Industry Insights

Blog, Technology

Is Onsite or Cloud-Hosted the Best Option for Your Business?

by | Friday, May 22nd, 2020

Businesses need access to some considerable amounts of data these days, regardless of their size, which means that even a small business has a few things to weigh out. For instance, should they keep their IT in-house with on-premise solutions, or should they cast their gaze at cloud-hosted solutions? Let’s consider the benefits available for either.

Defining Each

On-Premise Solutions

On-premise solutions are those that a business keeps in their office, on privately-owned and maintained servers. The actual makeup of these solutions varies from business to business, as it is dictated by each business’ needs.

Cloud Solutions

As you might imagine, cloud solutions are mostly those that are hosted off-premises. The cloud is a fanciful term to what amounts to data centers filled with servers, dedicated to providing invaluable services and resources to the businesses that rent them out.

Let’s consider the positive aspects to each, as well as how these aspects measure up to the other’s less-positive features in comparison.

Benefits of an On-Premise Solution

One of the primary benefits of a business hosting its own server is the idea that control remains in the business’ hands. If a power outage—a basic and common enough business continuity threat—were to strike, a business hosting its own solutions on its own hardware could mitigate it effectively by turning to a backup power source until the outage was resolved. Comparatively, a business relying on cloud-hosted solutions also relies on the cloud provider to prevent downtime.

In a similar vein, a business with control over its infrastructure is therefore in more control over its security. In theory, this means that a business can ensure its security is best suited for its environment and needs when its resources are kept in-house, close to the chest. Whether or not this is the case, however, also depends on the business.

Benefits of a Cloud Solution

Comparatively speaking, a cloud-hosted solution is going to be much more cost-effective for a business of any size to implement. For one, you aren’t obligated to pay for any more resources than you need in the moment, as you would when investing in your own hardware. This freedom gives you considerable flexibility to scale your use of the cloud as needed.

In addition, you also don’t have any responsibilities directly associated with maintaining this hardware, eliminating those expenses as well. This also frees up your internal teams to focus on other priorities and projects.

Of course, there are drawbacks to choosing exclusively between one or the other option. With on-premise servers, any upgrades are based on your schedule and your business’ financial capabilities, while cloud servers may not always be available (leading to downtime) and potential data security concerns are another concern that an on-premise server doesn’t have.

This is why many businesses settle somewhere in the middle and elect to use both, in what is called a hybrid cloud, utilizing the best of both worlds.

Compudata can help you determine which of these options is best for your business’ circumstances. Talk to one of our consultants today by calling 1-855-405-8889.

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