Advantages of Colocation

Are you considering getting into a colocation arrangement? It could be a very wise decision you would take. Colocation would enable any business with limited capital and resources to own an online server at much less costs. The business could own a powerful server machine at half the total price by co-owning it with another company. These days, colocation is gaining more popularity. The reason is quite logical. Here are the main advantages of the arrangement.

Of course, the main advantage of colocation is that the cost of bandwidth ownership and operation is halved. For instance, a low-cost bandwidth DSL line for business grade with limitations may cost just about $150. With the same price, you could enter a colocation agreement with another company so you may be able to enjoy a facility or server with much higher bandwidth speed. This arrangement is more advantageous if online operation is crucial to your business.

You could rely on colocation facilities for better outage protection. During a long power outage, it may be necessary to operate a backup generator. Doing so would enable the server to continue running. If you are in a colocation agreement, your colocation provider would take care of this problem. If you are the colocation provider, you could use the arrangement to lessen the costs your business would shoulder on operating the costly backup generator.

In a colocation deal, the provider and renter co-own the server machinery. This way, if the machine gets too slow or if it lacks enough memory, they could easily, quickly, and simply upgrade that server. There is no need to wait for a third party or for a service provider to come and do the upgrade. More control is rendered to both parties, which is always advantageous.

Both owners of the server also own the server software used. There is no more need to rely on a hosting provider for the installation of tools or software to be used. The colocation provider could do it on its own. If the company decides to use ColdFusion or ASP, it needs to simply purchase and install that software without any hassle.

If there is a need to move, a small business could opt to leave the server up. It would run the entire time. The small business does not need to relocate the server as well. It may remain at the site of the colocation provider. This makes the whole process very convenient and ideal. What’s more? The colocation provider could also opt to bring about additional security for the machine. The server could be stored and at the same time maintained in a highly secured environment.

Most colocation servers are offering services allowing them to manage and maintain a server for an additional cost. This option is specifically useful if a small business does not employ its own reliable IT team. It is also useful if the office of the small firm is physically far from the location of the colocation provider.

Tracking Colocation

A vital concept of colocation billing that you have to be aware of is bandwidth charging. In general terms bandwidth refers to the amount of data per second that a connection can possibly handle. But when it comes to provider talk this is treated as the amount of data transferred with each server activity for a given billing period.

Normally the basic package consists of a standard amount of data transfer. This can be measured in terms of the allowable number of gigabytes. This can range from two gigabytes up to about hundreds. Once the customer exceeds the agreed data transfer parameters then extra charges will come into the picture. These charges can be in pennies or dollars per gigabyte.

Two methods are utilized in mapping out the billing for the bandwidth charges. The more common of the two is the 95th percentile which is usually used by large scale servers. The other one is called straight data transfer rate which is more suitable to small servers that only demand low bandwidth.

When the 95th percentile is tapped on, the amount of data transferred is identified by looking at the network port that is attached to the server. The provider checks this port every three to five minutes and the reading is recorded and stored in a database. At the conclusion of each billing cycle, the database is analyzed to determine the entry that is tagged as the 95th percentile for a specific overall size. Once such entry is present the bandwidth usage is computed by multiplying the billing cycle length with the 95th percentile rate.

Since most of the internet servers have a consistent traffic for majority of the billing cycle and with only several bursting traffic the 95th percentile method is the ideal one for most customers. Moreover, a large portion of network connections really become idle during times when they are indicated as idle. The 95th percentile only becomes disadvantageously expensive when a site works with a high sustained transfer rate for more than five percent of the time its link is running.

The straight data rate is aptly named since this method is very simple and straightforward. Billing is produced by summing up all the incoming and outgoing traffic for a certain billing cycle. Whatever the number that pops out via colocation server transfers the customer has to pay for it. Most of the time there is no complication but you have to be keen with the actual data traffic occurring to and from your server.

Before signing with a colocation provider make sure that no stone is left unturned. Think of how much data is needed to keep your site in good running condition. If you have no idea, then feel free to ask the provider for a more flexible agreement in terms of bandwidth charging. You can look for companies that offer lower rates per gigabytes or those that can offer a higher base bandwidth. Whether it is 95th percentile or straight data rate make sure that you have access to the documentation of data transfer to determine if it is executed accurately.

Handled and Unmanaged Colocation

After you have chosen to have a Web hosting server under a colocation cope, you need to select whether you would use managed or unmanaged colocation assistance. These are the main alternatives available to companies from most colocation services. The choice you would create would have an essential effect on servicing, hosting server demands, and overall costs. How could you determine which of the two to choose?

Managed colocation, also known as dedicated server rental, makes use of a preconfigured dedicated server. The selected software and applications within the service could be used within limits. Additionally, the provider is also taking responsibility in providing software upgrades to provided applications within the system. It includes general maintenance like backups, reboots, and hardware issues.

Managed colocation is specifically useful to small businesses with limited IT resources or individuals who do not have the technical expertise and inclination. It is also recommended to firms with less capability to handle mundane troubleshooting as well as maintenance. It should be noted that there are practical and logical restrictions for the use of this service. The managed server allows only supported applications to be processed and run on the servers. In this case, you would have no choice but to give up a need for a particular software application if the colocation provider does not provide that application. It could have limited usefulness.

On the other hand, if you aim to have a greater control over your need for a server, unmanaged colocation is for you. This service is ideal if a technical requirement of operating or running a server is demanding applications not supported by the colocation provider. As mentioned, you may opt to take a bigger control over configuration and your own use of the Web server. This way, this type of colocation service is different from the managed colocation.

As a customer, you would be required by your colocation provider to provide your own hardware. You would also be asked to manage every software and hardware on your own. Thus, the unmanaged colocation service could facilitate greater flexibility. The drawback of this service is quite obvious: there would be more work and effort on your part. This is the reason why this type is more recommended for small businesses or individuals with adept and sufficient technical capability and competency.

Overall, whichever you choose, your business would be bound to specific service agreements with the colocation provider. Most of such providers would have and implement clauses that would disallow specific activities, operations, programs, software, or application from being hosted and run on the server. It is important that you read the terms and conditions of the agreement very thoroughly before getting into any colocation arrangement with anyone. The list of items usually banned by providers includes mass emails and pornography.

This is because both are requiring a greater amount of online network traffic, which in turn could cause serious or severe problems eventually on the part of the colocation provider. Your business may not need to process such things anyway.

Monitoring Colocation

A vital concept of colocation billing that you have to be aware of is bandwidth charging. In general terms bandwidth refers to the amount of data per second that a connection can possibly handle. But when it comes to provider talk this is treated as the amount of data transferred with each server activity for a given billing period.

Normally the basic package consists of a standard amount of data transfer. This can be measured in terms of the allowable number of gigabytes. This can range from two gigabytes up to about hundreds. Once the customer exceeds the agreed data transfer parameters then extra charges will come into the picture. These charges can be in pennies or dollars per gigabyte.

Two methods are utilized in mapping out the billing for the bandwidth charges. The more common of the two is the 95th percentile which is usually used by large scale servers. The other one is called straight data transfer rate which is more suitable to small servers that only demand low bandwidth.

When the 95th percentile is tapped on, the amount of data transferred is identified by looking at the network port that is attached to the server. The provider checks this port every three to five minutes and the reading is recorded and stored in a database. At the conclusion of each billing cycle, the database is analyzed to determine the entry that is tagged as the 95th percentile for a specific overall size. Once such entry is present the bandwidth usage is computed by multiplying the billing cycle length with the 95th percentile rate.

Since most of the internet servers have a consistent traffic for majority of the billing cycle and with only several bursting traffic the 95th percentile method is the ideal one for most customers. Moreover, a large portion of network connections really become idle during times when they are indicated as idle. The 95th percentile only becomes disadvantageously expensive when a site works with a high sustained transfer rate for more than five percent of the time its link is running.

The straight data rate is aptly named since this method is very simple and straightforward. Billing is produced by summing up all the incoming and outgoing traffic for a certain billing cycle. Whatever the number that pops out via colocation server transfers the customer has to pay for it. Most of the time there is no complication but you have to be keen with the actual data traffic occurring to and from your server.

Before signing with a colocation provider make sure that no stone is left unturned. Think of how much data is needed to keep your site in good running condition. If you have no idea, then feel free to ask the provider for a more flexible agreement in terms of bandwidth charging. You can look for companies that offer lower rates per gigabytes or those that can offer a higher base bandwidth. Whether it is 95th percentile or straight data rate make sure that you have access to the documentation of data transfer to determine if it is executed accurately.

Factors to Consider when Choosing a Colocation Provider

You are actually entrusting your Web server to another company if you decide to get into a colocation service. That is why you should be very careful and cautious when choosing a colocation service provider. You would need a server that is reliable and trustworthy because your IT requirements are at stake. You simply could not choose just about any provider that comes your way.

You should be familiar of certain factors. First, determine if the service is managed or unmanaged colocation. Colocation service is simply more costly than normal Web hosting. But it is something your business needs. Managed colocation is more expensive than unmanaged colocation. That is because the provider is committed to provide everything from tools, software, and applications to maintenance of the server. Unmanaged colocation is less costly but you need to be more technically adept because you would be responsible for your own server usage. However, it could give you more flexibility.

Other factors need to be considered. The first is facility. Know where the server would be physically located. Under a colocation service agreement, you do not need to have a space for storing your server. The provider would take care of it. You would be like renting that space for your co-owned server.

Be particular about the physical infrastructure. You know that natural disasters could inevitably occur. You have to make sure the server as well as all the data contained is always kept safe and free from any physical harm from the environment. The security and access to the server is also important. You certainly would not allow just anyone to get into the location of the server. It is important to be rest assured that the server location and storage facility would only be accessible to authorized personnel all the time to avoid possible sabotage.

Not all online connections are made equal. This is the reason why you should be particular about the bandwidth involved. Look at the IPs or Internet providers involved. If you intend to use features like private name servers, anonymous FTP, or game servers, you need to demand for multiple IPs. Your Web host must be checked so you could determine how many IPs provide servers, and of course at what cost.

Look at support options. This is particularly important regardless of what type of server hosting you use. Make sure personnel working on the servers are knowledgeable, reliable, helpful, and trustworthy. Find out about uptime guarantees provided. It is important that your server host set proper guarantees regarding performance of the Internet connection.

Find out about cross-connect service, which is a more advanced feature that comes with colocation. You could physically co-locate your Web server with a provider while at the same time you get an online connection service through another host. There could be additional costs, called the cross-connect fees.

Lastly, be particular about your colocation contract. Be reminded that the fine print is very important. Do not overlook terms of the service, contract duration, fees, and uptime guarantees.

Costs Related to Colocation

Basically, colocation is a service wherein a small company is made to rent or co-own a Web server, which could be originally owned and run by another business. Many companies offer services to other firms or to individuals who need to own their own server.

Colocation could be managed or unmanaged. Managed colocation services are those that provide full service to a customer. The colocation provider agrees to take care of everything from maintenance to provision of software and applications. The user could rest assured that the server is properly taken care of all the time. This service is best for small companies without sufficient and competent IT support team.

The unmanaged colocation service is the more preferred by companies or individuals with technical expertise and skills. This colocation service allows the user to take a greater control of how the service would be used. The customer would be required to provide and use its own software, tools, and applications. This service is less expensive compared to the other.

There are usual costs associated with the use of colocation servers. These are rental fees and connection charges. Before you get into any colocation agreement, it would be appropriate if you would first be more exposed and familiar with the two.

Rental fees are costs associated with having the server located or stored in the colocation provider’s own datacenter. The measurement is usually the height of the server being hosted. In most cases, servers are in 1U or 2U configurations. In other cases, servers could be significantly larger, about 3U or 4U in configuration. In simple terms, a user is made to rent the use of the Web server. This is actually what colocation is all about.

Connection charges also apply. Instead of measuring total volume of gigabytes being transferred every month, connection average could be preferably used. For example, in a 1 mbp/s connection, the user has an average of 1 megabyte of data transferred every second for a whole month. The concept of fees associated with colocation could get further complicated.

There could be issues about how the data transfer is actually measured. Some take the amount or volume of bandwidth used within a month. The number is divided by the number of seconds in the month. The more popular option is the use of the ‘95th percentile’ wherein the bandwidth measurement is actually taken every five minutes. By month-end, top 5 readings are discarded. The highest remaining reading that is left is what is used in billing the user.

The second issue regarding colocation involves burstable connections. There could be a higher transfer rate when there is a sudden burst. Using the 95th percentile, there is no need to make sure the connection is burst more often.

In the end, costs are influenced and dictated by the colocation provider. You have the option to agree or disagree on how billing would be computed. It is important that before you get into the colocation agreement, you fully understand what is up for you in your use of the service.

Colocation Myths Exposed

In the small and medium-sized business circles, colocation had gathered some of the more off-the-wall myths. Probably because it offers solutions in a totally different background, colocation is prone to misconceptions.

Unfortunately, these myths can cloud perceptions and certainly affect decisions. The following are some of the more oft-repeated and widespread myths on colocation going around that you need to know.

Inconvenience

Convenience does not depend on the host you choose and where they keep their data. Today, your IT staff can remotely handle most equipment and configuration work.

It does help to have your staff and your equipments close to each other, but on extreme cases, your people can always go to your colocation site to upgrade equipment or software.

Still on the plus side, your colocation facility can provide more space and better equipment organization.

Uncertainty 

Depending on your own security implementations, your colocation equipments are generally more secure in a colocation facility. Because it is their business, colocation companies equip their facilities with the latest in firewalls, IDS (Intrusion Detection System) and the assurance of a solid physical security (duly monitored cages).

This level of security and the wide array of security technologies may not be affordable for small businesses.  Also, the staff of colocation facilities keeps your security patches up-to-date themselves.

Another web hosting scheme

There is a huge difference between a web-hosting deal and a colocation arrangement.
In web hosting, your site’s programming code is located inside another business server which is owned by the web hosting company.

In a colocation environment, your company’s equipment and software is physically located in the colocation company’s data center. Your company’s site has its own server and support components.

Web hosting companies usually handle thousands of web site users which your company has to share. In short, your company located in a colocation facility does not compete for critical server resources, bandwidth, storage and CPU. Glitches in other web sites (that usually happens in a web hosting setup) do not affect your business site.

Unreliability 

Most colocation centers have redundant Internet connections, power sources and backups. Usually, they run at minimal capacities (less than 80%) so that competition for bandwidth is done away with.

Also, colocation centers employ IT professionals to handle outages and other technical problems on-site.  

Limited support 

Colocation services have all the support for their clients – physical and network security, data recovery, power systems, and more. These companies even offer customer service by way of emails and phone support and where IT professionals can be reached.

Managed service contracts are available to keep your company’s servers fine-tuned, including hardware and software upgrades. The support is only limited by your budget for these colocation services.

Inflexible 

Some colocation services offer servers and other components but they can be flexible. This happens when all you rent in a colocation facility is space and connectivity where the servers and the software belong to your company.

This is where you control over what software runs on your company’s servers and how powerful those servers can be. On the other hand, the speed of servers and the available software to run them in a web-hosting arrangement are limited to what your host company can provide.

These are some of the more popular myths perpetrated by people who are less familiar about the nature of colocation and its advantages.

Colocation And Systems Redundancy

For medium and large-scale businesses, colocation is turning out to become more and more accepted. Outsourcing the facilities of your business (housing the equipments in another location) has become cheaper and more convenient.

One risky point that has to be addressed, however, is the question of inadequacy in the redundancy of their facilities. Most colocation facilities, thankfully, are built with the time-tested principle of redundancy.

N+1 formula 

In a business of virtual information and systems, redundancy is factored in to ensure security, based on the N+1 blueprint.  This means that any particular system must have the capacity it needs, plus one additional unit.

For instance, if the power system has two UPS (uninterrupted power system), both should be running only at a 50% capacity. In the event either one fails, the other can take over without overloading. There are three critical points in a colocation facility that must have redundancy.

Power 

The biggest consideration for redundancy in a data center is the power system. A power outage could bring down your server hardware, your climate controls, your fire suppression system, and your connection.

In effect, a single failure and the whole operation goes down. In view of this total disaster, there is a need for the host to have a redundant set of power sources that includes UPS (uninterrupted power system) and backup generators.

Cooling 

A small personal computer has a set of air pumps and fans inside to keep it from overheating. In a busy colocation facility with several servers running at full power, the amount of generated heat can crash the whole place in minutes.

Colocation facilities are always to be equipped with redundant cooling systems that stay operational 24 hours a day everyday. These are usually taken up by CRAC (computer room air conditioning) units that pump cold water through the server room to prevent hardware overheating.

Connections 

For a company’s business to enjoy the best in a colocation setup, connectivity must also be redundant. This should be true for both the service and the network hardware (routers, switches, etc).

A redundant service would ensure that multiple internet backbones are available for reliability and performance. In addition, the connectivity levels should be able to ensure low latency and packet loss. This means that even if a major backbone fails, your connection should still remain stable and your site still online.

The right colocation 

To find the right colocation facility for your business means asking pertinent questions and extracting as much information as possible from prospective candidates. It is a given that these facilities are unique and they have the right specs and redundancy measures.

Still, you need to find the correct specifics for your own system to fit theirs, especially with regards to power, cooling and connectivity systems. You need to know the number of units (for your present and future projections), the load per unit and how redundant their systems are.

When you hand down your infrastructure to another company’s data center, it is only fitting that you have to be selective in terms of your needs in the redundancy of their power supply, cooling and connectivity facilities. In a colocation setup, your business depends on the reliability of your partner.

Choosing A Colocation Provider

Web hosting businesses (which may include yours) usually start small. However, as you grow, investments in hardware and others also grow by leaps and bounds. As online business trends go, colocation becomes a viable alternative.

Outsourcing one’s entire operations to an offsite data facility of another company takes one hard punch of decision-making. Of course, this kind of decision should not be done without the usual preparatory probes and questions.

Costs 

As in everything else, the first consideration in any business transaction is costs or the prices of the services or goods. Nobody wants to overpay but the old adage of “you get what you pay for” still holds true.

In effect, your search in terms of costs should focus on quality instead of the “advantage” of a cheap price. The low investment outlay might be countered in poor service or some such aspects. It could result in expensive (from your company’s standpoint) downtimes cause by poor facilities or services from your colocation partner.

Support 

With web hosting, support availability is critical in a colocation setup. This is one very important aspect in your choice of a colocation partner.

Most colocation companies offer support 24 hours a day everyday by way of phone and emails. Others offer help in live chat sessions and support tickets. However, there is a need for a fast turn-around time because problems can happen just as fast in trying to connect or set up the server.

Redundancy 

In a business that deals with very critical data and information exchange, it is essential that the facilities must be redundant. This means that power, connectivity and cooling systems must have backups and extra sets for use during emergency situations.

The colocation facility must have power backups in case of power failure (extra generators and UPS units). It must have extra connectivity systems in case of hardware crashes. Ventilation and cooling systems must be backed up by another working system to take place in case of emergencies.

Guarantees 

Is there some kind of a money back guarantee with your colocation provider? Because of competition, some companies offer several perks and other deal-sweeteners.

At the very least, there are those who offer a 30-day money back guarantee to prove their confidence in their product. This might lessen some of your frustrations once you are dissatisfied with their service and decide to change hosts.

Waiting time 

The old saw “time is money” still holds true with colocation and more so because yours is in the web hosting business. Avoid any colocation host that requires you to wait for more than a week to get your server running.

If a company takes an inordinate time to get your company connected online, this same kind of service might be duplicated in those critical times when you need their support.

Your choice

There are factors to consider in deciding to go into colocation hosting, and these are all specific to your present situation. If your finances are limited, a dedicated server will do for the moment.

If you are sure of colocation hosting is best for your company, make sure you evaluate your prospective colocation providers as thoroughly as you can. The life of your company depends on it.

A Colocation Must

Space is a significant facet of a colocation facility. The specific size and condition of this physical area affects the performance of the server. There are two terms that refer to space in colocation. These are racks or Us and cabinets.

The rack design has been officially made to have a measure of 19 inches. This has facilitated for standardized sizes of networking equipment especially computers and easy placement of these equipment inside the racks. The 19 inches here refer to the spacing of the horizontal mounting for each stand or cabinet present in the actual server site.

The height of the machines and devices placed inside the rack used to have variations but then an official size was determined to arrive at a more universal height. The U or standard height unit entered the fray. Its measure is about 1.75 inches. The number of Us marked on a specific server component indicates its height. For example, majority of the present networking devices like switches are 2U while drive arrays are 4U.

The number of Us needed to put up the hardware within the colocation facility is utilized to indicate the base price of the server. Large 2U systems can cost more than that of a single 1U server. Moreover, server costs are influenced by the cost and equipment required to fill up the space. Expansion cards located in desktops usually function better when they are housed inside a 4U server case.

Cabinets are 47U racks that are commonly used for equipment mounting. Cabinets are tagged as closed or cage when a locking door panel is present. This increases the amount of security for the hardware placed inside the colocation site. These racks are the ones usually handpicked by larger companies that demand more space for added servers and storage arrays.

There are cases when providers would suggest a ¼ cabinet when they think that a machine is not mountable in a rack. A ¼ cabinet which is around 12U is part of the variation called partial cabinet. There is also a ½ cabinet which has a measure of 24U.

Providers do not only help customers via the space they have for rent. They also offer alternative power mechanisms that are systematically installed within the site. During unwanted power breakdowns backup power sources come to the rescue. In order for these sources to work in good condition the provider must have a clear picture of the system’s power usage.

Amps enter the scenario and create a relationship with the amount of space needed to push through with the server setup. It is up to the provider to assign a specific number of amps. The usual ratio would come as one to two amps for every U that is part of the rental.

Now that you have an understanding of the role space plays in colocation services it’s up to you to determine how you can effectively create a facility that will help boost up the performance of your hardware. Make sure that you pick the best offer from a company that is competent enough to maintain the very heart of your business.

What is Colocation?

Internet has altered the business landscape these days. Now, companies need to take care of Information Technology aspects of their businesses. If you are running a small, home-based, or medium-sized enterprise, you surely are very much concerned about Web hosting. Other than that, you may be considering collocation.

What exactly is colocation? Is it necessary? To begin with, colocation is a Web hosting option specifically designed and structured for small businesses. The service is particularly suited for minor firms that aim to enjoy features of huge IT departments, but without the adjoining and appropriate costs. Most huge corporations and businesses invest in major online infrastructures so they could be able to host their very own Web servers. They even employ numerous IT professionals who manage and at the same time design their online sites.

Small and independent running companies are usually not capable to do the same. That is because logically, such minor businesses need to take care of other operational costs. Their capital and resources are limited. However, for such small firms, there is currently a broad range of options from simple Web hosting to running Web servers from a dedicated online connection. One option for the latter is collocation. There are more than enough reasons why small businesses prefer to use colocation.

Colocation is allowing a small business to place its own server machine into another business’ rack. They may agree to share a single bandwidth. In general, colocation is costing more than the usual and standard Web hosting. However, it is less costly compared to the amount needed to buy and operate a bandwidth on your own.

Once a machine set up is oriented, it could be physically relocated to the site of the colocation provider. This way, it has to be installed into the rack of the bandwidth owner. Another option is to rent an online server machine from the bandwidth owner or colocation provider, which then gets the responsibility to provide an IP, power, and bandwidth into your business’ own server. When the system gets up and running, your business could easily and conveniently access it just like you could access a Website within the domains of a Web hosting provider.

This way, it could be easily inferred that colocation is an important process that small businesses should opt for. If a small firm is aiming to save on costs but could not afford not to own a bandwidth or server, colocation truly is a necessity. Small companies that need to run blogs or personal Websites do not need colocation. Instead, they could opt for Web hosting services. If a server is required because there is a need for more robust online operations than what Web hosting could provide, colocation is the best option to take.

One word of caution, though. It may be difficult to find and deal with colocation providers. A business operating in a community where there are other existing businesses may proceed to ask other larger companies if they are offering colocation services for small players.