What is Colocation Server? Definition, Advantages & Who Uses It

Colocation Server

Server, a data center that contains various kinds of files, commands, and much more that supports a computer network. If you briefly imagine the meaning of the server is something like that. There is one type of server that you may not know about because this server is indeed a server with a large scale and is fairly expensive to rent and is used for professional use. Is a colocation server.

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Have you ever heard of colocation servers? If you’ve never heard of it, let’s thoroughly dive into colocation servers, starting with the meaning, advantages, and who actually needs to use this type of server.

Explanation of Colocation Servers

In server colocation, the server remains the property of the client organization but is maintained, managed and monitored by the MSP or cloud service provider. The client or organization accesses the server via the internet or a VPN connection. The main goal behind server colocation is to avail enhanced IT support services on key IT infrastructure or servers without incurring huge operational costs.

In addition to support services, servers are also equipped with IP services, bandwidth, physical security, power and backup to colocated servers.

It is similar to dedicated server hosting, where the dedicated server is hosted at an MSP facility or data center, but differs in the fact that the server is provided by the customer or organization.

Comparison Between Cloud Service, Private Cloud, and Colocation

Usually, this is compared to cloud services and also private clouds. Why is that? Yes, because of course, because the three of them still tend to be almost the same because they are both servers.

If you are still confused about the comparison between the three, here is the explanation:

Cloud Service

Cloud service can be likened to a public cloud service or public cloud. Cloud services provide offsite IT services and infrastructure through a network that is open to the public. Hosted customer applications share storage and compute resources with other tenants on a single host, in a multi-tenant architecture.

It is a great solution for organizations looking to reduce upfront costs while retaining benefits such as reliability, scalability, security and flexibility.

Private Cloud

Private cloud refers to private access to physical resources in the data center. Private cloud is basically a cloud computing service that is offered through a private network and only for certain users, not the general public. It provides benefits similar to a public cloud, including scalability and self-service, but in a privately accessed network.

Private cloud is only owned by one person and that person is the owner of the cloud service. You have complete control over what you can do and how you can adapt it to suit your needs.

Colocation Cloud

On the other hand, colocation is when you take your existing IT infrastructure, including servers, bandwidth, and network equipment, and place it back inside a secure data center.

Colocation offers complete control over your data location and hardware settings.

Colocation mainly falls under the private cloud category and the difference lies in how the data is managed and stored. In a private cloud, servers and other resources are owned by the cloud provider and data is managed virtually.

Colocation Server Type

When you have decided to rent it, then you will be faced with two choices, do you want to use a managed server or an unmanaged server.

What’s the difference between the two?

Managed Colocation

Managed colocation can be interpreted as a dedicated server that is rented out. Providers usually have a dedicated server that has been configured to certain specifications with software applications on it that users can use. And not only that, providers usually also provide software upgrades for the applications provided on the way and maintenance such as reboots, hardware problems and may include data backups.

This type is indeed not suitable for people who are still new and don’t really understand how to manage servers, especially for those who still don’t have time to take care of servers.

Unmanaged Colocation

The second type is unmanaged colocation. This kind of service is very different from managed services. Users must set up hardware and manage all hardware and software on their own. This allows for greater flexibility, but lacks a lot of work for the user to do alone.

Benefits of Using Server Colocation

Maybe you have started to be interested and choose the type that suits you. However, wait a minute! It’s time for you to find out what you can get from using a colocation server.

The benefits of using a colocation server include:

Cost Optimization

Maybe indeed this is one of the reasons why many large companies or agencies are in great demand, is cost optimization. With you being able to arrange for yourself what server needs you need, of course you can optimize your company’s expenses by using a colocation server instead of other types.

Control and Control

This server requires you to be able to control and control your own server. Of course, this will really require special energy and time to take care of the server. However, with this you can get full control and control for your server.

Faster Response Time

With a colocation server, you can get a faster response time because the software and hardware have been verified. You can also add RAM to make the response time faster.

Greater Bandwidth

Colocation allows a business to store equipment in a secure facility with bandwidth, power and public IP addresses provided by a third party service provider. The bandwidth offered and you get will be guaranteed to be bigger.

Cooling System

On servers, the cooling system is indeed very important to maintain the temperature from the heat. This will avoid server overheating. Servers with good temperatures will run smoothly and optimally.

IP address

The IP address will be given to you as a facility from the colocation server to provide access via the internet.

Unlimited Power

Data centers offer power redundancy. Using a combination of multiple power grids, generators, battery backup systems, and excellent maintenance practices, colocation centers ensure they have power even when you don’t.

Onsite Monitoring

Colocation server is a service that has technicians to monitor the facilities that are owned every day and there are no holidays. This service will be useful to help you when a problem occurs at any time.

Advantages and Disadvantages of Colocation Server

From the explanation of the colocation server above, there are some advantages and disadvantages of using a colocation server including:

What are the advantages of Colocation Server

As for some of the advantages of colocation servers such as security, reliability, facilities, performance, scalability, and efficiency, the following is an explanation:


Colocation server is a high security service, in which this physical or non-physical security is guaranteed. The service provider will protect the server non-stop 24 hours. So because of that you don’t have to worry anymore about types of attacks such as data theft or viruses.


Server performance will be guaranteed because this service uses adequate technology. Which call it like a generator, spare battery or stabilizer. That way the risk of various electrical current problems can be avoided.


This server colocation service provides ideal facilities to support server performance. The facilities in question are the climate control system, cooler, and others. For server protection, it usually has fire detectors, extinguishers, and CCTV installed.


Server colocation offers high performance, speed, uptime. This service is available with a very large bandwidth level to support all server needs.


This colocation server can improve server facilities and infrastructure if needed. The development of the company’s website will continue to grow which requires adequate systems and facilities.


This server service is able to save energy and costs. You don’t need to buy other facilities such as server racks, coolers, fire detectors, to server management staff. This data center service provider has provided everything.

What Are the Disadvantages of Colocation Server

In addition to the advantages of colocation servers, they also have disadvantages, including:


Most data center service providers are usually only in big cities. If the location of your company or where you live is in a different city, you also need to sacrifice time to visit a data center service provider.


Service providers usually have several rules of their own, namely the terms of the visit schedule. You can manage or access the server freely. These activities can only be done at certain times.

Who is suitable for using colocation servers?

The cloud and hosting managed by 3rd parties will make it easier for companies not to create their own web server. so most colocation hosting users are hosting providers themselves. as for some users who are suitable to use it.

Cloud provider

Server colocation is a very well-known service that cloud-based infrastructure providers are very familiar with. Which using this service, cloud providers can lease their server space and provide server access to cloud users.

Tech industry

Apart from cloud providers, users in the IT sector are suitable for using colocation servers because it can make them focus on other jobs that are more important than taking care of servers.

NetData is a company that provides technology-based services with the best service and quality, if you are interested in us you can contact us directly via this link or via our contact form here.


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