Dec 17
2009

A Managed Hosting Overview

in Server HostingManaged ServersManaged HostingDedicated Hosting

s are the perfect solution for high traffic websites, large businesses. They are also a useful solution for any person or comply seeking to  start their own web hosting service. These need to be consider against managed hosting and the managed server solution.

Owning a server may, on the surface save you money; it may also seem like a stable long term solution. You could for example lease an unmanaged dedicated server for well under $50/month — hundreds of dollars less than a fully managed hosting and managed server solution — as long as you’re willing to perform basic tasks yourself. That may offer level of flexibility, plus options but does this offer best business case outcome?

For one thing managed hosting  services vs. managing your own servers requires consideration of the investment which may be an unexpected or previously not budgeted for under capex.

In the context of a business climate where prudent capital expenditure decisions are warranted, more and more businesses are making outsource- based decisions to minimise investment in non revenue generating activities. Managed hosting and managed server decisions fall into this category.

In essence, a managed hosting environment eases this burden on a company’s balance sheet through a periodical payment option by offering carrier grade shared infrastructure that is  both resilient and scalable. Under normal commercial arrangement between service providers and their customers such costs are spread over the term of the contract, rather than as single capex item appearing on the balance sheet. For most business as this can result in a return on investment at a more rapid rate than otherwise.

For example, under present accounting principles, server components depreciate at the rate at which technology advancements increase. The underlying principal behind this is that historically, in technology – and that includes the managed hosting and managed server space, advancement occurs at rapid rate with continuous improvements for example in chip technology and memory storage properties and in system upgrades.

One of the major benefits of using managed server hosting is time. Every service offered by the host is a service that would have to be covered by your staff if you were to manage your own server. With limited resources most small to medium sized businesses,  time spent managing the server could lead to a loss of time actually running the business and its day-to-day operations.

A managed hosting and managed server solution offers access to the hardware spares pools on site experts that will minimise outage time should the worst happen. Having your own team of infrastructure specialists is more often than not, not an option in a capital rationed business.

and managed hosting technology is continuously evolving.  A fully managed hosting facility offers the business manager or owner peace of mind that the people, processes as well as the physical location are secure and running to industry best practice.

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