Cloud Vs On-Premise: IT Infrastructure Model of Your Choice?

By Veritis :: Published on

Cloud Vs On Premise: IT Infrastructure Model of Your Choice?

IT infrastructure has been undergoing transition over decades.

From the level of traditional hardware with heavy maintenance, the IT industry has matured to a stage where infrastructure maintenance is easily manageable.

Cloud is one solution in that journey that simplified IT maintenance concerns by taking care of core infrastructure aspects over the network. However, cloud deployment is not a complete answer because of the strong preferences for on-premise solutions on the other side.

While cloud handles infrastructure over the network, on-premise solutions (as the name suggest) deal with infrastructure at organizational premises or on site.

However, both the solutions are aimed at a single goal of reducing organizational costs and maintenance burden through implementation of agile IT infrastructure.

Cloud has already proved to be cost-effective and easier for small business, majorly for its agile and flexible integrations at affordable costs.

But how about infrastructure management at the enterprise level that maintain strict data policies? To what extent will cloud be successful here? Will they have to look for on-premises model?

Stuck at this point? Answers for these questions lie in understanding key differentiators between the cloud and on-premise models.

1) Hosting

Cloud vs On Premise Hosting

Hosting is the first factor that shows us a big difference between on-premise and cloud infrastructure models.

As we see on-premise, the infrastructure is maintained at the premises of the organization. This directly means requirement of additional maintenance personnel for server management.

Whereas, cloud works otherwise and the infrastructure is maintained over the network.

The Cloud Service Provider (CSP) in place will (by default) take care of cloud server management. Be it upgrading software, addressing downtimes, repair and maintenance, and more pertaining to the accommodated servers.

Coming to sudden scenarios like server blackouts, cloud works its way with high scalability offering.

Key Factors Cloud On-Premise
Server Location Third-party Cloud Physical, On-premises
Maintenance Off-site On-site
Server Blackouts Possible but Scalable Possible
On-Demand Easily Scalable Consumes Time and Effort

2) Deployment

Cloud vs On Premise Deployment

Having on-premise model means maintaining infrastructure on your own, which directly reflects in investment for servers, software and technical personnel.

In that case, the complete risk at times of failure lies with the organization!

Whereas, cloud model presents a safer perspective to your business. In cloud, any loss incurs you only the subscription charges needed for utilizing its virtual environment.

Cloud virtual infrastructure also offers you high flexibility in implementation of wider infrastructure.

Cloud also facilitates faster installation and support services, while it might take days together to get an on-premise server on board. A system administrator with cloud support can perform at a rate ten times faster than in an on-premise infrastructure.

Key Factors Cloud On-Premise
Installation Easy and fast Time-consuming
Availability On-demand When bought and deployed
Investment Less High
Business Risks Low High

3) Workflow and Delivery

Cloud vs On Premise Workflow and Delivery

Straight answer to this Cloud!

Cloud is known for its ability to:

  • Offer unlimited memory space
  • Timely back-up
  • On-demand service availability
  • Faster rate of application launch and release
  • Timely software upgrades without need for additional hardware in case of own datacenter
  • Ability to handle workloads

This might not be the case with on-premise infrastructure model. But testing and running workloads on the cloud can be a temporary solution for those with on-premise infrastructure.

Key Factors Cloud On-Premise
Unlimited Memory Yes No
Back-up Timely Effort-intensive
Rate of Application Launch and Deployment High Low
Ability to handling workloads High Low
Process Delivery Smooth Chances of interruption

4) Energy Savings

Cloud vs On Premise Energy Savings

Considering the amount of energy servers consume, having an on-premise deployment definitely involves more energy expenditure.

While server consumes 100 percent of its required power, on-premise demands 10-20 percent of server’s power.

This naturally turns a maintenance burden for organizations as they own the infrastructure, who end up in dreaming about energy savings.

Whereas, cloud model deals away with this challenge as maintenance responsibility lies with service provider.

While energy consumption comes as part of package in a cloud deal, on-premise model throws that burden on to the organization.

Needless to say, techniques like airflow management are being used to address the issue of heavy power consumption.

Key Factors Cloud On-Premise
Energy Savings Comes part of package To be managed individually
Cost-Savings High Low
Scope for SMEs High Low
Scope for Corporates High Low
Maintenance Burden Taken care of by CSP Enterprise’s responsibility

5) Bandwidth Enhancement

Cloud vs On Premise Energy Bandwidth Enhancement

Cloud gives enterprises the flexibility to upgrade their requirements, be it memory, software, server space, etc.

One can make the best use of virtual servers, virtual routers and additional networks in cloud deployment to enhance the size and capacities of existing storages.

All you have to do is upgrade your cloud plan!

This is not the case with on-premises infrastructure, where enhancement of bandwidth and capacities means doing so physically by deploying new servers.

However, one advantage that on-premises users can enjoy is ‘security’. Since you manage things physically, you will have the choice of making custom configurations in line with your organizational needs.

Cloud fails here as the organizations will only have to choose from the available options CSPs provide.

Key Factors Cloud On-Premise
Bandwidth Enhancement On-demand Demands new deployments
Hardware CSP’s responsibility Organization’s responsibility
Configurations Standard Customizable

6) Access Control

Cloud vs On Premise Energy Access Control

Unexpected blackouts, malware, critical system failure and technical are common with any system.

But how you overcome the disaster is the real challenge.

Cloud stands a step ahead in this aspect compared to on-premises model.

Cloud provides organizations instant access to its virtual resources in case of any disaster. With this feature, you can backup, restore and reboot software as well as data in a virtual environment.

Whereas in on-premises, the responsibility of security and privacy needs lies with the organization.

Key Factors Cloud On-Premise
Malware Removal Easy Difficult
Vulnerability to Attacks Yes Yes
Responsibility of failure CSP Organization

The Result

On an end note, we put before you the following major differences between Cloud and On-premises infrastructure models:

  • CAPEX and OPEX: On-premise adds to capital expenditure; cloud means operational expenditure offering higher flexibility to just pay for what you use.
  • Disaster Recovery: Major advantage that cloud enjoys over on-premises because of its application and data storage options
  • Security: Both the solutions are equally vulnerable to security. Decision here depends on the situation!

 Not able to make a decision?

Veritis can help you! Our decade-old experience in offering cloud services to different firms (including Fortune 500 firms) can get your issue resolved.

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