A data centre is a facility that houses the IT hardware structure and computer components of a company. The company can outsource the facility through a data centre solution provider or hire a data centre builder to erect its in-house facility. But which solution is more advantageous?

Here are the similarities and differences between outsourcing and in-house data centre facility:

1. COST

Colocation

The costs for utility, operations and energy are much lower in colocation data centre facilities than in-house. In colocation, the several clients that rent the facilities split the bill, reducing the burden of paying all these costs.

In-house

When building an in-house facility from scratch, the company pays for the property, data centre construction company, construction materials, operating costs, and maintenance.

2. CONTROL

Colocation

In colocation, qualified IT professionals will manage your data centre facilities; however, it also means they have greater control over its operations than the company that uses it.

In-house

The company has 100% control over the data centre facility right after the data centre builder finishes it. They will take care of the maintenance, operations, and troubleshooting.

Some companies need the guidance of a data centre consultancy to learn how to manage a data centre facility.

3. SCALABILITY AND FLEXIBILITY

Colocation

It is up to the data centre solution provider if they would scale down their service based on your needs or not. But all in all, only a few outsource data centre providers offer scalable services.

In-house

Since the company has complete control over their data centre facilities, they have the freedom to upscale or downscale its operations.

4. LIABILITIES

Colocation

The company and the data centre solution provider have shared liabilities in case the service fails or does not meet regulatory compliance.

In-house

The company has the sole responsibility and liability for service failures and regulatory compliance letdowns.

Which of the two options best suit your needs?

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