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Locating customer equipment in a third-party datacenter. Colocation often refers to Internet service providers (ISPs) or cloud computing providers that furnish the floor space, electrical power and high-speed links to the Internet for a customer's Web servers. Colocation eliminates having to build a secure facility that provides power and air conditioning for company-owned servers. In addition, colocation centers are often located near major Internet connecting points and can provide access to multiple Tier 1 Internet backbones. Although most equipment monitoring is performed remotely by the customer, a colocation datacenter may offer equipment maintenance and troubleshooting arrangements.

Other Colocation Scenarios
The term stems from the telephone industry when one telco would house the equipment of another to facilitate interconnections. Another type of colocation could be a computer distributor or online retailer who locates its warehouse within a PC manufacturer's facility to improve turnaround time to customers. Contrast with managed services. See cloud computing and ping power pipe.

Colocation Earns Millions

High-frequency trading firms are able to colocate their servers next to the servers on the stock exchange floors to reduce travel time in executing orders. According to the July 2, 2010 issue of "THE WEEK" magazine, and as extraordinary as it may seem, studies revealed that shaving one millisecond from every trade could be worth USD $100 million to a high-speed trading firm over the course of a year.
References in periodicals archive ?
PTCL has inked a data center hosting agreement with 1LINK for ATMs and POS network, for a term of three years.
KARACHI -- Pakistan Telecommunication Company Limited (PTCL) has inked a Data Center Hosting agreement with 1LINK Guarantee Limited, which is the largest national payment network in Pakistan for Automated Teller Machines (ATMs) and Point of Sale (POS) network, for a term of three years.
Through its business division, C&W provides data center hosting, domestic and international managed network services, and customized IT service solutions, utilizing cloud technology to serve business and government customers.
1 provider of Data Center Hosting Services, System Integration and Application Development in Hong Kong from 2014 to 2016, according to IDC Asia/Pacific Semiannual Services Tracker, H2 2016.
Data Center Hosting in India provide the colocation data center hosting in some other countries also we used to prefer like Singapore,german,and United states server we used to prefer for the better services.
Pakistan Telecommunication Company Limited (PTCL) Pakistan's largest telecommunication services provider has inked an agreement with Soneri Bank to provide Data Center hosting services.
ISLAMABAD -- Pakistan Telecommunication Company Limited (PTCL), Pakistan s largest telecommunication services provider, has inked an agreement with Soneri Bank to provide Data Center hosting services.
8x8 cloud computing solutions include virtualized public cloud servers and enterprise cloud virtual data center hosting services.
CoreLink's flexible and scalable data center hosting and managed service solution is essential as a core foundation for Virsage WorkPlace, our flagship cloud service," Dodge said.
Such flexibility is in keeping with CoreLink's own transparent and scalable Chicago data center hosting offerings, which accommodate small-, medium- and large enterprise clients' changing business requirements and growth.
com)-- Sprocket Networks, a Dallas based data center hosting company, is announcing today that the company has lowered the price for server colocation.
With the inauguration of this datacenter, CAS Infra in partnership with Appnomic has the capabilities to provide complete Data Center hosting, co-location with 24x7 Monitoring, Maintenance, Operations and Management services.

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