Report: How Colocation Can Help Enterprises Hone Edge IT Strategies

A new report from Stream Data Centers  explores the case for colocation in enterprise edge IT strategy.

Just a few years ago, the Internet of Things seemed like a technology of the future. However, the new white paper highlights how “IoT projects and data are here now.”

Just think about the millions of devices generating data today, from connected cars to smart cities and more.

And according to many 451 Research surveys, a large number of enterprises say they already have IoT projects deployed or being tested.

And this trend is pushing edge computing and the prevalence of edge strategies.

Take these stats for example, outlined in detail in the report, that illustrate how enterprises are dealing with questions about where to be analyze and store their growing amount of data.

According to the report, although 45% of enterprises are still storing and processing IoT data using in-house non-cloud infrastructure, only 36% intend to still use in-house non-cloud infrastructure in two years.

As firms evaluate where to store, process and analyze IoT workloads, they will need to keep various options and factors in mind — and one of those is colocation.

The IoT is bringing about new challenges around network capacity and cost, some of which may be eased by using colocation in order to improve connectivity and latency while still meeting security and compliance requirements for many firms, the report shared.

Enterprises may want to consider colocation options in cities that are relatively close to where their current enterprise datacenters are or where the IoT data is generated – particularly those colocation facilities that can offer multiple network options and cloud connectivity. — Stream Data Centers

In the survey outlined in the report, enterprises were asked what the top factors were when determining where to process IoT workloads. More than half said security was the top factor, with cost and networking connections also ranking among top concerns.

It is evident enterprises are concerned about data security, especially as regulatory requirements for enterprises in verticals such as healthcare and mobile payments contribute to this overall security concern.

Ultimately, this has led to many enterprises having kept IoT data in-house.

“But for many firms, it will not be practical to store data completely in-house for much longer, as the amount of data continues to grow. Firms will need to consider options – specifically colocation services – for storing data close to end devices while keeping it secure and accessible to the public cloud for analytics,” the report contends.

Colocation can also cut down on cost, as it can be very expensive to transport large amounts of data. By leveraging colocation services near the device or end user to store and process data, enterprises can significantly reduce connectivity costs, the report points out.

Further, networking is a big challenge for today’s businesses, as well, and carrier-neutral colocation providers are often well versed in acquiring necessary connectivity for edge solutions.

According to the report, creating a geographically diverse datacenter footprint that leverages multiple facilities to support core and edge deployments is often the best strategy to overcome these concerns.

Download the full report, “The Case for Colocation in Enterprise Edge IT Strategy,” via Stream Data Centers, that takes a look at how the IoT is impacting the colo industry today.