Colocation Prices Across Major Data Centers in India and Abroad

In today’s digital-first business world, having robust IT infrastructure isn’t just a technical requirement—it’s a strategic asset. With the exponential growth of data and the increasing demand for low-latency applications, companies are rethinking how and where they house their servers.

According to a report by ResearchAndMarkets, the global colocation market is expected to reach USD 62 billion by 2028, with India emerging as a rising hub thanks to its digital economy, data localization norms, and rising demand for cost-effective alternatives to cloud.

But here’s the reality check—colocation prices vary drastically across regions, providers, and service models. From Mumbai to Frankfurt and Singapore to Noida, pricing models are influenced by everything from rack space to power consumption, bandwidth, and compliance needs.

This blog explores colocation prices across major data centers in India and abroad, explains what affects these costs, and why platforms like Cyfuture Cloud are helping businesses strike the right balance between affordability and performance.

What Is Colocation Hosting, and Who Needs It?

Colocation, often called colo, is a hosting model where you own the server hardware, but rent space in a professional data center to house it. Think of it as “BYOS”—Bring Your Own Server.

Instead of running critical workloads from your in-house server room (with power failures and no 24/7 surveillance), colocation allows you to benefit from:

Enterprise-grade cooling and power infrastructure

Physical and network security

Redundant internet connectivity

Professional maintenance and support

It’s the go-to model for companies that want to retain control over hardware but need the resilience and connectivity of a managed data center. It also serves as a solid hybrid alternative to cloud hosting.

Key Cost Factors in Colocation Pricing

Before we jump into region-wise pricing, let’s first break down the main elements that influence colocation prices:

1. Rack Space

The most basic pricing unit. Usually offered as:

Quarter Rack (10U)

Half Rack (20U)

Full Rack (42U)

The more space you occupy, the more you pay. But larger configurations tend to benefit from volume discounts.

2. Power Usage

Colocation data centers typically bill based on kW per rack. Power-hungry setups with GPUs or high-performance storage will cost more.

Average pricing per kW per month:

India: ₹12,000–₹22,000

Singapore: SGD 400–SGD 700

USA: USD 200–USD 500

Europe: €250–€600

3. Bandwidth & Connectivity

You’ll pay for a dedicated internet connection or burstable bandwidth. Some providers bundle it with rack charges, others price separately.

10 Mbps in India: ₹5,000–₹10,000/month

100 Mbps in Europe: €150–€300/month

4. Security and Compliance

Tier-III or Tier-IV data centers may charge a premium for higher SLAs, surveillance, biometric access, and compliance support (e.g., ISO, HIPAA, GDPR).

5. Remote Hands

If your tech team isn’t on-site, data centers offer remote support (troubleshooting, reboots, cable swaps) billed hourly or monthly.

Colocation Prices in India: A City-wise Breakdown

India’s colocation market is maturing quickly. Here’s a look at the average pricing across top Indian cities:

Mumbai

Most popular data center hub due to undersea cable landing stations

Ideal for fintech, OTT, and AI workloads

Full Rack Price: ₹55,000–₹90,000/month

Power (per kW): ₹15,000–₹25,000

Connectivity: Additional ₹5,000–₹15,000

Delhi NCR (Noida/Gurgaon)

Fast-growing Tier-III and IV colocation space

Proximity to government, PSU, and IT sectors

Full Rack Price: ₹50,000–₹80,000/month

Colocation with hybrid cloud options available via Cyfuture Cloud

Bangalore

Dominated by SaaS and tech startups

Relatively competitive pricing

Full Rack Price: ₹45,000–₹70,000/month

Best for AI/ML workloads

Chennai & Hyderabad

Growing due to government smart city projects and regional demand

Full Rack Price: ₹40,000–₹65,000/month

Colocation Prices Abroad: A Global View

Let’s compare how Indian colocation pricing stacks up against international hubs:

Singapore

Regional APAC hub

High reliability but expensive

Rack Price: SGD 1,500–SGD 2,500/month (~₹90,000–₹1.5L)

Power: SGD 500–700/kW

Popular with Indian firms targeting Southeast Asia

United States (Silicon Valley & New York)

Massive variety in pricing depending on facility and services

Rack Price: USD 800–USD 1,800/month (~₹66,000–₹1.5L)

Power: USD 250–USD 500/kW

Ideal for global SaaS businesses

Germany & Netherlands (Europe)

Known for data privacy and energy-efficient facilities

Rack Price: €1,000–€2,000/month

Offers good latency to EU markets

Dubai & Middle East

Gaining traction for compliance-focused companies

Rack Price: AED 3,000–5,500/month

High-quality but pricier for Indian companies

How Cyfuture Cloud Makes Colocation Work Smarter

While many providers offer raw space and power, Cyfuture Cloud goes beyond by offering smart colocation solutions tailored to Indian businesses.

Why Choose Cyfuture?

Pan-India Tier-III Data Centers in Noida, Jaipur, and Bangalore

Competitive pricing starting from ₹40,000/month

Free consultation to optimize rack usage and power

Cloud+Colocation hybrid models to scale workloads

DDoS protection, redundant power, and 24/7 security

Whether you’re a startup looking to secure your servers or an enterprise planning to offload infrastructure from your HQ, Cyfuture’s colocation hosting is designed to scale with your ambitions.

Cloud vs. Colocation: Which One to Pick?

Sometimes, businesses are confused between colocation and cloud. Here’s a quick guide:

Many modern businesses opt for hybrid infrastructure—using colocation for critical workloads and cloud for elastic apps.

Conclusion

Colocation is no longer a luxury—it’s a strategic decision for businesses wanting better control, performance, and long-term cost benefits. With pricing in India becoming more competitive, and access to Tier-III and IV facilities improving, it’s never been a better time to consider colocation hosting.

That said, understanding colocation prices—whether in Mumbai or Munich—is critical to making informed infrastructure decisions. As seen, while international data centers offer global reach, India-based providers like Cyfuture Cloud offer the perfect blend of performance, affordability, and strategic location.

If you're ready to bring your own server to a secure and well-connected home, or thinking of combining colocation with cloud, now’s the time to explore providers who know the Indian landscape—and your business needs.