Should You Build or Outsource a Data Center Facility?

As a growing business, you may find the need for additional storage for your critical data. Then comes the important question of outsourcing or constructing your own data center. It is very important to think through this decision by considering all the implications of data center construction versus outsourcing space. Whether you are looking to add new applications or simply better manage your day to day operations, always evaluate your business’s IT needs before making a decision. At the end of the day, the best move would be to go with the route that offers the most advantages.We’ll go over a number of factors to consider when making a decision whether to have your own or outsource data center solutions. Bear in mind that different companies handle IT issues differently. So make sure you analyze all available options depending on your business needs.

What to expect when building a data center

The estimated cost of constructing a data center is approximately $200 per square foot. You may need to spend an additional amount to acquire certain resources such as fiber, IT staffing and infrastructure maintenance. Additional cooling and fire protection mechanisms may also be required in the building which means extra expenses. Therefore, constructing a data center would only make sense to an organization if they intend to use it in the long term and have large amounts of data to avoid underutilizing the resources acquired.

Building a data center comes with its own advantages. For a start, the company will have total control over its data. This means that they can take charge of the IT and security needs of the center. The organization will also have complete access to all its resources. In the event that they need to scale, they have space to build extra cabinets and put more hardware equipment. However, scalability can be costly and difficult since you may need to purchase and install additional infrastructure as the organization’s needs change.

Should you outsource?

Smaller companies cannot afford building their own data centers Toronto. For a start, many of them only need small amounts of cabinets and minimal storage space. The cost of building a data center is usually too high for small and simple organizations. By outsourcing to a reliable provider, small organizations can reap numerous advantages as outlined below:

  • The organizations have the freedom to choose which career service provider would best suit their IT and financial needs.
  • If the company grows, there is no need to invest in costly purchases and installations. The service providers already have the resources in place making scaling seamless.
  • Outsourcing to a reliable provide also offers a lower up-front cost. There is no need to source for IT staff to manage the center or pay for maintenance. Hence, many small businesses enjoy the lower TCO.
  • Since service providers have expert teams working on their centers, small organizations can enjoy better efficiency and optimal performance at a low cost. Data is also protected using highly advanced technology.
  • Lower risk of carrier failure making sure critical applications and IT infrastructure offer dependable performance.