As we live more and more of our lives online, the exchange of digital information is becoming increasingly important to keep businesses running. Digital exchanges require massive computing and networking equipment that resides in a central physical space called a data center.
A data center is an specialized computer room which houses the storage and computing equipment of a business. The main components of a data center include servers, which house the processing power needed to transform raw data into useful information and storage devices that hold the data on hard disk drives or robotic tape. A data center also relies on networking and communication equipment such as routers, switches and miles of cables to facilitate the flow of data between servers.
The term “data center” began to be used in the 1990s as IT operations grew and the cost of networking equipment made it possible for companies to house their networking equipment within an centralized space. Companies can either build their own data center on their own premises or work with a third party provider of data center services that provide managed and colocation services. Third-party options are often more efficient in terms of energy data center types and cost. They are also a cheaper alternative to facilities on premises.
Many of these third-party options also offer greater flexibility in terms of the management of policies. For example, a data center can offer multiple policy environments in a single location that allows IT to limit the workload of data by establishing distinct policies that meet compliance demands across geographies and business units. This can significantly reduce security risks as well as improve overall information governance.