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  1. #1

    Colocation vs Dedicated Server

    Hi, anyone care to brief me on the pros and cons of between colocation and a dedicated server?

  2. #2
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    Collocation is only recommended if you have a DC near by to avoid remote hands fees. It also involves more upfront investment to buy the hardware and also maintain spares. The key advantage is that its cheaper in the long run.

    Dedicated server would be right if you don't have a DC nearby or you can't afford for high upfront fees.

  3. #3
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    There are many other pros and cons. They come down to the owning equipment vs renting. For instance, with colo you own your equipment, so moving to a new data center would require you to move the equipment. This would be a con but it's also a pro because you know the system is all set up the way you want. With Colo you can put any equipment you want in your space (pro). You have to setup your unique equipment and make it work(con).

  4. #4
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    One more big pro for colocation is that you know what you are getting. When you order a dedicated server with 2 x 500Gb drives, you will get 2 500GB drives but are they new or where they used before. If not in the spec what speed are the drives, etc. With colo, you own it so you know.

  5. #5
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    The Advantages of colo:

    1) You get EXACTLY what you want as far as hardware. For some uses this is extremely important due to compatibility for various software platforms, GPUs for scientific computation, etc.

    2) You get EXACTLY what you need as far as space, power, and bandwidth. With a dedicated server you're taking a set package. Even if you don't need 2000 GB of bandwidth per server you're paying for it. With colocation we have customers with multiple cabinets just paying for 5 Mbit/sec. This can lead to significant cost savings in various scenarios, especially when talking a larger volume.

    3) Increased flexibility. You can get cross connects to other carriers or other networks, you can use your own IP space, you can setup your own BGP network, you can add/remove/relocate hardware from your cabinet as needed, you can go in and work on the equipment yourself, and the list goes on.

    Cons:

    1) You are responsible for the additional cost/complexity of furnishing the servers themselves, on-site work, hardware replacements, server/network management, etc.

    2) If the set dedicated server plans ARE what you need, colo plans are likely more expensive, this is particularly true at lower volumes or even now when you have a small number of systems with a large volume of bandwidth.
    Karl Zimmerman - Founder & CEO of Steadfast
    VMware Virtual Data Center Platform

    karl @ steadfast.net - Sales/Support: 312-602-2689
    Cloud Hosting, Managed Dedicated Servers, Chicago Colocation, and New Jersey Colocation

  6. #6
    Any dedi company does colocation (beside resellers)

    WWW.NAUCUM.NET
    COLOCATION/HOUSING ´´´ IP-TRANSIT ...AND MORE
    tel: +49 1635000676 ´´´´´ eMail: info@naucum.net
    Frankfurt, Germany

  7. #7
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    Quote Originally Posted by osopolis View Post
    Any dedi company does colocation (beside resellers)

    While this can be true, it's not always the case. Limestone Networks and SoftLayer don't do colocation. I'm sure there are many others that don't as well.
    Jason Canady • Unlimited Net, LLC
    812.669.0551 • sales [at] unlimitednet.us
    Midwest Hosting Solutions • AS11990
    Dedicated Server Hosting

  8. #8
    Well...what I wanted to say is that at a particulat time, every dedicated servers offered, are beeing colocated somewhere.
    WWW.NAUCUM.NET
    COLOCATION/HOUSING ´´´ IP-TRANSIT ...AND MORE
    tel: +49 1635000676 ´´´´´ eMail: info@naucum.net
    Frankfurt, Germany

  9. #9
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    only con for owning your own machines are I'd say would be that technology evolves each day and that every year or so you would have to upgrade or risk using old machines.
    Licensewolf - Coming Soon!

  10. #10
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    Quote Originally Posted by osopolis View Post
    Well...what I wanted to say is that at a particulat time, every dedicated servers offered, are beeing colocated somewhere.
    Unless you own your own facility. We offer dedicated servers, but I wouldn't really say that we 'colocate' them with ourselves.
    Seattle, WA - Gigabit Carrier & Network Services Provider
    Uptime | Atlas Networks

  11. #11
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    Quote Originally Posted by Jasonsite View Post
    While this can be true, it's not always the case. Limestone Networks and SoftLayer don't do colocation. I'm sure there are many others that don't as well.
    Singlehop don't either.
    'Ripcord'ing is the only way!

  12. #12
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    Quote Originally Posted by Visbits View Post
    Singlehop don't either.
    Though they're inside Server Central space in a DuPont Fabros facility, so depending on how much space you're looking for just contact Server Central or DuPont Fabros for colocation services.
    Karl Zimmerman - Founder & CEO of Steadfast
    VMware Virtual Data Center Platform

    karl @ steadfast.net - Sales/Support: 312-602-2689
    Cloud Hosting, Managed Dedicated Servers, Chicago Colocation, and New Jersey Colocation

  13. #13
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    Quote Originally Posted by BytesHub View Post
    Hi, anyone care to brief me on the pros and cons of between colocation and a dedicated server?
    I can only go from my experience...with one server, you can extrapolate from there.

    monthly Cost: Advantage: colocation
    for the same monthly fee I get 1mbps capped dedicated line, from the datacenter itself, not a reseller. Versus a very spotty and usually dishonest bandwidth from a reseller, through mostly subpar equipment.
    Leased servers through resellers always had failures of equipment, were the cheap versions of everything, and were always having down time. My colo, never had one down time. Not one. Nothing on my own custom built server has ever failed, not once.

    If I leased a server comparable to the one I built, I would be paying about 700-900 a month...and to get the 'real bandwidth' it would have been even more. I pay 159 a month.

    Setup: Advantage: colocation
    I had to pay a couple hundred to 'setup' and that was it. My leased server experiences were comparable for their cheap computer, but for my custom computer the set up would have been about 800-1000 to start.
    You have no idea what a reseller is doing to set you up, or how long it will take. For colo you go right in, hook up your computer and turn it on..done.

    Maintenance: Advantage: colocation
    If something were to ever break at my colo, a simple drive to the datacenter and I am done (I keep spares of drives and fans and stuff).
    Breakdown leased? It happens all the time. Might be free to fix, might not be, but the chances of data getting lost from frequent failures is scary.
    Datacenter has never had an issue. Leased server/resellers had me on the phone hour after hour trying to see why I could not get to my sites.


    Server setup and admin: Advantage: depends
    You really think the top notch server admins are gonna work for the 2 man reseller you are leasing from?
    Yet, do you know how to admin and setup a server?
    If you can at least try, you will save a fortune doing it yourself.


    Overall costs for me vs leased.

    I did a spreadsheet a year or so back on the costs of my computer and colo vs the same computer dedicated leased.

    here is what I can kind of remember over a 2 year cost analysis.
    based on about the same computer

    Colo:
    2400 computer +200 setup + (159/monthlyx24months)+ 200 books = $6,616

    Leased:
    900 setup + (900/month*24months) = $22,500

    so..for two years, one computer the colo saves around $16,000.

    for 16 grand you can hire a local guy to teach you how to set up the server, spend a month in europe, and buy a few more servers...or you can lease and have none of that.

    You can get a half rack for a few hundred a month more and STILL be waaay ahead and have a place to put more computers AT NO COST.


    for me...colo.


    It is worth the time and effort to learn how to install and configure linux (or windows) so you can save time, money, headaches. Or you can worry over your data and whether your site is up every minute of the day.



    Edit: cost of upgrading your computer with more stuff is at cost and easy. For a leased computer it is horridly expensive..and right from the start you really have no idea what kind of equipment you really have. Is it new, refurbished, junk? Welcome to leased.

  14. #14
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    Quote Originally Posted by programguy View Post
    Leased:
    900 setup + (900/month*24months) = $22,500
    So, a few thoughts here:

    1) How much of your cost is that 1mbps connection? Are you just colo'ing 1 or 2U? If so, that's a bit pricey.

    2) Those leasing numbers seem really, really inflated. And a setup fee? Yikes, even for the highest end servers, most companies don't charge a setup fee.

    3) Not every dedicated server company is a reseller.

    4) Not every dedicated server company oversells their bandwidth or uses low end equipment.

    Like you said, colocation is the right solution for some companies - and that's why many providers are in both businesses.
    Seattle, WA - Gigabit Carrier & Network Services Provider
    Uptime | Atlas Networks

  15. #15
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    You can save a lot more money if you collocate multiple servers rather than buying. What I do is, I purchase datacenter space from a decent datacenter, then purchase bandwidth directly. In the end, you have control over your entire connection, and you pay significantly less.

  16. #16
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    Quote Originally Posted by atlasnetworkseric View Post
    So, a few thoughts here:

    1) How much of your cost is that 1mbps connection? Are you just colo'ing 1 or 2U? If so, that's a bit pricey.

    2u spot, direct from datacenter, not a reseller.

    2) Those leasing numbers seem really, really inflated. And a setup fee? Yikes, even for the highest end servers, most companies don't charge a setup fee.

    those are slightly adjusted numbers from 2 years ago when I did the list. If you built a new computer now, the lease rates would be much higher...and the set up fee would be higher (set up is charged when you start adding things to your computer like a real motherboard, enterprise drives, real ram, etc..and not the cheap stuff they usually lease you.)

    3) Not every dedicated server company is a reseller.

    4) Not every dedicated server company oversells their bandwidth or uses low end equipment.

    Impossible to tell what will happen with a reseller or if they are. Impossible. Do a google search for 'my server is gone' and stuff like that where the reseller owes money to the datacenter and they foreclosed (so to speak) on all the equipment including your entire web business.... not worth the risk

    Like you said, colocation is the right solution for some companies - and that's why many providers are in both businesses.
    All I was quoting was my personal experience and my personal reasons for going colo and also not using a reseller.

    The last few years have been a pure joy versus almost daily/weekly headbanging using hosts....sorry, but that is what I went through. And it has been nothing but serene since then..pure joy on colo.

    For a few hundred more a month I can get a half cab (20U) and 100 mpbs...my next step. A few hundred more than I am paying now.

    I vote colo.

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