What Is A Co-Location Agreement

For some organizations, co-location may be an ideal solution, but there may be drawbacks in this approach. Distances can result in increased travel costs when devices need to be processed manually and colo customers can lock themselves into long-term contracts, which could prevent them from renegotiating prices when prices drop. It is important for an organization to carefully review its colo`s service level agreements (SLAs) so as not to be surprised by the hidden fees. It is always possible that a Colocation provider will make a concession simply because you have requested it. This is especially true now, given the state of the economy, given that roommate providers might be concerned about filling the unused space in their computing centers. If you are not able to get what you only ask by questions, then you might consider applying for a concession in exchange for the advance of a part of the lease. The main provisions of this comprehensive document concern the co-location services themselves, the maintenance and repair of the client`s hosted equipment, optional additional services and the client`s obligations. Important variables in the model, such as the exact nature of the co-location services, the details of the customer`s equipment, the details of the service provider`s facilities and the fees paid for the co-location services are all comfortably placed in a number of schedules at the end of the agreement. These should be completed with care and contain as much detail as possible. Regardless of the method used by a co-location provider to transmit ALS, it is extremely important to see what ALS covers. Some Colocation providers offer SLAs covering all data center services. This means that the provider guarantees a certain degree of availability for things like power supply, cooling, Internet connection and maybe even technical support.

Other Colocation providers offer ALSs that apply only to the availability of electricity. These providers may not provide guarantees about the availability of other data center services. Whether you want to rent a colocation facility for disaster recovery or because you`ve over-edmeded your own data center, it`s important to get the cheapest rental terms you can get.