Data center as a service (DCaaS) is a cloud computing offering where an organization can outsource the operations and maintenance of its entire data center to a cloud provider. With DCaaS, a company can leverage the expertise, infrastructure and economies of scale of large service providers rather than building and managing its own on-premise data center.

Advantages of the DCaaS Model
One of the major benefits of the DCaaS model is that it eliminates the upfront capital expenditure required to build a data center. Companies can avoid spending millions on real estate, power and cooling infrastructure, servers, storage and networking equipment. With DCaaS, these infrastructure costs become variable operating expenses.

DCaaS also allows organizations to scale their data center resources up and down elastically based on business needs. Companies no longer need to overprovision for peak capacity and can instead pay only for the infrastructure they utilize. This improves infrastructure utilization significantly.

Outsourcing data center management to experts frees internal IT teams from mundane maintenance and support tasks. Service providers have 24x7 operations teams that monitor infrastructure health and perform maintenance, patching, upgrades and disaster recovery tasks. This improves service reliability for the company.

Flexible Consumption and Payment Models
Most Data Center as a Service providers offer flexible consumption models and payment options. Services can be purchased on-demand where companies pay per use or through reserved virtual infrastructure where they pay a monthly/annual fee for dedicated capacity.

This allows companies to align data center expenses closely with business demand. During growth phases, they can easily scale up resources without lead time. And during lean periods, costs remain variable. Some providers even allow customers to convert CAPEX to OPEX by bringing their existing gear to the provider's facility.

Reduced Costs and Improved Performance
Due to massive economies of scale, leading DCaaS providers are able to deliver infrastructure services at a much lower overall cost compared to customer-managed data centers. They achieve 20-40% lower TCO through higher utilization, lower real estate costs and more efficient operations.

Locating workloads within hyperscale provider data centers also improves application performance. Customers get low-latency access to robust ecosystems of cloud services like compute, storage, databases, analytics etc. Colocating in major connectivity hubs ensures high bandwidth connectivity to end users.

Simplified Management and Operations
DCaaS absolves companies of all responsibility of managing, operating and maintaining physical infrastructure which represents up to 70% of data center tasks. The provider handles patching, upgrades, failover and disaster recovery procedures transparently.

They also assume responsibility for complying with data governance regulations like PCI DSS, HIPAA etc. This simplifies audits and reduces compliance risks for customers. Detailed metrics and reports give visibility into infrastructure and application performance. Multi-layered security further enhances protection.

Workload Portability and Hybrid Options
With data centre as a service, workloads can easily move across provider regions for business continuity, low latency access or cost optimization. Existing applications need not be rewritten and can seamlessly operate in the new environments.

Most major providers also offer hybrid deployment options. Customers can run workloads simultaneously in both on-premise private clouds and the provider's public cloud infrastructure. This allows a flexible transition path from legacy data centers to the cloud.

Choosing the Right DCaaS Provider
With leading providers like AWS, Microsoft Azure, Google Cloud, IBM, Oracle and switch/colocation operators entering the market, customers have many choices when it comes to data centre as a service. While price is often the primary decision factor, it's important to do thorough due diligence on other characteristics too:

- Global data center footprint and connectivity - Important for low latency access, data sovereignty and disaster recovery.

- Service reliability and SLAs - History of uptime, performance during outages, credit policies etc. reflect a provider's operational excellence.

- Security and compliance certifications - Evaluate if the provider meets industry standards for data protection.

- Migration and portability support - Check assistance for application rehosting, hybrid integration and workload mobility.

- Ecosystem of complementary services - Consider if required PaaS/SaaS/database options are available to simplify hybrid deployments.

- Customer support quality - Talk to references, read reviews and evaluate expertise of pre and post-sales support staff.

- Contract terms and flexibility - Scrutinize legal terms, pricing models and ability to shift workloads/providers after committed period.

The Data Center Reimagined
By outsourcing physical infrastructure management to large-scale DCaaS providers, organizations can align technology resources tightly with business goals. It drives operational efficiencies, Capex savings, workload flexibility and focus on core competencies.

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