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The purpose of a data center is to keep your data and applications available at all times, but it is not necessary for you to go and build a data center from scratch for doing so. There will be specific requirements which will make it necessary for you to have a data center built for you and there can be some needs which can be fulfilled by taking data hosting or server co-location services from a data center service provider.
| Difference | |
| Own Data Center |
Hosted Data Center |
| Security: Common perception is that data held in your own data center is more secure, well, this is not entirely wrong |
Ensure that the service provider has put all the necessary security checks and measures in place. Also check if the data center is certified by a standards body |
| Manageability: There is no escaping on this front, if you own a data center you have to deal with its manageability chores |
You don't have to deal with any data center manageability issues; however, application and data manageability is still your responsibility |
| Speed: If you need to access the data at very high speeds, such as Gigabit/sec, then a local data center is inevitable |
With improved bandwidth conditions, dedicated bandwidth of a few megabits/sec to the data center is common, but not beyond that |
| Availability: Appropriate data and application protection mechanisms, including disaster recovery center have to be put in place |
Most data centers provide stringent SLAs for application and data availability, even in case of a major disaster |
| Cost: This will include the upfront cost and operational expenditures, which can go quite high in the longer term |
With a service provider, you only have to pay for the service, which again can be very high if you have huge amount of data |
J Sheshadri, CTO, Emerson Network Power India Pvt. Ltd