In short, a colocation center is a data center that provides shared space for network storage and interconnection.
Unlike a web hosting site, a colocation facility provides storage for customers' equipment. The facility typically provides power, cooling, security, and intra-site connectivity, among other offerings.
Cloud computing is dynamic hosting, where users share computing resources allocated on demand from the cloud provider’s servers.
Conversely, colocation is the physical space in which you may operate your company-owned software and hardware. (The joke we like to make is that the cloud doesn’t exist; it’s just someone else’s server.)
You can find more information on colocation and data centers in TeleGeography's Data Center Research Service—the most comprehensive source of intelligence on data center infrastructure and ecosystems. With the Data Center Research Service, you can: