What Is Cage Colocation — How It Works and Why Businesses Choose It

Companies that work with large amounts of data or critical services must ensure uninterrupted operation of their systems. The higher the workload and the importance of the services, the stricter the requirements for security, stability, and control over the equipment. In-house server rooms often cannot provide the required level of reliability: finding a suitable space, ensuring redundancy, maintaining the right climate, and organizing round-the-clock monitoring is difficult and expensive.

This is why businesses increasingly choose to place their infrastructure in professional data centers. This approach allows them to use a ready-made engineering base and maintain a high level of availability. However, many companies need not only the overall security of the facility but also the ability to physically isolate their own equipment zone. This is where a separate format appears – cage colocation, a dedicated section inside a data center that is accessible only to its owner.

This model combines the advantages of professional infrastructure with an increased level of control, making it a preferred option for companies that require a separate space for their servers, networking hardware, and storage systems.

What is cage colocation

Cage colocation is the placement of server equipment in a data center within a dedicated physical area enclosed by metal fencing or solid panels. In essence, it is a separate “mini hall” inside a larger machine room, isolated from the rest of the space and accessible only to authorized company representatives.

Unlike standard colocation, where equipment is placed in a shared room or an individual rack, cage colocation provides a fully dedicated space. Its size can vary from a small section with several racks to a large area containing dozens of cabinets. Companies receive their own enclosed area supported by the data center’s security systems, including round-the-clock video surveillance, on-site security, controlled access, and technical monitoring.

This format offers an additional level of protection and confidentiality. Placing equipment in a dedicated section allows companies to set their own access policies, install extra security measures, and use the space in a way that aligns with the needs of their infrastructure.

How cage colocation differs from standard colocation

Standard colocation involves placing servers in a shared area of the data center. A client rents one or several racks, and all cabinets are located in the same room, where equipment from different companies sits side by side. This format is suitable for most projects but does not always ensure the required level of physical isolation.

Cage colocation adds an additional layer of security and control: a company gets its own closed segment, separated by physical barriers. This section allows the use of individual access policies, personal locks, restricted entry lists, and full tracking of all visits.

The format is also more flexible: within the dedicated area, companies can arrange equipment according to their own standards, install additional intrusion detection systems, organize separate cable routes, and build their infrastructure without the limitations typical of a shared hall.

In addition, a dedicated zone makes it easier to comply with regulatory and corporate requirements that mandate separate physical storage of data or critical systems.

How cage colocation works

The cage colocation model is based on a combination of physical isolation, a well-designed infrastructure, and comprehensive support from the data center. To understand how such a zone operates, it is important to look at its key elements.

Physical area and equipment

The dedicated section is created using metal fencing, reinforced panels, or mixed structures that meet security requirements. Inside, companies place server racks, network equipment, storage systems, and auxiliary devices. The layout can be customized for specific needs, ranging from a few cabinets to large areas with dozens of racks.

Security requirements

Each zone is equipped with independent access control points, which may include individual locks, electronic keys, card systems, and lists of authorized personnel. In addition, the section is included in the data center’s perimeter of video surveillance and on-site security. This combination of measures reduces the risk of unauthorized access and helps meet strict security standards.

Access and management

The client independently defines access rules, grants permissions to employees, and monitors all visits. All entries are logged by the data center’s systems. Infrastructure management inside the section remains entirely the responsibility of the company: it handles installation, updates, diagnostics, and any necessary operations with its equipment.

Support from the data center

The data center provides uninterrupted power with redundancy, cooling, engineering system monitoring, network connectivity support, and fast assistance when needed. This offloads a significant part of operational tasks from the company while maintaining a high level of control over its infrastructure.

Cage colocation options: shared cage and private cage

Cage colocation is available in two primary formats, and the choice depends on the scale of the infrastructure, security requirements, and the company’s budget.

Shared cage

A shared cage is a dedicated area used by several companies at the same time. Each client receives its own group of racks inside the shared segment, while the physical space remains isolated from the rest of the hall. This format is suitable for companies that require extra protection but do not need a large private area.

A shared cage provides the benefits of a dedicated zone at a more moderate cost. Access remains personalized: representatives of one company cannot reach another company’s racks, and all access rules and security policies are managed through the data center.

Private cage

A private cage is a fully dedicated area belonging to a single company. The entire section—including racks, aisles, locks, and internal security elements—belongs exclusively to the client. This option is usually chosen by organizations with high requirements for physical isolation and the need to configure the space according to their internal standards.

A private cage provides the highest level of control: companies can create custom cable routes, install additional monitoring systems, arrange equipment according to unique requirements, and scale the infrastructure without limitations.

Who cage colocation is suitable for

This format is intended for companies that need the combination of a ready-made professional data center infrastructure and enhanced physical isolation of their equipment. Cage colocation is most often chosen by organizations working with critical data or infrastructure where compliance with corporate, industry, or legal requirements is essential.

This option suits large IT systems, financial institutions, telecom operators, SaaS platform developers, cloud service providers, and enterprises that need to ensure stable service operation under increased security requirements.

Businesses that already use colocation often switch to cage colocation when they need to create a separate protected segment—for example, when workloads grow, infrastructure becomes more complex, or operations with confidential customer data begin.

The format is also convenient for companies with several teams maintaining the infrastructure. A separate zone simplifies access management, separation of responsibilities, and full control over all physical operations.

Advantages

Cage colocation gives companies extended control over equipment placement and allows them to use the data center’s infrastructure with an enhanced level of protection. 

One of the key advantages is the added level of management flexibility. Companies can set their own access rules, implement additional security tools, arrange equipment according to individual layouts, and use the internal space in line with their own standards. This flexibility helps optimize the infrastructure and maintain the necessary corporate policies.

In addition, cage colocation makes it easy to scale resources. If a business needs more racks or a larger dedicated area, the data center can expand the allocated space without complex relocations or infrastructure rebuilding. Combined with round-the-clock monitoring, system redundancy, and support from the data center, this format becomes a convenient choice for companies focused on stability and growth.

What to consider when choosing

To ensure that cage colocation truly provides the required level of protection and stability, it is important to carefully evaluate the data center’s conditions and the characteristics of the offered infrastructure. The first step is to review security parameters: the quality of physical barriers, the presence of access control systems, video surveillance, and visit logging. The higher the level of protection at the facility and within the dedicated area, the more reliable the placement of critical systems will be.

Engineering characteristics are equally important. You should check the level of power redundancy, the cooling architecture, available network connectivity options, and the ability to connect to different carriers. These factors determine the stability of the equipment and the data center’s capacity to handle peak loads.

It is also worth considering the flexibility of configuring the dedicated space. It is essential that the provider allows the internal zone to be used according to the company’s specific needs: installing additional monitoring systems, organizing cable routes, expanding the number of racks, and applying custom security policies.

Special attention should be given to support. Round-the-clock technical assistance, fast response times, and the availability of specialists are critical factors for businesses that rely on uninterrupted operation of their equipment.

When cage colocation is the right choice

Cage colocation combines the advantages of professional engineering infrastructure and a dedicated area where equipment is isolated from other clients. This model is particularly relevant for organizations working with sensitive data, financial systems, corporate storage, and services that require high availability.

When standard colocation is not sufficient and building an in-house server room is impractical, a dedicated section becomes a logical compromise between security, cost, and scalability. As a result, companies get a stable environment for their infrastructure, accessible support, and flexible conditions for growth.

Cage colocation is suitable both for projects that must strictly comply with security standards and for businesses that need physical isolation of equipment and the ability to manage it according to their own rules. This format helps ensure reliability, regulatory compliance, and predictable operation of critical systems.