I plan on starting a webhosting company and wanted to know which would be better to do. Should I get a T1 and run the server from my office or should I go with a dedicated/colocated server? I do plan if we get larger to get more bandwidth. I guess having the server "in-house" makes it easier for me to work on.

What if your power goes out? What if your upstream provider can't give you the full strength of a T1? If you're colocated, you let them deal with those issues. You only deal with administration. And working on the server is just as easy over SSH than it is on the console. :) I'd vote for colocating unless you know how to manage a network. Then it's 50/50. IMO anyway. :)

Hi,
If it's a business you are serious about, forget about getting the T1 to your office and colocate or lease a dedicated box with a good provider. You (and your customers) will be happy you went that route :)

Good Luck!

Go colo. I use to do it out of a office. Colo is so much better. Better uptime, better backups, better security. Also what happens when you want to upgrade with a t1. It does have some upsides to it. One thing that was good for me at the time is I screwed a lot of things up once in a while causing the server not to boot and had to work on it via console, now I have to go to the city to do it, but it hasent happend yet.

Thanks for the input so far, but besides things like back-up power, managing the network, ect. Would people notice a real differance in speed? I noticed some company's sites for dedicated servers you pick the bandwidth, so wouldn't picking the 1,544kbps be like running a T-1?

Not really. Besides the bandwith, there are just too many variable to deal with running your own server. What about fire protection? Or a raised floor? Computers that work real hard are picky about the climate control. And insurance is a whole different story.

If it is a real office you are thinking about, and not one just down the hall past the kitchen, then you would still be working on it remotely if it should go down when you are not there.

As for bandwith, things happen. The city puts a new "no parking" sign on the corner, and cuts the line on accident. Now what? Your out of luck. In a colo, the NOCs almost always have multiple carriers, each having redundancy.

In my opinion, if you are going to offer good, honest reliable service, you are going to want to go with someone who has already spent the money on a professionally managed NOC, vs flying by the seat of your pants.

Besides, it would cost you more to run the T1 in most places, that it is to buy the server and go colo.

sPoT!

It sounds like you really want to get the t1 line...

I would too, but you really need to look at where your companies at and what the future will be, are you planning to host 100's, 1000's or 10000's of accounts? Is this going to be a business just for yourself and a friend(like so many of them are) or are you planning to employ people?

If you are planning to be in the 1000's or 10000's bracket well then I think you should invest in bringing a t1 line in to the office.

Originally posted by vSector
It sounds like you really want to get the t1 line...

snip

If you are planning to be in the 1000's or 10000's bracket well then I think you should invest in bringing a t1 line in to the office.

A single T1 couldn't handle this scenario. You would need multiple burstable connections to handle it correctly.

Let's look at the math. A single T1 has a cost range of $800 to $2,000 dollars, depending on who you go with. If you were to lease a dedicated server from a NOC, you would get all of the benefits I posted earlier, and only be spending around $200 per month for a pretty decent set-up. Dedicated lines come with local loop headaches and provider problems. Better to leave the telco stuff to those that deal with it, and focus more on building your webhosting business.

sPoT!

If you are the type of person who is more interested in the tech side of things, than the business (or equally interested) - then I say go for it. But just be aware of the limitations having a T1 will be. It will more than likely cost alot more than a colocated server. It won't be burstable. You'll need to purchase more equiptment. It takes awhile to upgrade the speed (6-8 weeks for another line to be put in, typically.), etc....

But it sounds like alot of fun, too.

have you gotten prices in your area for T!1 with telco charges? - just curious what they are.