Opening  a New Data Center For Webhosting Needs

Posted on 2004-09-12
Medium Priority
Last Modified: 2010-03-18

I am intrested in opening a New Data Center for web hosting needs, my question is :-

What does a Data Center need? I am willing to do start a Hosting company and my main concern * focus is to be stand in front of the giant.

What could be the startup cost
For initial stage how many servers and of which brand ?
Do you guys recommend running Ensim pro on all servers in a starting stage if not than what could be the solution ?
How much back bone *bandwidth I need , and how much is going to cost.
How many UPS
What type of hardwared , in order to protect my server .

How many hubs, switches, wires . I need to know what you guys think should be a startup cost to start a nice strong and decent Hosting Company.

Please kindly give a detail answer.

Question by:wcws
  • 2
LVL 40

Expert Comment

ID: 12039024
This is really an impossible question to answer. One could start web hosting with as little as a single server, a fractional T1 and a corner of a room. Or it could start with a true data center (fire proof construction, redundant air conditioning, fire suppression, and standby generator), hundreds of rack mounted servers, and multiple T3's (or better). It's all about how much money you have to invest in start up and the first couple of years of operational costs as you build up a customer base.
LVL 13

Accepted Solution

td_miles earned 1000 total points
ID: 12043245
I think the fact that you are asking all these questions tells me that you haven't thought it through properly. You need to do your own research, come up with the answers yourself and then evaluate the merits of the business proposal.

I'm not trying to be harsh, but unless you have money to throw away, you need to be confident that the business may have some chance of succeeding. Are you supplying the capital and the technicial setup, or just one or the other ?

If I was going to do something like this, I would LIKE to start with quality hardware and quality bandwidth. In reality, most of the businesses that are currently running started off with white-box hardware and the bandwidth they could afford and grew from there. Unless you have some big solid contracts, I would imagine you would have to start the same and build up a customer base, then you might be able to look into upgrading (as jlevie said).

The questions about bandwidth will depend a lot on where you are and what is available. For this reason, hosting providers tend to aggregate around Internet Exchange points where the bandwidth is plentiful and they can choose as they wish.
LVL 40

Expert Comment

ID: 12044133
And don't forget that a part of the business plan has to be operating capital for the startup period when you won't have enough customers to meet expenses.

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