Glossary
What is Colocation?: rawcompute.in Glossary
Colocation (colo) is a data-centre service where you install your own servers in a shared facility that provides power, cooling, network connectivity, and physical security.
Colocation is a data-centre hosting model where an organisation owns its server hardware but houses it in a third-party facility. The data centre provides the physical infrastructure: reliable power (with UPS and diesel generator backup), precision cooling (CRAC/CRAH units), network connectivity (multiple ISP uplinks, peering), and physical security (biometric access, CCTV, 24/7 security). The customer is responsible for the servers themselves. Hardware procurement, OS installation, application deployment, and ongoing maintenance.
In India, colocation is priced per rack unit (U) per month, per half-rack, or per full rack. Pricing varies significantly by city and facility tier. Mumbai and Chennai tend to be more expensive but offer better connectivity and lower-latency access to international submarine cable landing points. Tier 3 and Tier 4 facilities offer higher uptime guarantees through redundant power and cooling systems.
Why it matters when buying hardware
Colocation is often the most cost-effective hosting model for GPU clusters and enterprise compute in India. Compared to public cloud, owning your hardware and colocating it can reduce costs by 40-70% over a 3-year period for sustained workloads. However, it requires upfront capital expenditure for hardware and a commitment to facility space. Rawcompute.in offers a complete colo-ready solution: we sell the hardware, configure the servers, deliver to the data centre, and handle rack-and-stack, so you can deploy production infrastructure without managing logistics.