Understanding the Growth and Benefits of Colocation Services


Allen Lepke, Managed Services Product Manager



The demand for Colocation Services continues to grow globally, with the greatest amount in North America. According to a study done by Allied Market Research, (World Colocation - Market Opportunities and Forecasts 2014-2020) Colocation Services will grow globally by 12.8% percent per year, through 2020. In 2014 the North American market was valued at $11.78 Billion, and is predicted to be the leading market through 2020.

The main market verticals experiencing this growth are Wholesale and Retail. Energy is expected to be the quickest growing segment through 2020.

There are many reasons why the demand for Colocation Services has surged. Key factors such as the increased amount of enterprises, digitalization and even the desire to reduce carbon footprint are driving factors, so companies can make their core business activities their priority.

Key Advantages of Colocation Services:

  • Scalability - easily adjust your utilization levels up or down based on demand
  • Power Redundancy - dependable redundancy for your network connections via combined backup power sources
  • Security - secure facilities and data protection, combined with 24/7 monitoring
  • Improved Performance - Colocation Service Providers leverage the best broadband and power rates
  • Cost Savings - predictable budgeting; you only pay for your equipment not the entire datacenter

With the added capabilities of CHR's Managed Services, clients can reduce operational costs and more effectively utilize and deploy network engineering assets.

To learn more about CHR's Colocation Services contact Allen Lepke at allen.lepke@chrsolutions.com or 605.995.1517

Written by Allen Lepke at 00:00
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