Managed colocation is often referred to as dedicated server rentals. When using this form of service, the provider has a dedicated server that is preconfigured to certain specifications with selected software applications on it that the customer can use within limits. In addition to this, the provider generally takes the responsibility of providing any software upgrades to the provided applications on the system and general maintenance such as reboots, hardware issues and any backups they may include.
This level of service is particularly useful to those individuals who are not very technically inclined or do not have the time or resources to handle the more mundane troubleshooting and maintenance. There are restrictions to using such as service however. For example, the managed server only allows those supported applications to be run on the servers. If a required software application is needed for the site but is unsupported by the provider the customer is out of luck.