"AI colocation" refers to the practice of housing and running AI-related hardware—such as GPUs, TPUs, and high-performance servers—within a specialized data center facility (a colocation center). Instead of building and maintaining their own data centers, organizations rent space, power, cooling, and network connectivity from a colocation provider. This setup allows businesses to deploy, manage, and scale AI workloads efficiently while maintaining control over their hardware and data, benefiting from the provider’s infrastructure reliability and capacity.