What Are The Costs of Starting Up Colocation Hosting?


Colocation hosting is type of web hosting that provides customers with server space in a state-of-the-art data center. Customers will give their server to the data center where it will be housed in a secure space. Colocation hosting is one of the more expensive types of web hosting and is chosen by large enterprise that has extensive equipment and software requirements. When purchasing colocation hosting it is important to be aware of the initial start-up costs so that you can budget accordingly.

Private Web Server

With colocation hosting, you will have to buy your own web server. The price of a web server can vary according to the model and capabilities. Value will be determined by processor speed and RAM (Random Access Memory.) The higher the performance of the web server the more you will pay. Generally, the price of web server can range from $1500 to over $10,000. If you already have a web server than you will save a lot of money on your start-up costs.

Delivering the Server to the Data Centre

Once you have your server, you will have to ship it to the data center. The price of shipping will depend on the location of the data center facility, the size of the server, and the weight of the server. You will also likely have to purchase shipping insurance which can be a few hundred dollars. Costs to ship the server can vary from $100 to $1000.

Service and Support

If you get a basic colocation plan, the cost of service will not be much more than if you have a dedicated host plan. With colocation hosting, you will be paying for the costs associated with housing the server in a secure data center facility. There will be some administration costs associated with the provider maintaining the server and maintaining internet connectivity. If you purchase a plan where the colocation provider provides more comprehensive support such as server monitoring, software upgrades, etc, you will pay more. Fully managed colocation plans can vary from $250 to over $500 per month, depending on the server rack space used.

The actual start-up costs of colocation hosting can range anywhere from a few hundred dollars for a basic plan to $5,000 or more for more comprehensive plans and the costs associated with shipping and housing the server. Find out more on colocation hosting plans from Gigenet.com today!

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