Organisations can choose to build and manage their own hybrid cloud data centers, lease space in colocation facilities ('colos'), or use shared computing and storage services or public cloud-based services. As a result, applications no longer need to be in one place. When considering whether it is more cost-effective to build your own data center, expand your existing data center, or outsource your data center, you need to answer five important questions:

  • Is your data center the core task of your business? Does it increase your margin?
  • Have you considered all the advantages, disadvantages and risks of the three options?
  • Can you be sure that your partners carry your needs and wishes high and are there advantages (quality, connectivity, CO2-neutrality etc.) that you can easily achieve by outsourcing your data center?
  • How important is peace of mind?
  • Do you have a clear picture of the different costs associated with each option?

At LCL, we work together to determine if the customer's existing data center adds value to their business, in other words, if investing in their own IT infrastructure is worth it. In general we can say that this is not the case.

Want to learn more? Read more in this article about building or outsourcing a data center.