The Power of Private Ownership in Data Center Operations
In an industry dominated by tech giants and publicly traded corporations, privately held data centers like Datacate continue to deliver, often outperforming their larger competitors. But why? What advantages do these smaller, owner-operated facilities offer that the industry behemoths can’t match?
The answer lies in a combination of agility, accountability, personalized service, and alignment with business needs that is rarely possible at enterprise scale. Let’s explore why businesses are increasingly choosing privately held data centers over corporate giants.
Direct Accountability: The Owner-Operator Advantage
The most significant difference between privately-held data centers and corporate giants is the direct accountability that comes with owner-operator management. At Datacate, leadership isn’t separated from operations by layers of management, shareholders, or corporate bureaucracy.
When you work with a privately-held data center:
- Decision-makers are directly involved in daily operations
- The people who own the business are the same ones ensuring its quality
- Problems get addressed by those with the authority to solve them immediately
- Your concerns reach the top of the organization, not just the customer service department
This owner-operator model creates a level of accountability that’s nearly impossible to find with larger providers. When the owner’s name and reputation are directly tied to the quality of service, excellence becomes non-negotiable.
Flexibility That Corporate Giants Can’t Match
Large data center providers operate with rigid parameters and standardized offerings. They must do so to manage their scale. While this approach works for some businesses, many require the flexibility that only privately held data centers can provide.
The corporate giants typically offer:
- Predetermined service packages
- Standardized contracts
- Fixed scaling options
- Limited customization
In contrast, privately-held data centers like Datacate can:
- Customize solutions to fit exact business requirements
- Modify contracts to address unique concerns
- Scale services incrementally as needed
- Adapt quickly to changing business needs
This flexibility extends to every aspect of service, from hardware configurations to support protocols. When your business faces unique challenges or opportunities, a privately held data center can pivot quickly to accommodate your needs, rather than forcing you into a predefined service box.
Personal Relationships vs. Ticket Numbers
The difference between contacting support at a major provider and a privately held data center is stark. At large corporations, your case will usually be handled by a central helpdesk that serves multiple locations, with a frequently changing staff that may know little or nothing about your account. Your history, preferences, and specific environment must be explained repeatedly.
Privately-held data centers foster genuine relationships:
- You know your support team by name
- Your team knows your infrastructure intimately
- Institutional knowledge about your setup is preserved
- Support staff understand your business priorities
- Communication is direct, not filtered through multiple departments
These relationships translate to faster problem resolution, proactive support, and a level of service that feels more like having an extended IT team than a vendor relationship.
Cost Efficiency That Improves Over Time
While large providers may advertise low introductory rates, privately-held data centers often deliver superior cost efficiency over the long term. This advantage comes from several factors:
- Absence of shareholder pressure for continual profit growth
- Lower overhead costs that aren’t passed on to clients
- Ability to customize solutions that match actual needs, not package tiers
- Fewer surprise fees or charges for “add-on” services
- More stable pricing models without regular increases
According to industry analysis, companies with predictable or growing workloads can achieve up to 5% lower costs with private data center solutions, with the cost advantage increasing over time. For medium-sized businesses expecting significant compute growth over a decade, the private option typically breaks even within 7 years and provides increasing savings thereafter.
Technical Performance: Dedicated Resources Without Compromise
One of the most compelling advantages of privately-held data centers is the consistent technical performance they deliver. Corporate giants rely on massive, multi-tenant environments where resources are shared, leading to the “noisy neighbor” problem, where one client’s activity can impact others, and a “not our monkeys” lack of accountability for resources they don’t control.
Privately-held data centers offer:
- Truly dedicated resources without hidden oversubscription
- Hardware configurations optimized for specific workloads
- Lower latency due to focused network design
- More consistent performance without resource contention
- Specialized environments for high-performance applications
These performance advantages are significant for applications requiring reliable low latency, consistent I/O performance, or specialized processing capabilities that don’t fit neatly into standardized cloud offerings.
Strategic Alignment With Business Goals
The most overlooked advantage of privately-held data centers is their ability to align strategically with your business goals. Large providers must maintain standardization across thousands of clients, making it impossible to truly align with any single business’s objectives.
Privately-held data centers can:
- Understand your business model and growth trajectory
- Design infrastructure that supports your specific business outcomes
- Provide insights and recommendations relevant to your industry
- Adapt their services as your business evolves
- Partner in your long-term success rather than maximizing short-term profit
This strategic alignment means that a privately-held data center becomes more than just a vendor—it becomes a true business partner invested in your success.
Control Over Security and Compliance
For businesses in regulated industries or those with stringent security requirements, privately held data centers offer enhanced control over security protocols and compliance measures.
Rather than adapting to a corporate giant’s standardized security approach, privately-held facilities can:
- Implement custom security protocols specific to your needs
- Provide detailed visibility into security measures
- Adapt quickly to emerging threats or changing regulations
- Offer compliance documentation tailored to your industry
- Work collaboratively on security planning and incident response
This control is particularly valuable for businesses in healthcare, financial services, government contracting, or other sectors where compliance requirements are complex and consequences for violations are severe.
The Power Management Advantage
As data center power consumption continues to rise, privately held facilities often take more innovative approaches to power management. Without the scale of corporate giants, they must be more efficient and creative with power resources.
This results in:
- More efficient power usage and distribution
- Innovative cooling solutions that reduce energy consumption
- Potentially self-powered facilities that avoid utility dependencies
- Stable power costs not subject to the massive infrastructure demands of hyperscalers
- Smaller environmental footprint relative to service delivery
These advantages translate to more stable operating costs and potentially better performance, especially as power demands and costs continue to rise across the industry.
Why Datacate: The Privately-held Difference
At Datacate, we embody all the advantages of the privately-held data center model. Our owner-operator approach ensures direct accountability at every level of service. Our flexible solutions adapt to your business needs rather than forcing your business to adapt to our offerings. Our technical performance delivers consistent results without the compromises of multi-tenant environments.
Most importantly, we build genuine relationships with our clients. We get to know your business, understand your challenges, and work as partners in your success. This relationship-focused approach isn’t possible at the scale of corporate giants.
For businesses seeking a data center partner rather than just a provider, privately-held data centers like Datacate consistently outperform the big guys—not because we’re bigger, but because we’re better aligned with what businesses actually need.
Ready to experience the privately-held difference? Contact Datacate today to discuss how our data center solutions can support your business goals.
