Server Colocation Cost Comparison for Top Providers in India

Let’s talk numbers. According to a recent NASSCOM report, India’s data center market is expected to reach 1.4 gigawatts of capacity by 2025, growing at a compound annual growth rate (CAGR) of over 20%. That’s not just impressive—it’s a clear indicator of the booming need for secure, scalable, and cost-effective cloud server infrastructure.

Amid this boom, server colocation has emerged as a game-changer for businesses that want full control over their physical hardware—without the burden of building and maintaining their own data centers.

And here’s where it gets tricky: while everyone talks about colocation, understanding server colocation cost and comparing plans from top Indian providers is not always easy. Prices vary widely based on power, bandwidth, location, support, and hidden charges.

In this blog, we’re breaking it all down. You’ll get a clear picture of what server colocation means, what affects pricing, a comparative overview of top Indian players—including Cyfuture Cloud, and how to make an informed decision that supports your growth trajectory.

What is Server Colocation, and Why Should You Care?

In simple terms, colocation hosting is when you own your servers and place them in a third-party data center for storage and maintenance. You get access to reliable power, cooling systems, physical security, and high-speed internet—without paying for or managing the facility.

It’s different from cloud hosting where you rent virtual resources. With colocation, you retain ownership of your hardware while benefiting from enterprise-grade infrastructure.

Here’s why businesses in India are leaning toward colocation more than ever:

Data Residency Laws: More companies are seeking local hosting solutions due to compliance needs.

Cost-Efficiency at Scale: Owning servers long-term often proves cheaper than cloud subscriptions.

Better Control and Security: Physical access, custom firewall rules, and hardware-level control make colocation appealing to finance, telecom, and SaaS sectors.

Factors That Impact Server Colocation Cost in India

Before diving into the numbers, let’s unpack what goes into a typical server colocation cost structure:

Rack Space: This refers to the physical space (measured in U or full racks) where your server is housed.

Power Consumption: Billed per Amp or Kilowatt (kW), this is often the biggest cost driver.

Bandwidth: Costs depend on the data transfer capacity, often charged per Mbps or GB.

Location of Data Center: Hosting in Tier-1 cities like Mumbai or Delhi is generally more expensive than Tier-2 cities.

Support Services: Remote hands, on-site troubleshooting, reboots—all can add up.

Security & Certifications: Tier III or Tier IV certified data centers with ISO, PCI DSS, and HIPAA compliance often come at a premium.

Additional Services: Firewalls, backup storage, DDoS protection, and monitoring can influence total costs.

Server Colocation Cost Comparison: Top Providers in India

Now let’s get to the core. Here’s a comparison of top server colocation providers in India, including what they offer, price estimates, and key highlights. Please note these are indicative ranges as exact pricing often varies by configuration and negotiation.

Note: All pricing is monthly and may vary based on contract length, power consumption, and location. Custom enterprise plans can go higher.

Why Cyfuture Cloud Deserves a Closer Look

While many providers focus heavily on big-ticket enterprises, Cyfuture Cloud offers modular and affordable colocation plans suitable for startups, SMEs, and enterprise clients alike. Here’s what sets them apart:

Flexible Server Rack Options: Whether you need 1U for a single server or a full rack, they’ve got plans that scale.

1Gbps Port Speed with scalable bandwidth

1TB Cloud Storage add-ons available for backup and hybrid cloud integration.

India-based NOCs with real-time server monitoring

99.995% Uptime Guarantee backed by Tier III data center infrastructure

For businesses looking to keep their data within India while still enjoying the reliability and flexibility of a modern cloud-first provider, Cyfuture Cloud offers a compelling value proposition.

Cloud and Colocation: Not Mutually Exclusive

A growing number of Indian enterprises are taking a hybrid approach—placing their mission-critical workloads on colocated physical servers while leveraging cloud platforms for elasticity, storage, and DR (disaster recovery).

With providers like Cyfuture Cloud, this hybrid strategy is easier to implement. Their colocation services integrate seamlessly with their cloud offerings, making it easy to spin up virtual servers, manage backups, or deploy load balancers—all while retaining physical control over core hardware.

This approach offers the best of both worlds: the performance and control of owned servers with the flexibility and on-demand scalability of the cloud.

Hidden Costs to Watch Out For

Not all server colocation plans are as transparent as they seem. Here are a few things to keep an eye on:

Installation Fees: One-time setup charges that may not be advertised upfront

Power Overages: Exceeding allocated power can lead to surcharges

Remote Hands Fees: Some providers charge even for basic troubleshooting

Bandwidth Throttling: Unlimited bandwidth plans often have fair usage limits

Cyfuture Cloud is known for transparent billing and well-documented SLAs—minimizing unpleasant surprises.

Conclusion: Make Your Server Work Smarter, Not Harder

In the fast-evolving Indian tech landscape, server colocation is no longer reserved for large corporations with deep pockets. From emerging SaaS startups to fast-growing eCommerce brands, more businesses are choosing to own their infrastructure while outsourcing the headaches of facility management.

But the key is choosing the right partner—one that offers more than just rack space. The ideal provider should offer scalable plans, hybrid-ready integration with cloud services, transparent pricing, and a strong support system.

Cyfuture Cloud checks all these boxes—making it one of the most cost-effective and flexible colocation providers in India today. Whether you’re setting up a small 1U deployment or building a high-availability cluster across racks, the server colocation cost at Cyfuture is designed to grow with your business.

So, if you're ready to level up your infrastructure, don’t just compare prices. Compare value. And make sure your hosting partner is future-ready—just like you.