Why Colocation Data Centers Thrive in Cities While Hyperscalers Prefer Rural Areas
Data centers play a vital role in supporting AI tools and online services. Two main types are colocation centers and hyperscale data centers. Colocation centers, or colos, lease space to various companies, while hyperscalers are large cloud providers that build and operate their own extensive data centers. The locations of these centers influence how AI tools function effectively. TL;DR Colocation centers are often located in cities to provide low-latency connections to nearby businesses. Hyperscale data centers tend to be in rural areas due to land availability and lower power costs. These location choices reflect different needs for AI services, balancing speed and scale. Colocation Centers and Urban Advantages Colocation centers are typically situated in urban areas. Cities offer proximity to businesses that require fast data connections and minimal delay. This closeness allows colos to better support AI applications needing quick response time...