Colocation Vs Cloud Storage For Data Backup

Many businesses are attracted to the idea of cloud storage, but is cloud storage better than colocation? It is often a smarter, cheaper option for a business to use a colocation center rather than cloud storage. This applies to companies with highly used servers and daily workloads that rely on those servers.

Temporary versus Daily Storage

When a company uses cloud storage, it typically uses that storage for a temporary period of time. Therefore, it only pays for cloud storage for the time it is using the storage. When a company uses colocation, it is paying for daily hardware utilization and workloads, usually on a long-term basis.

The best example of this would be the comparison of buying a car versus renting one. When people rent cars, they do so for a temporary period of time and then return them. If, however, they are renting those cars daily, it would make more sense just to buy the cars rather than rent them. This is the same for colocation versus cloud storage. When a company requires peak performance from its hardware, it would be better off to purchase a long-term option like colocation. Cloud platforms, on the other hand, work best for the business that has low hardware utilization.

How Much Utilization is Needed?

Smaller companies typically use only 15% to 20 % of their hardware. But, mid- to larger-sized companies utilize much more than that. Business professionals are often curious about the amount of hardware that should be used in switching from cloud storage to colocation. However, this is not the only deciding factor.

A business should not only consider how much of its hardware is used but also what it is used for. High-capacity or mission-critical data stored through a cloud is not as secure as colocation. This is because colocation utilizes different redundant systems, securities and privacy measures than cloud storage. Cloud storage can still suffer from power outages, while a colocation center provides its customers with outage-free service. In addition, cloud storage may be more subject to online hackers or security breaches. Colocation centers have some of the same issues, but data is stored on physical servers and backed up often.


1359683653 17904 1Only the user can determine whether colocation or cloud storage is the right choice. That being said, most large scale businesses find the option of colocation more appealing than cloud storage simply for the security features. Businesses should look into colocation centers offering redundant systems that include power, water, cooling and Internet connection to ensure information remains safe. Preventative measures are not taken by all cloud storage services. This means a business that stores critical data in a cloud can run the risk of data loss or downtime, which will impact potential profits.

Business owners are encouraged to research colocation centers and learn the benefits and features of a colocation center and cloud storage. Then they can compare the services and make the best choice.  In most instances, the benefits of colocation centers outweigh the cost differences of cloud storage.

Many factors should be consider when evaluating colocation pricing.  Learning the features that set different data centers apart and how they impact cost allows readers to determine the providers value. Information on the Data Center that offer the best value can be found at

Rob Boirun

Rob Boirun

Staring in the storage industry in 1999, I worked for a DVD Burning API company that provided the burning engine for iTunes and other burning software. Today my love for all types of storage is being displayed here.

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