Dedicated Servers or Colocation: Which is Right for You?

The difference between a dedicated server and a colocated server is very simple: dedicated servers come with a greater degree of service. When you purchase a dedicated server, the host does all the legwork. Your server identifies the necessary components, assembles the hardware, and installs the appropriate operating system components for you. Since it is the host who owns the dedicated servers, it is also the host's responsibility to ensure that the hardware is in top working condition. Many hosts who run dedicated servers reserve a supply of emergency hardware on site, just in case your hardware needs to be replaced. Another hidden advantage is that if you use a dedicated server in your business, the fees you pay for that server might be tax-deductible. But check with your accountant.

On the other hand, if you want to have total control over every aspect of your server, colocation is exactly what you need. With collocation, you are purchasing only bandwidth and a physical space to locate your server. You handle all other details. You evaluate, purchase and implement the hardware decisions. If hardware fails, it is your responsibility to replace it. However, this option allows you complete control over the configuration of the server. You can install any operating system, with any software and hardware you choose. You can also purchase a large block of bandwidth and distribute it among several colocated servers.

In a nutshell, deciding between a dedicated server and a colocation plan is simple. Ask yourself the following question: Are you a person who has the knowledge and the desire to do it yourself, or do you prefer to pay a small premium for the extra support and services you will receive with a dedicated server?