What specs are you comparing?

Colocation is when you buy your own server then send it off to a datacenter for use. Its like a dedicated server but you actually own the server. This makes for hosting per month to be cheaper but the up front capital is more money

Colocating the server gives you the greatest flexibility. You get to choose the hardware configuration of the server and the software that goes on it. The hosting company maintains the connection to the Internet and deals with environmental details such as uninterruptible power supplies (UPSs), fire controls, and air conditioning. On the other hand, you're responsible for that server's upkeep

In addition to the above replies, you may also want to read this article: Things to consider in Collocation Hosting

Despite that most people who use web hosting service get the meaning of "Colocation Hosting", most do not realize that it is actually an enterprise level hosting service. Anyone who colocates servers might not need a networking equipment if they have a few servers, but if the want a large capacity it is a must. There are many other things which are industry topics and are not something consumers know. So I understand why would anyone ask such a questions about colocation. Fo many people is hard to calculate the positives and negatives of choosing colo plan instead of going for a dedicated server.