Difference Between Private Cloud and On-Premise

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Most organizations opt for either Private Cloud or On-Premise when storing and managing their data. Each has its own advantage, and organizations opt for one over another depending on business needs.

organizations. It is either hosted inside the organization's data centre or rented from a third-party vendor. While in public cloud services multiple users share resources, the private cloud is reserved for one organization only.

Characteristics of a Private Cloud

Following are some key characteristics of Private Cloud −

• Exclusive Access − A single organization possesses access to all clouds.
• Scalability − It can be expanded as per the requirement of the business.
• Security − Higher security since the data is not shared with others.
• Customization − Businesses can modify the infrastructure according to its specifications.
• Managed or Self-Managed − The company can manage it themselves or hire a cloud provider.

Platforms Used for Private Cloud

Following are some platforms that are used for Public Cloud −

• VMware vSphere
• OpenStack
• Microsoft Azure Stack
• Red Hat OpenShift
• Google Anthos

Advantages of Private Cloud

Following are some key advantages of private cloud −

• Better Security and Privacy − Although no organization shares them, private clouds provide better control over their security.
• Customization − Businesses can tailor hardware and software settings according to their needs.
• Performance − As the resources are not shared with other organizations, performance will always be steady.
• Compliance − Certain industries are bound to strict regulations in relation to data handling; private clouds are capable of complying with such regulations.

Drawbacks of Private Cloud

Following are dome disadvantages of private cloud −

• Higher Cost − The cost of setting up and running such an IT facility can be a big consideration.
• Management Complexity − It incorporates management and gives support services to the required complex infrastructure.
• Limited Scalability Compared to Public Cloud − Although scalable, this model may not meet the levels of scaling available in the public cloud.

What is On-Premise?

On-Premise is an IT arrangement wherein all servers, storage, and networking devices are physically located inside the boundaries of the business, thereby making it fully responsible for maintenance, security, and management.

Features of On-Premise

Some key features of On-Premise data centers −

• Complete Control − The organization has complete control of its IT infrastructure.
• Physical Security − Data and hardware are stored under the roof of the company.
• Custom Hardware & Software − An organization can pick its own hardware and software.
• Internet Independence − Systems can work without access to the internet.
• Long-Term Investment − Once implemented, there is no recurrent cloud service fee for a company.

Platforms Used for On-Premise

Following are some important platforms used for On-Premise data centers −

• Microsoft Windows Server
• Linux (Ubuntu, Red Hat, CentOS)
• VMware ESXi
• Oracle Cloud Infrastructure (Dedicated Servers)
• Dell EMC PowerEdge Servers

Pros of On-Premise Systems

• Control − The organization has complete control over its hardware, software, and security policies.
• Security and Compliance − Sensitive information is kept on-site within the organization, thus limiting any possible risk of third-party violations.
• Performance − As the infrastructure remains private, the performance is and can be tuned internally.

Cons of On-Premise

• Heavy Initial Expenses − Setting up servers, networking, and storage incurs very high initial costs.
• Maintenance − The organization has to worry about doing updates, security, and backup.
• Limited Scalability − The growth involves purchasing hardware that can be expensive and time-consuming.
• Challenges around Disaster Recovery − Risk of data loss during system failures if data backups are not appropriately administered.

Steps to Get Started

• Review secure needs − That is review whether a need for delicate high-profile security measures, adherence to compliance, is needed.
• Analyse IT capabilities − Check whether the subscription has an IT team to better manage on-premises infrastructure or whether it is best managed by a cloud provider.
• Performance Requirements Comparison − Evaluate whether low latency and high performance are critical.
• Disaster Recovery Preparation − Establish whether the best solution is cloud-based backup strategies or in-house recovery plans.
• Test Small Scale Pilot Solution − Implementing small-scale trial will enable to understand benefits and disadvantages involved in each approach.

Difference Between Private Cloud and On-Premise

Following table highlights major differences between Private Cloud and On-premise −