What You Need to Know About Data Center Pricing Models

Deciding which colocation data center to choose is a tough decision that the C-suite of many enterprise organizations has to make. Typically, this decision is done by submitting an RFP (Request for Proposal) to multiple vendors, and then evaluating the best fit in terms of features and price.

What You Need to Know About Data Center Pricing ModelsWhen it comes to price, comparing pricing quotes from multiple vendors can be daunting task, often because the pricing models are so different. You may be even comparing apples to oranges, as pricing is based on complex service and data models. Here are some insgihts on how colocation data center pricing models work to help you make the right decisions.

1. Price per square foot: In this model, the pricing is done based on the space requirements of the data center. Many data center consumers like this model since one can have different power output from the same space dimension. For data center computing, it is recommended to pay based on the computing power provided by the vendor rather than the space provided.

2. Price for Power output: Within this model of pricing, again there are multiple options that one can choose from.

· Circuit based pricing: Again a use it or lose it model, where the pricing is done based on the power consumption per circuit required for running the data center.

· Metered IT Load: This is a more straightforward and simpler option with variations in pricing models that have add-ons for cooling costs and additional space costs.

· Metered IT Load and Metered CRAC Load: This is a hybrid and complicated option that tries to factor in the power and cooling costs based on consumption but often has a down side of resulting in higher costs to customers.

· All in pricing: This is an all-inclusive pricing that model that also factors in management fees, fuel charges, common fees and taxes. It is a preferred model to use since the probability of surprise and hidden costs are less.

Looking for a solution that fits your needs in terms of prices and services? Get a quote from Lifeline Data Centers today.

Alex Carroll

Alex Carroll

Managing Member at Lifeline Data Centers
Alex, co-owner, is responsible for all real estate, construction and mission critical facilities: hardened buildings, power systems, cooling systems, fire suppression, and environmentals. Alex also manages relationships with the telecommunications providers and has an extensive background in IT infrastructure support, database administration and software design and development. Alex architected Lifeline’s proprietary GRCA system and is hands-on every day in the data center.
Alex Carroll