Barracuda network

Server colocation has become extremely popular. At the beginning of the Internet age, companies often tried to host servers internally. The trend was for a company to construct a data center on their premises. There were several reasons that in house hosting was preferred.

Service problems were a common event in the early days of server colocation. The equipment was relatively new and there were problems as a result. Additionally, with such growth during the Internet boom, many server colocation companies over committed. They were not doing well financially and this lead to bad deal making. Many of those hosting companies went out of business with the bust in dot com.

What is the current state of server colocation services? You can still find hosting companies that don’t do a good job. But on the norm, enough time has passed that the good companies have sorted themselves from the bad. Also, the technical issues that were common in the early days are gone. Much of the core routing and load balancing equipment has been through many versions of development.

A new comer to the server colocation industry is virtualization. This new technology enables the hosting company to provide very reliable service. This equates to lower costs for server hosting. While you will still find in house data centers at the big companies, people are generally more secure with the idea of outsourced colocation.