Connectivity is a problem, not the room.

I ran the IT side of a media company once, and it all worked on a half-empty rack of hardware in a small closet... except for the servers that needed bandwidth. These were colocated. Until we realized that the hoster did not have enough bandwidth, at which point we migrated to two bare metal servers at Hetzner.

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marcosdumay 6 days ago | parent [-]

It's connectivity, reliable power, reliable cooling, and security.

The actual space isn't a big deal, but the entire environment has large fixed costs.

	▲	sam_lowry_ 5 days ago \| parent [-]
		In abstract yeah. In practice, all that except connectivity is relatively easy to have on-site. Connectivity is highly dependent on the business location, local providers, their business plans and their willingness to go out of their way to serve the clients. And I am not talking only about bandwidth, but also reserve lines and latency.