As we spend more time online exchange and sharing of data via the internet is becoming more vital to ensure that businesses are running. Digital exchange requires huge computer and networking equipment, that are housed in an centralized physical location, known as a datacenter.

A data center is a specialized computer room that houses the storage and computing equipment used by an organization or company. The essential components of a data center comprise servers that provide the power to process raw data into usable data, and storage devices that store this information on a robotic tape or hard-disk drives. Additionally, a data center relies on networking and communication equipment such as routers, switches and miles of cables to facilitate the transfer of information between servers.

In the 1990s, as IT operations grew and businesses began to adopt cheap networking equipment to store their networking equipment in central locations and the term “data center” was the first to be used. Nowadays, companies can choose to construct their own data centers on their own premises or work with third-party service providers who provide colocation, managed and cloud services. Third-party options usually offer an energy-efficient and cost-effective alternative to on-premises data centers.

Many of these third-party options also provide greater flexibility around the management of policies. A data center, for instance, can offer multiple policy environments in a single location. This allows IT to limit the data-related workloads by setting distinct policies that meet standards for compliance across regions and companies. This can dramatically reduce security risks and enhance overall information governance.

types of data centers

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