Electricity and Cooling Costs

One of the main reasons people host servers in their offices is to save on monthly costs associated with data center space. It is important to remember that the cost of electricity is included in your bill from a hosting provider.

At office you have to take into account the amount of power your server will consume (this varies a lot in different server models). You will also have to plan for your electricity usage. Cities have different prices for electricity, but generally residential electricity costs tend to be higher than commercial. A 900W server running 24 hours a day in a city that charges 13 cents per KW/h will cost you roughly $80 per month.


This does not take into account the additional cooling required to keep a server running optimally. In order to keep servers running perfectly, data centers stay around 20 degrees Celsius. Combined with the cost of your hardware and other operating costs at office, it is likely that the costs of powering a server on your own will negate a significant portion of the savings. This is something you’ll need to consider when factoring the costs of hosting a dedicated server at office.

Server Costs and Hardware Replacement

There are many factors to consider before buying a budget 1U server placing it in your Office. Mainly, running a computer 24 hours a day  means that components need replacement regularly. Unless you are willing to invest a significant amount of money into a quality server (which would negate much of the cost savings), you are not guaranteed stable and long term performance from the server.

In a data center you are guaranteed top of the line components which will immediately be replaced should they fail. The components in data center class servers are among the best available in the world. All hardware fails (and there’s no telling when), but the question is how long can it be offline before you can replace it? This means precious hours and possibly days of server downtime.