Shifting business needs are creating new demands for colocation

HomeBlogsShifting business needs are creating new demands for colocation

With our ever-growing dependence on new technologies, such as cloud and virtualisation, the modern company has evolved to run on its data. So it’s no surprise that the data centre now plays a crucial role in driving the business whilst providing a competitive advantage. Today, data centre strategy has never been so important and with a continuously changing business landscape more and more are turning to colocation. In fact, we’ve recently expanded two of our data centres in Europe; one in London and one Hamburg, to meet customer demand. With an additional 2MW of power added to the two sites the uptake in colocation shows no signs of slowing down. According to a recent MarketsandMarkets report, the European market for colocation is expected to grow at a Compound Annual Growth Rate (CAGR) of 17.6% over the next 5 years. But why are so many companies now choosing colocation as a data centre strategy?There are a number of reasons why businesses are opting for a colocation solutions provider. With colocation, companies rent rack space within a third party facility. The data centre provider supplies all the power and cooling infrastructure, and can offer associated services, with varying degrees of management and control. Not only does this remove the big capital outlay associated with a data centre build, but customers can enjoy peace of mind in knowing their data is housed in a reliable and secure facility.There’s also an added benefit of increased scalability and improvements in flexibility that you can achieve with an outsourced approach. Something we examined in our recent whitepaper series, Four forces of data centre disruption. Growth in colocation, and the expansion of both our London and Hamburg sites, are great signs for rebounding businesses. It means more CIOs are focusing on their data and where it resides. They realise the importance of the data centre in delivering success for both the company and its customers and need a facility that can expand quickly and cost effectively to meet business demand.At Colt, colocation will continue to remain at the heart of our data centre solution portfolio. To find out more about our London and Hamburg data centre expansions, read the full announcement here. Or if you are thinking of moving towards a colocation strategy, why not take a virtual tour around our London 3 data centre here. Also keep any eye on our resources page for our new colocation whitepaper, due to be released shortly.

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