IT organizations across the globe are now favoring multitenant data centers. Such global corporates believe that as service providers, contact centers present a cost-effective and highly flexible business model which is way better than building an in-house data center. No wonder colocation centers are mushrooming in every part of the globe to support IT functions for SMEs and large organizations.
The bright prospects of colocation hosting are mainly influenced by industry shifts. Thankfully, at present, 2 primary trends are favoring the progression of this service. These are:
- Implementation of cloud-based solutions
- Remote managed IT services (RMITs)
Cloud is in favor of colocation services
Enterprises across the globe are always in the lookout for cost-cutting opportunities. This is because with every passing day, information and data storage needs are expanding. This has paved way for the next biggest growth driver in the IT world which is ‘Cloud’. With cloud computing, demand for colocation will grow in the coming years. So it is clear that the future will witness hybrid environments which comprise of both cloud and traditional colocation services and together they will drive businesses.
Colocation strategies that have been running environments on their own generally employ a colocation host provider for management. This will lead to service improvements, more productivity and lesser paring costs. So RMITS will allow service providers with the opportunity to offer well-managed IT services from a remote location via full-bodied network connectivity. This model will eventually resolve issues within companies which do not want to invest in dedicated IT resources at every location. No wonder more and more companies are now exploring technology that comes through minimum investment. This is a drive to attain better cash-flow. Therefore, RMITS will let companies to shun unnecessary overhead costs on resources, talents and remote storage services.
Thus, it is clear from the upcoming industry trends that cloud computing has been and will continue to boost cloud based services. This will especially occur at all colocation sites of data centers as companies are successfully overcoming cloud security concerns today. Moreover, cloud in every possible manner, is fuelling colocation hosting services through its steadfast hybrid model.