A data center is an IT infrastructure of an enterprise that stores, processes, and transmits large amounts of data with the help of servers, cooling, networking, etc, which are housed in a designated building reserved solely for operation and maintenance (O&M) of data.
 
On the other hand, a server room, as the name suggests, is a defined area within an organization's building that houses the hardware required to process, store, compute, and transmit the data of that particular company.
 
For example, suppose you own an IT company and require a facility to manage your critical database, so you start looking for options. One option is approaching a colocation provider or a hyperscaler who is ready to give space for your data on demand; the other option is building a designated room or area within your own company to house and manage your data.
 
Let us understand the key differences in detail.

What is the Difference Between Data Center and Server Room?

There are several criteria by which we can differentiate a server room from a data center. Some of the attributes and key considerations are discussed briefly below.

• Scalability 
• Location 
• Power
• Budget
• Chiller and HVAC systems

Scalability 

Data centers: They are flexible and much larger in scale. Data centers can span several square meters and be multi-storeyed. Furthermore, it plays a beneficial role in storing massive quantities of data from single or multiple organizations.

Server room: Server rooms are not readily flexible and are smaller in size than a data center. It houses fewer servers and is useful for an organization's small-scale data storage requirements.

Location 

Datacenter: It can be on-premises or off-premises, depending on the data center provider as well as the customer. For example, an enterprise data center is on-premises, whereas a hyperscale data center is off-premises.

Server room: Server rooms are generally on-premises because they are specified rooms/areas inside the building of an organization itself. 

For example, a server room in an automobile company that stores and manages its own critical data.

Power

Data center: A data center has to continuously operate complex systems for power and cooling, which provide 24*7 uninterruptible power supply facilities to keep several hardware working without any prolonged downtime or system failure. Additionally, the power consumption of a data center varies depending on the IT load. IT load is the total amount of electrical power consumed by the electrical equipment in the data center facility. The IT load can vary from 1 MW upto 1000 MW. 

Server room: A server room's cooling and power system is comparatively smaller as it provides cooling for a smaller-scale of facility. As a result, conventional cooling and power systems are used. The power requirement of a server room is negligible compared to the requirements of a data center. A small server room might use upto 2-10 kW.

Budget

Data center: A data center requires a substantial budget to finance its facility. The equipment required to build and operate a data center is comparatively expensive and mainly relies on bulk purchases.

Server room: As server rooms are smaller in scale, they don't generally need a large amount of capital and can be set up on a low budget. 

Mainly, capital is needed to set up the components such as racks, servers, routers etc.

Chiller and HVAC systems

Data center: Data centers need high-tech air conditioning equipment to deal with the heat emitted due to the huge workload and continuous working of the systems, and for that, they use advanced data center cooling systems such as immersion cooling, free cooling, evaporative cooling, rear door heat exchangers and other advanced cooling systems.

Moreover, cooling systems are one of the most crucial components because overheating can result in power failure that results in multiple-system failure, leading to data loss and increased repair costs.

Server room: Since server rooms are comparatively smaller in size, they use conventional air conditioning equipment such as HVAC systems, which are not very advanced and helpful for large-scale facilities but are sufficiently apt for server rooms. Server rooms can also maintain cooling with the use of computer room air conditioner (CRAC) units which are adequately operational for server rooms as well.

Pros and Cons of Data Center and Server Room

Pros of Server Room

Ownership: Since the server room is generally located on the site, the ownership of the facility remains with the organization itself.

Operation and Management: The control of operation and management of a server room remains with the organization.

Scalability: Server rooms don't generally require large-scale resources and function with minimal equipment. For example, some server rooms need only cooling systems for their functioning apart from hardware and networking.

Budget: The server room is budget-friendly and doesn't typically require a large amount of investment.

Reduce Latency: Server rooms are usually set up on-premises and are close to the end user. As a result, it offers reduced latency.

Pros of Data Center

Ownership: Since the data center is not owned by the organisation itself and are a special facility for the management of databases, companies don't have to worry about its maintenance and system failures. Moreover, requirement of a skilled and professional workforce is also handled by the data centers.

Scalability: Data centers are much bigger in scale and offer space for massive amounts of data. A data center is a facility that is built for the purpose of operation and management of critical data, and it has the specific infrastructure needed for the robust functioning of the data center.

Design: Data centers are designed with the latest technological advancement and have the software-defined infrastructure (SDI), which helps them with smart intelligence monitoring of real-time data center insights; this helps in optimal functioning with reduced downtime.

Security System: Data centers have robust security system that deals with any physical security threats by natural hazards or data leaks and system failure

Moreover, they are equipped with biometric authentication, digital monitoring and physical security infrastructure.

Efficiency: Since data centers are specially designed facilities, they have better efficiency and possess a diverse power source to provide the best data center solution.

Also, data centers have considerable budgets, so they can focus on renewable energy and sustainable development that are in accordance with environmental compliances and standards that are required by the authority. Read our comprehensive guide on data center infrastructure to know all about data centers.

Cons of Server Room

Limited Capacity: Server room has limited capacity since it generally spans across a room inside the organization's building and is designed to furnish only a small amount of dataset.

Limited Spacing: Since the server room is designed in a way that houses a small amount of data, it accommodates in less space.

Heat Generation: Systems housed inside a server room operate in limited spacing which is why it is equipped with traditional cooling systems, which at times cannot bear the continuous heat generated by the systems. For this, highly operational ventilation systems are required to exhaust heat timely.

High Maintenance: Server room maintenance costs mainly fall on the organisation itself, which can be expensive for the organization in the long run. 

Moreover, even though they have small-scale data storage capacity, they require all the necessary equipment, such as ventilation systems, cooling systems, power systems, server racks, routers, networking, etc, which will, in turn, increase the investment costs.

Lacks Skilled Professionals: Server rooms may lack professional and trained expertise that are available in data centers since data centers are designed and operated for data O&M solely.

Traditional Technology: Server rooms are equipped with traditional technology for example HVAC systems for small-scale cooling .

Cons of Data Center

High Maintenance: Data centers have high maintenance costs since there are numerous large-scale systems such as cooling systems, power systems, energy grids, monitoring systems, networking, server racks, and other heavy-duty equipment embedded with the latest technology, which requires routine maintenance. 

High Energy Consumption: Data centers are large-scale facilities, which is why energy consumption is usually high. As a result, companies prefer renewable energy such as wind, water, and solar energy generation resources to minimize their energy costs.

Compliance and Standards: When building a data center facility, basic compliance and standards should be followed, such as ISO 27001, HIPAA, SOC 2, and others. Moreover, choosing a data center facility that does not follow the basic compliances and standards required for a data center can be detrimental to the organization.

Regular Audits: Regular audits take place in a data center to check its overall functioning.

Water Requirements: Data centers generate a great amount of heat, which is managed by the cooling system, and for that purpose, large quantities of water are required.

24/7 Surveillance: Data centers require 24/7 monitoring and surveillance to ensure smooth functioning, avoid any system failures, and reduce their downtime.

Moreover, they also require physical and digital surveillance systems to avoid data leaks and cyber-attacks.

Top Data Center providers 

You can also read about the global data center market trends and forecast.

Top Server Room component providers

Since server rooms are built on-premises, they mainly rely on component providers. Some of the major component suppliers are mentioned below : 

What is the best fit for your business?

There are many advantages and disadvantages for both data center and server rooms. So, when choosing a better data management option, we must first look at the business requirements and scale of data and then opt accordingly. Ask yourself the following questions before choosing either of the available options : 

• What type of ownership structure do you expect?
• What are your business needs?
• What level of security does your data require?
• What are your long-term goals?
• What is your budget?
• What type of technologies do you require to manage your data?

After a thorough analysis of the above questions, it will be clear what type and scale of data service you require. 

Apart from data centers and server rooms, there are many other ways provided by companies like AWS, Google, Microsoft, IBM, Equinix, Huawei, etc, that might prove productive to your data requirements.

Conclusion 

There are many disadvantages of both data center and server room but despite challenges, both the facilities have their own pros which are worth choosing for, keeping in mind one’s business requirements, one can make an informed decision for O&M of their data.

For example, if your critical data don’t require much space for their O&M, then choosing a server is best.

On the other hand, if your business is massive in scale, the operation and management of data will require a bigger facility, such as colocation services, cloud services, or hyperscale data centers, as you must have a massive database.

Moreover, the best way to decide on your data needs is to consult an expert who is aware of your business requirements and can assist you with your preferences.

This way, you can make an informed decision to fully utilize capital and enjoy your return on investment (ROI) optimally.

Frequently Asked Questions (FAQs)

How many servers are in a data center?

A data center is designed to facilitate massive amounts of critical data and for that a data center requires approximately 10,000 to 100,000 servers depending on the type of data center ( such as hyperscale data center, colocation, edge data center, etc) 

What is the purpose of a server room?

A server room is a specified area within an organization's building that houses the database of an organization and amounts to its data center infrastructure management (DCIM) system.

Does Amazon have a data center?

Yes, Amazon has its own data center which is Amazon Web Services (AWS), which has a capacity of 3000 MW (as of 2023).

What are the requirements for a server room? 

A server room is comparatively a smaller data storage system that typically needs fewer racks, routers, networking equipment, and a conventional air conditioning unit such as HVAC. Moreover, it has lowered maintenance costs in the long run.

Is a data center a server? 

No, a data center is a physical infrastructure facility that stores data and helps in its O&M whereas, a server is a hardware or a device that can be virtual.

Talk to the Experts

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