This presentation explores the 'buy vs. build' question that businesses face when evaluating their data center and colocation needs. We look at some of the pros and cons of building your own in-house data center space, as well as several of the reasons for buying colocation space at a 3rd party data center provider. The business case for data center colocation can be made from both an economic standpoint, as well as a stable scalability/growth standpoint.

1. Buy vs. Build
The business case for
Data Center Colocation
Copyright © 2015 Data Cave, Inc. All rights reserved.

2. Buy or Build? It’s a
real estate question:
Buy:
Build:
Leasing colocation space with a
3rd party data center provider.
Modifying your existing facility to
accommodate your data center
needs.

3. Building it yourself

4. Building on to your internal data
center: Weighing the costs
Pros:
• Full control over
facilities
• Minimal data and
equipment
migration required
Cons:
• Full control over
facilities means full
responsibility if
something goes wrong
• Significant investment
is required for both the
buildout, as well as
ongoing management
of the facility

5. • You’re responsible for everything.
This can be a gift and a curse!
• A huge portion of your IT budget
will be connected to maintaining
the facility itself.
When you build:

6. The “Buy” alternative

7. 5
1
2
3
4
Buying (leasing) new data center
space from a 3rd party provider
The business case
for 3rd party data
center colocation
can be made in
these 5 key
benefits.

8. 1
Minimal
capital
expenditure
There is no construction
involved with leasing
colocation space, so
there are no up front
costs associated with a
physical buildout.

9. 2
No ongoing
management
of facilities
In a colocation facility,
you are not responsible
for the ongoing
management and
maintenance of the data
center. This frees up
both time and resources
that can be used for
other IT projects.

10. 3
More rapid
data center
deployment
Focusing exclusively on the
migration itself and not on
a physical buildout allows
you to complete your data
center deployment much
more quickly, since you are
putting your IT resources
into what really matters.

11. 4
Higher level
of scalability
3rd party data centers
can often provide
significantly higher
scalability levels for
growing businesses
than an in-house data
center, due to having
more overall physical
capacity.

12. 5
Significant
cost savings
1
Minimal
capital
expenditure
2
No ongoing
management
of facilities
3
More rapid
data center
deployment
4
Higher level
of scalability
5
Significant
cost savings
This all
results in:

13. Colocation just
makes sense.

14. The business case for colocation is a strong one.
Through colocation you can:
• Save money
• Scale more efficiently
• Take advantage of the latest security features
• Keep your IT team focused on what they do
best: Supporting and growing your
business

15. Buy vs. Build
For more data center insights, and to
learn more about Data Cave, visit us
at www.thedatacave.com, and check
out our Blog! We cover a wide range
of useful technology topics.
Copyright © 2015 Data Cave, Inc. All rights reserved.