Many organizations are faced with the need to upgrade their servers to support advanced applications. Many are also looking for ways to avoid the upfront costs and effort associated with buying, installing, maintaining and managing server hardware.
One option is to use a public cloud service and “rent” the service provider’s infrastructure. Components such as compute, networking and storage are delivered virtually via the Internet and scaled up or down as needed. This eliminates the need to purchase, install and maintain infrastructure on-premises.
However, the public cloud isn’t right for every application, particularly if sensitive data is involved. Additionally, the public cloud requires skill sets that many organizations lack, and costs can be unpredictable.
An alternative is the hosted server model, in which customers pay to use a physical or virtual server that is owned and maintained by the service provider. Organizations can choose from dedicated hosting, shared hosting and virtual private servers depending on the level of control and resources required. Organizations only pay for the resources they need today rather than trying to predict future IT infrastructure demands.
Value Across Industries
The hosted server model is particularly valuable in today’s highly competitive marketplace, with organizations under constant pressure to optimize operations and improve business agility. It allows organizations to conserve capital while eliminating the need to manage depreciating IT assets that must be upgraded every few years.
With hosted servers, organizations are no longer limited by what their on-premises infrastructure can handle and in-house personnel can manage. They can deploy server resources quickly with minimal risk. This makes it easier to take advantage of technological innovations that speed time to market, enhance decision-making and provide competitive advantages.
Ongoing management is a key benefit of the hosted server model. The service provider performs routine maintenance and management tasks so in-house IT teams can focus on strategic initiatives. Performance and availability are constantly monitored to ensure application requirements are met. Service providers also typically offer technical support to help with any issues the IT team can’t handle.
Meeting Regulatory Requirements
Organizations in highly regulated industries may hesitate to adopt hosted servers, but use cases are increasing. By moving back-office systems to the service provider’s environment, organizations can reduce or eliminate headaches related to hardware procurement, installation and maintenance, and power and cooling costs. Customer-facing applications and analytics tools are often easier and less expensive to manage in the hosted server model.
Many organizations are more comfortable keeping certain data in the corporate data center to meet regulatory requirements. However, the hosted server model enables these organizations to take advantage of new services and capabilities and expedite important business initiatives. Also, with better security tools and expertise, the service provider’s infrastructure is typically more secure than an on-premises environment.
Choosing the Right Provider
When choosing a hosted server provider, organizations should start by identifying the reasons for moving to hosting, what they hope to achieve and how progress will be measured. Ask prospective providers several questions. Is there an uptime guarantee? How is data secured? What is your disaster recovery process? What kind of technical support do you offer? Which services and costs are included, and which ones are extra? What certifications do you have to prove you adhere to industry best practices and standards?
Partnering with a qualified managed services provider such as Verteks can be beneficial. We have the expertise to help you determine if you should move to a hosted server model and which services make the most sense. Let us help you understand how to take advantage of hosted servers and choose the right solution for each use case.
