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The pace of digital transformation is reaching unprecedented levels, resulting in a massive influx of data. Organisations across sectors have been restructuring their infrastructure to meet the evolving digital needs of businesses, operations, and customers. In this landscape, data centers have become the focal point for any business, regardless of its scale, technology, or the nature of digitalisation. Third-party colocation data centers in India are increasingly being preferred by many enterprises, a trend that has been observed during and after the pandemic.
Building An On-Prem Data Center
An on-premises data center’s construction is a challenging task that calls for thorough design, rigorous execution, and a solid infrastructure. The procedure entails several steps, such as choosing the location and size of the facility as well as purchasing and configuring servers, networking equipment and storage devices. There must be adequate power supply, cooling, and physical security measures to ensure the data center’s smooth operation and protection of valuable assets. The design should account for scalability and future growth, allowing for easy expansion and accommodating evolving technology requirements. Establishing an on-prem data center calls for a comprehensive approach, combining technical expertise, strategic decision-making, and adherence to industry best practices to create a resilient and efficient computing environment.
Key ChallengesOf On-Prem Data Center
- Cost: Constructing a data center is a substantial investment, even for large enterprises, as it entails significant upfront capital expenditure (CapEx).
- Land procurement and approvals: Enterprises excel in their core business but may struggle with the cumbersome processes involved in procuring land and obtaining approvals, especially in markets like India.
- Design and construction: Engaging data center design and engineering experts further increases the upfront capital requirements.
- Supply chain: Procuring specialised equipment and hardware involves dealing with numerous vendors globally, which adds complexity to the process.
These challenges can impact project completion timelines and time-to-market, which can have a significant impact on businesses.
Leveraging Expertisewith Colocation
Colocation refers to housing several servers and networking equipment at a shared data center facility. It allows enterprises to securely store their infrastructure while benefiting from robust connectivity and power infrastructure provided by the data center. It is a cost-effective solution for companies seeking reliability, scalability, and reduced maintenance burdens.
Colocation can address many of the challenges associated with building an on-prem data center. Here are some of the benefits associated with colocation.
- Faster Time-to-Market:By choosing colocation, businesses can go live within a short timeframe, whereas building an on-prem data center requires additional time due to activities such as land parcel identification and purchase, approvals from government bodies, design and build, equipment purchase, etc. Domestic data centers have a better grasp of regional topography, and this is essential to the design and build of a data center.
- Scalability:It can be difficult and expensive to extend an on-premises data center given that as organisations grow, their data center needs increase. Colocation enables businesses to simply expand their infrastructure by utilising the extra room, power, and networking resources provided by the data center operator. This reduces the need for companies to spend money on new machinery, hire more people, and deal with the hassles of growing their own data center.
- Cost Advantage: Building a data center is an expensive endeavor, involving various elements such as power and UPS infrastructure, diesel generators, cooling systems, storage and networking hardware, and more. With colocation, enterprises can save major costs by leveraging existing infrastructure and sharing maintenance and operational expenses with other tenants.
- Network and Connectivity: Network and connectivity are crucial for data centers, as they determine performance and business outcomes. However, the cost of connectivity can account for a significant portion of the overall CapEx. Moreover, current restrictions on laying fiber further add to the challenges. Data center operators are better positioned to procure bulk fiber connectivity, eliminating the time and effort-intensive process of negotiating with multiple connectivity providers and offering greater cost advantages. The extended connectivity of data center operators with Internet Exchanges, content delivery networks, and cloud service providers ensures seamless connectivity to a wide range of services.
- Compliance: Maintaining compliance with various regulatory norms, guidelines, and industry practices involves complex considerations. Compliance with fire safety regulations is another critical aspect that requires careful attention. With extensive experience in design and construction, colocation data center facilities can simplify the compliance process and help ensure that your data center meets all necessary requirements.
In conclusion, when it comes to the decision of building an on-prem data center or buying a data center (colocation), the latter emerges as a compelling option for enterprises looking to optimise their operations. By leveraging colocation services, they can tap into an array of benefits including cost savings, scalability, enhanced security, and access to advanced infrastructure. The flexibility to focus on core business activities while relying on a hyperscale data center provider makes colocation a wise choice in today’s rapidly evolving technological landscape. With its proven track record of reliability and the ability to meet diverse business needs, colocation stands as a compelling solution that empowers businesses to thrive in the digital age.
