Data center colocation is an increasingly valuable strategy for a number of reasons, but perhaps none are more vital than data storage flexibility. By leasing space in a colocation facility, a cloud service provider can rent as much or as little capacity as needed, depending on their business demands.
The flexible nature of colocation has heavily contributed to the global emergence of hybrid cloud models. According to Research and Markets, a global data firm, the hybrid cloud market is projected to grow from $25.28 billion in 2014 to approximately $84.67 billion by 2019.
Mining company Rio Tinto is one of many other enterprises that has recognized the value of colocation and adapted its business model accordingly. Out-Law reported that Rio Tinto has embraced cloud-based software and a colocation strategy.
“Rio Tinto expects to directly benefit from significant cost savings through increased business agility and cost flexibility inherent in cloud services, and from continued lower infrastructure prices in line with cloud economic trends,” the company said in a statement, according to the news outlet. “The solution is based on a platform for innovation – including a co-location innovation center in Singapore – and a long-term commitment to partnering.”