Managing IT infrastructure becomes increasingly complex as businesses grow and digitize. 

As a result, data centers have become a requirement to cope with their expansions. Countries like Indonesia have started building many more data centers as the economy grows, and in Jakarta alone, there are a lot more Tier 3 Data Centers. Tier 4 Data Centers are also starting to grow as they were just introduced a few years ago. 

Building and maintaining private data centers can be costly and challenging, especially for companies needing high reliability and scalability. This is why colocation data centers offer a powerful solution. By housing your servers in a purposely built data center, businesses can benefit from world-class infrastructure without the heavy operational burden.

What is Colocation?

Colocation refers to housing privately owned servers and networking equipment in a third-party data center or a purposely built data center. Instead of maintaining their data centers, companies can rent space, power, and cooling to ensure their equipment is secure and operational 24/7. 

How Does Colocation Data Center Work?

When one is colocating in a data center, the facility provides the space, power, cooling, and security for businesses to house their IT equipment. 

Unlike traditional data centers owned and managed by a single entity, colocation facilities rent out space to multiple companies and already provide all the needs of the infrastructure. Businesses only need to bring their servers, storage devices, and networking equipment while the provider maintains the facility’s infrastructure, including physical security and environmental controls.

This model allows businesses to retain full control over their IT hardware while outsourcing costly and complex facility management to experts.

These Data centers like BDDC, especially with Tier 3 and Tier 4 standards, provide procurement solutions, ensuring your colocation needs are met precisely and efficiently.

Difference Between Colocation and Privately Owned Data Center

A data center is a dedicated facility owned and managed by a single company or organization to host their IT infrastructure. All costs, from equipment to maintenance, are borne by the business. These data centers are typically designed for internal use and are often expensive to operate.

In contrast, a colocation data center is mostly in the form of an in-purpose building. 

It is built by a third party and a shared facility that offers businesses space and resources to house their servers and IT infrastructure. Instead of bearing the full responsibility of running a data center, companies rent space and services from the colocation provider. This allows them to save costs on building infrastructure, electricity, cooling, security, and human resources while focusing on managing their IT equipment.

Why Do Companies Choose Colocation?

In Indonesia, most businesses choose colocation for several reasons. 

Mainly, it allows companies to maintain full control of their hardware while leveraging the infrastructure of a robust, secure, and reliable data center. Colocation provides essential services such as generators, network redundancy, and operators and technicians, without the need for a company to invest in building and managing its own data center. Especially since the colocation data center is purpose-built, companies can rest assured that their infrastructures are placed in buildings who has expertise in these complex subjects.

Key Features of Colocation Data Centers

1. High Reliability

Colocation data centers are designed with multiple layers of redundancy to ensure high availability. Facilities typically offer backup power generators, redundant network connections, and sophisticated cooling systems, which significantly reduce the risk of downtime.

In Jakarta, where most of its data centers are a minimum of Tier 3 standards such as BDDC, most businesses will find that these facilities do not tolerate blackouts. The facility is designed to quickly switch to its generators should a blackout occur with an estimated of 1.6 hours downtime a year. As for Tier 4 Data Centers, their estimation of downtime is 26.3 minutes a year, making it a lot more reliable than other Tier standards, which BDDC provides. 

2. Ready on Service

Building and maintaining a private data center can be extremely costly, and it’ll take a lot more time to build. 

Colocation data centers already provide the spaces needed, allowing businesses to lease space and resources without planning to build a data center from scratch, avoiding high capital expenditure while ensuring their infrastructure remains resilient. This is particularly true for industries such as banks, where their data is updated nearly every day and 

3. Scalability

Colocation services offer the flexibility to scale as your business grows. 

Whether you need additional space, increased bandwidth, or more power, colocation providers can quickly accommodate these needs without disrupting operations. 

Who Benefits from Colocation Data Centers?

1. Financial Institutions
   Banks and financial institutions rely on colocation for continuous uptime and enhanced security, ensuring transactions and data processing are not interrupted.
   
   
2. IT and Communication Companies
   Tech companies often use colocation to ensure their services run reliably without having to manage the underlying infrastructure.
   
   
3. E-commerce Platforms
   Downtime can severely impact e-commerce businesses. Colocation helps ensure online platforms remain accessible, securing customer trust and sales revenue.
   
   
4. Government Agencies
   Government departments benefit from colocation by securing critical infrastructure while ensuring compliance with regulations regarding data handling and availability.
   
   
5. Multinational Corporations
   Global companies utilize colocation for interconnecting offices worldwide, ensuring seamless communication and data exchange across borders.

Why Choose BDDC for Colocation Procurement?

BDDC provides seamless procurement solutions for government and corporate entities, offering access to Tier 3 and Tier 4 colocation data centers. With our expertise in IT infrastructure, we ensure that your equipment is housed in reliable facilities that meet your operational requirements and growth needs.

Final Thoughts

Colocation data centers offer reliable, cost-efficient, and scalable infrastructure solutions for businesses of all sizes. Data centers such as BDDC are committed to providing top-notch procurement services for your colocation needs, ensuring your infrastructure is always secure and operational.