Why Chennai Is the Ideal Location for Your Colocation Needs

India has also started demonstrating favorable policies in a particular region, and Chennai the capital of Tamil Nadu, has become one of the most popular locations for colocation services.

This knowledge base article aims at explaining why business organizations should consider colocation solutions in Chennai and reveals colocation strategies and costs in the context of the city. The collocation in Chennai can make or mar the Strategic plan or layout of IT infrastructural needs of any company, large or small.

1. Chennai's Strategic Advantages for Colocation:

a) Geographical Location:

Chennai being located on the coast of the Bay of Bengal has fresh water seaport connectivity to foreign countries. Availability of submarine cables to the city ensure strong global network connection to the city.

b) Infrastructure Development:

Chennai has relatively sound numbers in infrastructural aspects such as the energy supply and communication system. Additional improvement of the technological profile is given by its strategic focus on smart city themes.

c) IT Hub:

Often referred to as the ‘Detroit of India’ because of the fast-growing automotive sector, Chennai has risen to become an IT powerhouse. Maintaining dual identity brings the variety of enterprises which in turn fosters the prosperous future of colocation services.

d) Skilled Workforce:

Education institutions are many in this city and thus provide a pool of talent in IT professionals who can be hired by colocation providers to manage and maintain data centers.

e) Climate Considerations:

Chennai's temperature is tropical, and new-age data centers in the city are built with sophisticated cooling mechanisms to provide a healthy working climate, which is often relatively cheaper than developed cooler regions.

2. Key Benefits of Choosing Chennai for Colocation:

a) Cost-Effectiveness:

Compared to the more established cities of Mumbai or Bangalore, for instance, the prices offered for colocation services are relatively reasonable and within the same range in Chennai but with equal access to similar standard of services.

b) Disaster Recovery:

Chennai, unlike other large metro cities in India, is geographically located and therefore provides adequate solutions for disaster recovery and back up.

c) Growing Digital Economy:

Due to the fast-growing size of the digital economy in the city, it will be possible for the business to grow and interconnect with the business environment in the city.

d) Government Support:

There is a favorable policy environment towards IT in the Tamil Nadu state government, and offering incentives for the intake of data center establishments to Chennai makes it favorable to power colocation and its clients.

3. Colocation Plans in Chennai:

Colocation providers in Chennai offer a variety of plans to cater to different business needs. Common plan types include:

a) Full Rack Colocation:

Ideal for businesses with significant hardware requirements, full rack plans provide an entire rack in the data center for exclusive use.

b) Half Rack Colocation:

Suitable for medium-sized businesses or those with moderate hardware needs, half rack plans offer a balance between space and cost-effectiveness.

c) Quarter Rack Colocation:

Perfect for small businesses or startups, quarter rack plans provide essential colocation services at a more accessible price point.

d) Custom Cage Solutions:

For enterprises with specific security or space requirements, many providers offer custom cage solutions with dedicated, enclosed areas within the data center.

4. Colocation Pricing in Chennai:

Here's an overview of pricing considerations:

a) Rack Space:

- Full Rack: Ranging from ₹40,000/- ₹80,000/- per month

- Half Rack: Roughly costs from ₹25000 to ₹50000 in a month

- Quarter Rack: Rates of services begin from ₹15,000 to ₹30,000 per month

b) Power Consumption:

Almost all providers have stand-alone tariffs for power consumption. The costs could be anywhere between ₹10 to ₹15 per kWh, depending on the specific data center, and the local tariffs for electricity.

c) Bandwidth:

There is a complex distinction in bandwidth prices with regard to quantity and type, permanent and temporary. Ambit claims monthly committed bandwidth prices to range between ₹3,000 and ₹10,000 per Mbps.

d) Cross-Connects:

Cross-connect or the connection to other networks within the data center costs about ₹2,000 to ₹5,000 per month per cross-connect.

e) Remote Hands Support:

It is possible to hire ‘extra’ services where the provider will be holding your hand for additional money; the cost ranges between ₹1,000 to ₹2,500 per hour.

f) Setup Fees:

Some of these include the establishment fees per item that cost anything between ₹10,000 and ₹50,000 depending on the complexity of the installation process.

Note: Price may differ according to time and industry updates.

5. Factors Influencing Pricing:

Several factors can influence the final pricing of colocation services in Chennai:

a) Contract Length:

Longer-term commitments often come with discounted rates.

b) Service Level Agreements (SLAs):

Higher uptime guarantees and more comprehensive SLAs may come at a premium.

c) Additional Services:

Value-added services like advanced security features, managed services, or specialized cooling solutions can affect the overall price.

d) Data Center Tier:

Higher tier data centers (Tier 3 or Tier 4) generally command higher prices due to their advanced infrastructure and redundancy.

6. Choosing the Right Colocation Provider in Chennai:

When selecting a colocation provider in Chennai, consider the following:

a) Reliability:

Look for providers with a proven track record of uptime and performance.

b) Connectivity Options:

Ensure the data center offers diverse connectivity options and access to major telecom providers.

c) Scalability:

Choose a provider that can accommodate your future growth needs.

d) Security Measures:

Evaluate the physical and digital security measures in place at the facility.

e) Compliance Certifications:

Verify that the provider meets relevant industry standards and compliance requirements.

Conclusion:

First of all, Chennai is located in an advantageous position, and has a well-developed infrastructure, as well as its rates are relatively low, which attracts many companies interested in colocation services. Co-location services provided by the city come in different plans and services depending on the client being a start-up firm or a large corporation. The cost may significantly depend on certain prerequisites and service suppliers; nevertheless, overall, the solutions of Chennai are comparatively affordable to other large urban centers of India.

Review the plans and the accompanying cost of colocation when making your decision in Chennai. Pay attention to more than just the price; consider effectiveness, expandability, and protection. As Kolokolov of the Moscow-based Monolith Company points out, the center of gravity within the IT market and colocation infrastructure continues to shift to the south of India, particularly Chennai, and infrastructure development remains uninterrupted.