Millions of businesses rely on server technology each day but where does your data end up? It’s a question many of us have pondered over at one point or another but in the era of cloud computing does the location of your business files even matter?

Over the last five years or so cloud computing has hit the market in a big way with more and more companies are moving their business data to the cloud. But while the benefits of the technology are clear the implications are often not.

In truth, cloud technology can present some real challenges and in recent years it has become clear that few companies are giving real thought to the legal and physical implications of the technology. This in itself should be an area more and more providers should be highlighting and for me, I believe location is one of these key considerations.

The Importance of Location

Location often gets overlooked but experts have long recognised server location as a critical success factor for businesses in relation to their IT strategy. Of course many factors are at play but it is widely accepted that businesses should not only be storing their files in a secure facility but also a secure location.

Imagine trying to run your business without everyday things such as emails, business files, invoices etc. Almost every business relies on this information and files each day and a loss of these can be extremely damaging for any organisation.

For starters, some regions are prone to natural events such as earthquakes or floods. Others are beset by political instability and unrest, such as the recent uprisings in the Middle East. The euro crisis has made many European countries – previously considered rock-solid – appear financially shaky.

Another worrying trend is growing interference by governments, especially non-democratic regimes. In light of these concerns, businesses are well-advised to investigate the setting of any potential provider’s facilities.

Where is Right for You?

Ideally, your business servers should be located in a region with low environmental risk. Businesses should also look for locations with good political stability, a balanced economy and an efficient legal system, with low rates of crime and corruption. And last but not least, a deep-seated respect for confidentiality. As a result, it’s no surprise that Switzerland is becoming an increasingly popular destination for businesses to locate their servers.

Staying Competitive

Not only do businesses need to keep their business data secure but they also need to maintain a competitive edge. This can often be difficult but many companies are using technology to achieve this. For example the location of your business servers can help you improve your efficiency rates and if you are a transaction based business then the location of your servers can help to significantly improve processing times.

I believe these are some of the reasons why more and more companies should be reviewing the location of their business servers. Giving this some real thought might save you a lot of headaches in the future and gives your business some additional benefits. As a provider the benefits are very clear to me but what do you think? Have you given the location of your business server much thought recently?