Data center outsourcing has really cemented itself all over the planet as a viable alternative to the demands of building and managing an in-house data center facility. Recent research results bear this out quite clearly. A study undertaken by a reputable firm last month predicts that the global market for colocation data center services should grow from $30.9 billion in 2016 to approximately $54.8 billion by 2020. Obviously there are factors driving organizations to outsource their data centers to professional colocation partners, but what are those factors exactly? Here at 4GoodHosting, we understand that part of being a Canadian web hosting provider at the forefront of the industry means being receptive and adaptive to trends in web hosting. This is certainly one of them, and it thus hasn’t gone unnoticed here. We think it’s one that may be helpful for those with big data accommodation needs of their own and a need to understand where they’ll get the most bang for their buck. Getting back to that study, the Americas as a segment is expected to grow from nearly $16.8 billion in 2016 to $26.4 billion by 2020, with the period of 2016 to 2020 seeing in the vicinity of a 12% cumulative annual growth rate. Asia-Pacific is expected to grow from $5.4 billion in 2016 to $13.2 billion by 2020, at a much higher CAGR of 25.0% for the same time period (2016-2020). Not surprisingly, cost has always been a big factor behind data center outsourcing and it will remain a key element driving the outsourcing of data centers to colocation providers. We also have the fact that customers are concentrating more and more on the value of the colocation services being provided, as well as the appeal of being able to reduce certain risks. Here are the five top reasons pushing ever greater numbers of customers to outsource their data center operations these days: Cost CIOs for some time now have been under constant pressure to reduce all costs associated with IT operations, and - again not surprisingly - running an in-house data center is decidedly expensive. There’s not getting around it. The level of investment required to...
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