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5 Advantages of Colocation Vs. On Premis...

5 Advantages of Colocation Vs. On Premise Hosting

5 Advantages of Colocation Vs. On Premise Hosting

NetShop ISP

NetShop ISP · Blog Author

Dec 20, 2021 · Colocation

Colocation and on premise hosting are two solutions that corporations often have a hard time deciding between. After all, choosing the right hosting solution has a huge impact on the efficiency of business operations, so in this article we’ll break down the five biggest advantages of Colocation compared to On Premise Hosting.

What is Colocation

Colocation, or Colo as it’s often called, is the act of renting space within data centers to house servers and other hardware. Typically all of the equipment housed in Colocation facilities are privately-owned and managed by the businesses, although some Service Providers offer hardware procurement and IaaS too. Colocation data centers usually rent out space per unit (PU), or as quarter, half or full rack, as well as rooftop space in some circumstances.

5 Benefits of Colocation


Probably the biggest benefit of opting for Colocation over on premise hosting is the fact that you will effectively be moving your equipment into state-of-the-art facilities that already have the necessary resources in place.

Colocation data centers are built for performance, with the capacity to correctly store and maintain high volumes of data, with effective power and cooling systems, and multiple bandwidth and connectivity options. Implementing and maintaining the physical and networking aspects in-house requires a lot of work, whereas opting for Colocation means the key components are readily available as soon as you move in.


Colocation facilities are designed to withstand disasters and other incidents like flooding or fires, with stringent precautions being taken to guarantee data and hardware protection. By opting for Colocation hosting, your equipment will also be stored in optimal temperatures with advanced cooling systems to ensure your servers don’t overheat.

Colocation data centers will also have redundant power supplies in place that guarantee business continuity and minimal downtime that can potentially be detrimental to your business. 


In order to house your servers within your premises safely, a huge investment is required in terms of initial set-up and ongoing maintenance. The costs of building your own facility quickly add up, with many variables that need to be taken into consideration, from physical infrastructure to ongoing energy costs.

Colocation hosting definitely proves a lot more beneficial for your budget as these costs are effectively split between numerous customers. You also won’t be faced with any unexpected expenses, as everything you need will be included in one comprehensive agreed-upon plan.


Colocation data centers offer second-to-none protection of data and equipment, with strict physical and cyber security solutions in place. Servers are kept safe from intruders with multi-level access authorization protocols, 24/7 CCTV and on-site surveillance. Not to mention, precautionary recovery solutions that can keep your business operating in the event of a disaster.


With extensive resources already in place, Colocation facilities make it easy for businesses to expand seamlessly in a way that may not be viable when opting for on premise hosting. In terms of both physical space and bandwidth, Colocation offers a simple solution to business development without consuming excessive amounts of time and money.

NetShop ISP’s Global Colocation Solutions   

Our state-of-the-art, fully-compliant data centers in global locations including Cyprus, Malta, the Netherlands, the United Kingdom and Los Angeles provide optimal housing for servers and other hardware, including rooftop space for satellites.  Browse our range of Colocation plans and locations here, or get in touch with our team with any enquiries.

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