What colocation means: your hardware in rented space
Colocation means you place servers you own in rented space inside someone else's data center. The facility supplies power, cooling, physical security and a network connection. You still own the hardware and the software on it. Teams that do not own a server usually rent a dedicated server instead.
The hosting sense is not the English word collocation, which means two words that habitually sit together, such as strong coffee. In a data center, colocation (often shortened to colo) is rented space, power and a network port for equipment the customer bought.
- You own the metal — the server, storage and network gear are yours.
- They own the building — power, cooling and the locks stay with the operator.
- You rent a footprint — not a machine they supply and replace.
What a colocation data center supplies
A colocation data center is the building. Colocation is the service of renting part of it. The operator does not hand you a server. They hand you a place to put yours, plus power, cooling, locks and a network connection.
- Power — utility feeds, UPS and generators, billed by the circuit or the kilowatt.
- Cooling — the hall stays in a range the hardware can run in.
- Physical security — staffed access, cameras, and a locked cabinet or cage.
- A network port — or a cross-connect to a carrier you choose.
A rack unit, written 1U, is 1.75 inches (44.45 mm) of vertical space. A common full cabinet is 42U. A 2U server takes two of those slots, not the whole rack.

How colocation differs from a data center, dedicated hosting and cloud
A data center is the place. Colocation is one way to use it: you bring the hardware. Dedicated hosting rents you the whole server. Cloud rents capacity on hardware you never unpack and usually cannot point to one machine.
| Colocation | Dedicated server | Public cloud | |
|---|---|---|---|
| Who owns the server | You | The host | The cloud vendor |
| What you rent | Space, power, cooling, a port | The whole machine | Capacity, often by the hour |
| Where it sits | A facility you can name | The host's data center | A region, not one rack you point to |
| Who maintains the OS | You, unless hands are a separate contract | You, or the host on a managed plan | You for the guest; the vendor for the platform |
Read what a data center is for the building, and what a dedicated server is when you want the machine without buying one.
Retail, cage and wholesale colocation
Providers sell colocation in three sizes. Retail is a few rack units, one cabinet, or a lockable cage in a shared hall. Wholesale is a larger private suite or hall with a bigger power commitment, usually for one customer. Hybrid keeps some systems in your own room and places the rest in colo, or links that rack privately to a cloud.
One example: a company buys a 2U server, ships it to the facility, and staff rack it, then patch power and one network port. The company's admin manages it from their own office. A virtual machine with no box of yours is not colocation.
How colocation is priced: space, power and the port
Colocation bills are built from parts, not from one server plan. Usual lines are rack space, by the U or by the cabinet, power as a circuit or a kilowatt commit, bandwidth or a cross-connect, and remote-hands hours. WebJi® does not publish a colocation rack price.
WebJi® adds 18% GST on hosting invoices. This page has no colo rate, so a cabinet is quoted by email before payment. If you do not own a server, price a dedicated machine instead. Contact WebJi for a quote and say whether you are shipping hardware or need a machine supplied.
How IPMI and remote hands manage a colocated server
You will not stand in the aisle for a reboot. Out-of-band management, often IPMI or a vendor baseboard controller, reaches power, console and sensors even when the operating system is down. You use that path for installs, reboots and hardware alerts.
Remote hands are the people on site. They do physical work you describe: reseat a drive, swap a labelled cable, or power-cycle a box whose management port is dead. They are not your system administrator unless a separate contract says so. Ask what a visit includes and how you authorise it.
Who colocation suits, and when a dedicated server is simpler
Colocation suits a team that already owns servers, has someone who can administer them, and needs data-center power and locks rather than an office cupboard. It also suits a second site when a rule requires equipment off your own premises.
It is a poor fit when you have no hardware, no one to patch the operating system, or no reason to visit a cage. A dedicated server gives you one tenant on one machine without shipping a box. WebJi® has no walk-in colo cage. The registered office is in Jaipur, and about 99% of clients are served online.
Frequently Asked Questions
What does colocation mean?
Colocation means you place servers and related hardware that you own into rented space in a third-party data center. You pay for space, power, cooling and a network connection. The operator does not supply the server.
What is the difference between a data center and colocation?
A data center is the building that houses computing equipment. Colocation is the service of renting part of that building for hardware you own. A data center can also host cloud and dedicated servers that the operator owns.
How is colocation different from dedicated hosting?
In colocation you own the server and rent the rack. In dedicated hosting the provider owns the server and rents the whole machine to you. You still administer the operating system on a typical unmanaged dedicated server.
What is a colocation example?
A firm buys a 2U server, ships it to a data center, and the operator mounts it, connects power and a network port. The firm's admin then manages it remotely. A virtual machine with no box of your own is not colocation.
How is colocation priced?
Providers itemise rack space, power, bandwidth or a cross-connect, and remote-hands time. WebJi® does not publish a colocation price. Email support@webji.services for a quote before payment. Published hosting prices are before 18% GST.
Do colocation providers manage the server?
The facility manages the building: power, cooling, locks and, if you buy it, remote hands. They do not patch your operating system or your applications unless a separate contract says so. You keep administrator access.
Is WebJi® an Indian company?
Yes. WebJi® is headquartered in Jaipur, Rajasthan and has operated since 2005. Billing, support and governance all run from India.
Do you provide GST invoices?
Every purchase and renewal gets a GST invoice with our GSTIN, and hosting prices are quoted exclusive of 18% GST. Claim input credit as applicable.

