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Level Up Your Infrastructure: The Value of the Colocation Data Center

Written by The CoreSite Team | 05/28/2026

Data centers are the hubs of a digital world. Almost every digital transaction—from AI-driven medical breakthroughs to your favorite Netflix binge—is enabled by a data center. But not all data centers are created equal. Colocation data centers offer a level of security, redundancy and expertise that most enterprises cannot achieve on their own.

Let’s take a look at the key components that differentiate colocation data centers from on-premises deployments.

Dedicated Physical Spaces

Colocation data centers separate equipment by function. For example, customer servers are located in data halls, uninterruptible power supply (UPS) systems are in mechanical rooms, generators are in electrical rooms, and connectivity cabling is organized in meet-me rooms and main distribution areas. Designated spaces allow the data center team to manage risk and address the different environmental needs of the equipment more easily.

Robust Security

Protecting the servers that store an enterprise’s critical data is one of the colocation data center’s primary responsibilities. Security lapses can devastate a business, exposing customers’ data, incurring regulatory fines and tarnishing the company’s reputation. Colocation data centers employ economies of scale to provide powerful protections unavailable with most on-premises solutions.

Physical Security

Physical security features, such as perimeter fencing, controlled access points and mantraps, biometric scans, closed-circuit television (CCTV) surveillance, trained security guards, and locked cabinets and cages, help protect against unauthorized access. Many colocation facilities also offer access management systems that allow enterprises to manage individual access remotely to heighten control.

Cyber Protections

There are a broad range of regulatory requirements and standards colocation data centers can adhere to and provide certification for in order to streamline the compliance process for customers, including ISO 27001, SOC 1 Type 2, SOC 2 Type 2, NIST 800-53, HIPAA and PCI-DSS. While this compliance certification and attestation can help enterprises meet their own regulatory obligations and ease the auditing process, ultimately, each business is responsible for its own compliance.

Redundant Power Infrastructure

Uptime is everything for digital businesses. Unplanned downtime equates to lost dollars and productivity—to the tune of $14,056 per minute, according to a 2024 analysis from EMA Research. Colocation data centers offer highly redundant power infrastructure that supports availability.

Diverse Utility Feeds

Colocation data centers employ diverse utility feeds that enter the facility in different locations around the building. This approach ensures that if a localized event impacts one utility feed, the facility can utilize a secondary source for uninterrupted power.

UPSs and Backup Generators

Colocation data centers utilize redundant uninterruptible power supply (UPS) systems and generators to maintain operations during an outage. UPSs serve as bridges, providing battery-backed power almost instantly and until generators deploy. Gas-fueled generators deliver power until the outage is resolved. Contracts for backup fuel supplies are also in place to power generators during extended outages.

Cooling and Environmental Controls

Servers generate significant heat that needs to be cooled to avoid overheating. Colocation data centers employ multiple cooling solutions to help regulate data center temperatures and eliminate heat-related equipment failures.

CRAC/CRAH

Computer room air conditioners (CRAC) and computer room air handlers (CRAH) are used to cool the data center. Like other critical systems, these units are deployed redundantly to remove the risk of a single point of failure.

Hot/Cold Aisle Containment

To further support cooling, many colocation facilities leverage hot/cold aisle containment designs. This strategy positions servers in rows with the fronts of the servers facing each other to create a “cold” aisle and the heat-exhausting backs facing each other to create a “hot” aisle. This avoids mixing hot and cold air for more efficient cooling.

Raised Flooring

Raised flooring systems help optimize airflow management and cooling efficiency in data center environments.

Raised flooring also supports efficient cooling by creating a space under the floors through which cold air can be circulated in order to cool equipment.

Environmental Controls

Environmental sensors are used to alert the data center operations team of power, temperature and humidity issues that can impact data center performance. With CoreINSITE®, CoreSite customers can view the environmental conditions of their specific organization's IT infrastructure in near real-time, allowing them to address issues quickly and avoid potential problems.

Diverse Connectivity Options

Enterprises need to connect to the outside world to share data, engage with customers and partners, and advance their business strategies. Colocation data centers offer diverse connectivity options that allow enterprises to connect at the necessary speed, without lags or disruptions.

Diverse Entry Points and Multiple Fiber Paths

Redundant network connections are as important as redundant critical systems. Colocation facilities bring network fiber into the building in multiple areas around the building. They also leverage several external fiber paths between the data center and the network carrier. These varied entry points and paths provide alternate routes if a localized event, such as a fiber cut, fire or regional outage, impacts one route.

Carrier Neutrality

Colocation data centers offer access to numerous network providers, allowing enterprises to choose their preferred partners. This carrier neutrality also supports resiliency, ensuring enterprises can switch to another carrier if one is unavailable.

Cross Connects and Internet Exchange Points

With dozens of customers in each facility, colocation data centers offer opportunities for enterprises to connect directly to other tenants, ISPs and network and cloud providers within the facility via a cross connect. This physical connection provides secure, rapid communication between endpoints. Some colocation data centers also serve as internet exchange points (IXPs), providing a space for enterprises to peer with ISPs, content providers and networks with greater performance, reduced latency and lower network costs. Because CoreSite data centers are interconnected, customers can access IXPs on the Any2Exchange® from all the company’s colocation facilities.

Public Cloud On-Ramps

Select colocation data centers, including CoreSite, offer on-site cloud on-ramps—direct, highly secure connections to public clouds. CoreSite offers on-ramps to AWS, Azure, Google and Oracle, allowing enterprises to bypass the public internet for secure, rapid data transfers. CoreSite’s direct cloud connections also can reduce data egress fees by as much as 70%.1

Professional Data Center Operations and Customer Service Team

One of the great differentiators of a colocation data center is its highly experienced team. Most on-premises data centers rely on internal IT staff who are stretched thin with other responsibilities. Colocation operations professionals have specialized skill sets and are solely focused on managing and maintaining the data center. This team of professionals also adheres to a strict maintenance schedule to limit equipment-related issues. The data center’s IT infrastructure is also monitored 24x7x365 by the Operations Support Center (OSC) team to proactively identify performance concerns. In addition, the colocation customer service team works closely with customers to ensure their data center and hybrid IT needs are met for current and future deployments.

Modern enterprises need every available advantage to enhance their business outcomes. Colocation can offload stressed teams and provide the security, uptime and dynamic connectivity that improves organizational performance and resilience. When internal teams have more time to focus on the IT solutions that advance corporate initiatives—rather than managing the data center—great things can happen.

 

 

Know More

If you’re ready to strengthen the security, resilience and performance of your IT infrastructure, reach out to us. We’re ready to help.

 


References

  1. Cost savings are based on CoreSite cost comparisons using publicly available and private information and/or CoreSite customer reported costs savings and may not be indicative of the cost savings that may be experienced by every customer that switches to the applicable CoreSite service.