Tips for Tapping into South American Colocation Markets

1 Jun 2023 by Colocation

As the aspirations of businesses grow, considerations for how to effectively expand a footprint across international boundaries follow in kind — and the South American colocation market forms an attractive entry point.  

With its rapidly-growing economies and rich variety of customer bases across a range of diverse countries, the region provides an opportunity to significantly expand your horizons. Yet navigating these markets can be daunting - so how can you best position yourself for success?  

In this blog post, we’ll provide key tips on how to prepare for an expansion into South America as well as explore the benefits that come with using a colocation model in this quickly growing part of the world. 

Colocation Defined 

Colocation is a common practice amongst businesses looking for reliable server and computing infrastructure setup. Instead of investing in building their own data center, they opt for hosting their servers in a third party facility. This gives access to power, cooling and security systems without the additional expense of building up an in house solution.  

Data center colocation comes with many benefits that make it an attractive choice for achieving the desired technological edge all businesses want to achieve, including improved uptime, reliability, and security for their critical IT infrastructure.  

Colocation offers businesses the flexibility to meet their ever changing needs as they grow. Not only that, but it eliminates the upfront capital expenditure associated with hardware installation or relocation. Scalability is an achievable reality so long as the businesses' capacity can continuously adjust to its rise in demands.  

Colocation services are also capable of providing ample connectivity and bandwidth on demand - if economies of scale is a key goal for any enterprise, colocation can provide precisely that without sacrificing quality time nor resources in the process. 

Additionally, colocation services typically offer 24/7 support from experienced technical professionals, allowing businesses to focus on their core operations rather than IT infrastructure management. 

Tips for South American Expansion 

Colocation provides businesses with the opportunity to expand into new markets by allowing them to leverage data center facilities in various geographic locations. By colocating their IT infrastructure in a data center in a different region, businesses can improve their network performance and reduce latency for users in that area.  

This can enable businesses to better serve customers in that region and expand their customer base. Additionally, colocation services often provide businesses with access to carrier-neutral network connectivity, which can enable them to connect with a wider range of service providers and partners.  

By utilizing the tips below, businesses can implement effective strategies to expand their operations and reach new markets. 

Choose the Right Partner 

Choosing the right colocation provider is essential for companies needing to expand their markets into South America. A well-established partner should have extensive knowledge of the local regulations, as well as an understanding of business practices in the region. Such experience will help tap your company into key market opportunities while interpreting the increased complexity with ease.  

To ensure efficacy, consider selecting a developer providing multiple methods of connections to including direct cloud services accessing major platforms. Company leaders can rest assured knowing that their data will remain secure and accessible thanks to top-level providers with strong backgrounds in the geography and culture of South America itself. 

Consider Local Network Latency  

The distance between servers and users can have a huge influence on network performance. Consequently, when picking a data center for the server, its location should be considered carefully. By being situated as closely as possible to your target audience, latency and lag is minimized leading to a superior customer experience.  

Additionally, the key factors such as power, cooling, bandwidth and management should be evaluated to guarantee reliable operation no matter how far away users are from the corresponding server. Ultimately, deploying in an optimized data center location close to customers can effectually provide excellent quality of service while at the same time attempting to remain cost effective. 

Ensure Compliance with Data Laws 

When it comes to deploying colocation infrastructure, businesses must comply with the applicable data protection regulations in place in South American countries. It is essential for them to understand these laws and ensure that they are compliant.  

To do so, companies need to check their data center partner's certifications and security measures, as required by these restrictions. To stay competitive, businesses should strive to pick the best vendor who offers compliance and top-of-the-line security for their colocation needs in South America. Doing this will ensure their company remains safe and ahead of the competition.  

Ultimately, data protection regulations in Argentina, Brazil and beyond serve an important role in keeping businesses compliant while setting a higher standard for operational safeguarding overall. 

Get Expert Advice – At No Cost  

As businesses around the world contend with the competitive pressures of both limited resources and global demand, understanding how to leverage new opportunities provided by a rising South American market is paramount for those looking to grow their business internationally.  

To effectively enter this region, organizations need to be sure to pick the right partner, consider local latency, and plan ahead for local data laws. By doing these three things, businesses will be well-equipped to take on the vibrant opportunities open in South America.   

Additionally, it's wise for companies considering entering this context to seek out expert advice — our team of experienced specialists are available for a free consultation that can help set your international expansion plans in motion.  Don’t hesitate – reach out today and get started down the path towards reaping the rewards of setting up a presence in this exciting continent! 

Author Colocation provides consulting and engineering support around colocation and has developed a platform for Datacenter Colocation providers to compete for your business. It takes just 2-3 minutes to create and submit a customized colocation RFP that will automatically engage you and your business with the industry leading datacenter providers in the world. provides a platform to view and research all the datacenter locations and compare and analyze the different attributes of each datacenter. Check out our Colocation Marketplace to view pricing from top colocation providers.  


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