How do managed colocation services differ from standard colocation?

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As businesses increasingly rely on digital infrastructure, the need for reliable data center solutions becomes more critical. Among the many options available, colocation services stand out as a viable choice for organizations looking to house their servers and IT equipment in a secure and connected facility. However, not all colocation is the same. Two primary types exist: standard colocation and managed colocation. Understanding the differences between the two is essential for selecting the right solution for your company’s needs.

Standard colocation typically provides the physical space, power, cooling, and network connectivity necessary for your hardware, while managed colocation takes it a step further, offering a broader range of services and support. Although both options give organizations access to robust data center infrastructure, their management levels and responsibilities vary significantly.

What is Standard Colocation?

Standard colocation is often referred to as a “do-it-yourself” solution. Businesses rent out rack or cabinet space in a facility and are responsible for maintaining and operating their own hardware. The colocation provider ensures a stable environment—including redundant power, climate control, and physical security.

Key features of standard colocation include:

  • Space rental (rack units, cages, or suites)
  • Access to power and cooling infrastructure
  • Physical security controls (e.g., biometric access, security cameras)
  • Basic network connectivity

However, in this model, the client’s IT staff is typically required to manage all system tasks such as upgrades, patches, monitoring, and troubleshooting. Any hardware replacements or configurations must be performed by the client, either remotely or by dispatching personnel to the colocation center.

What is Managed Colocation?

Managed colocation builds upon the foundation of standard colocation by including a suite of value-added services delivered by the provider. These services can dramatically reduce the workload on an internal IT team and improve uptime, performance, and operational efficiency.

Typical offerings of managed colocation include:

  • 24/7 hardware monitoring and alerting
  • Remote hands services (reboots, cabling, troubleshooting)
  • Operating system management and patching
  • Data backup and recovery solutions
  • Advanced network management and security
  • Compliance auditing and reporting

Under this model, businesses still own their equipment but defer much of the daily management and technical support to the service provider. This combination brings greater peace of mind, especially for organizations that may lack in-house expertise or the capacity for around-the-clock monitoring.

Key Differences Between the Two Models

When comparing standard and managed colocation, several critical differences emerge:

  • Level of Support: Standard colocation provides the infrastructure, while managed colocation includes active support and management services.
  • Responsibility: With standard colocation, the client retains responsibility for maintenance. Managed colocation shifts some of that burden to the provider.
  • Cost: Managed colocation is generally more expensive due to the additional services, but it may reduce total cost of ownership by eliminating the need for a large internal IT staff.
  • Flexibility and Scalability: Managed solutions often come bundled with scalable services that can evolve with business demands, while standard options may require more manual adjustments.
  • Response Time: In managed setups, providers can act immediately when issues occur, reducing the risk of prolonged downtime.

Who Should Choose Which?

Choosing between standard and managed colocation depends on an organization’s unique requirements, resources, and strategic goals.

  • Standard colocation is best suited for companies with a seasoned IT team capable of managing system operations and responding to incidents internally. It’s ideal for budget-conscious organizations seeking to maintain total control over their infrastructure.
  • Managed colocation is appropriate for businesses that prefer to delegate technical management, reduce operational complexity, or enhance service reliability. It’s particularly valuable for companies in regulated industries that require strict compliance controls and documented procedures.

Conclusion

In today’s highly connected and fast-paced digital environment, selecting the right colocation service is crucial. While both standard and managed colocation offer powerful infrastructure solutions, the decision comes down to the level of control and support your organization requires. Investing in managed colocation might come at a higher cost upfront, but the gains in uptime, efficiency, and peace of mind often justify the premium. On the other hand, companies that have robust internal capabilities might find standard colocation more cost-effective and sufficiently resilient.