
Chicago has a highly reliable power grid and access to multiple energy sources, helping ensure consistent uptime. Many colocation facilities in the region also invest in redundant power systems, supporting critical business operations without interruption. Chicago is investing strongly in renewable energy, particularly solar energy. This means it is reducing its dependence on mains power (and, by extension, fossil fuels).
Despite being known as “the windy city” Chicago faces relatively low risks of severe winds, nor is it prone to other natural disasters such as flooding, earthquakes, and wildfires. This makes it a safer location for critical IT infrastructure, offering businesses improved disaster resilience and business continuity.
Chicago is home to a large, highly educated tech workforce. Businesses with colocated systems can easily find local IT staff for support, maintenance, and expansion projects, helping to keep operations running smoothly.
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