There are many solutions available for companies handling valuable data: data centers, private clouds, public clouds, multi-clouds, etc. Multiple environments can also be used simultaneously, which leads to hybrid or multi-cloud solutions becoming something of a norm. In this article, we will tackle each type of infrastructure, from private and public to hybrid cloud—and the advantages and disadvantages of each. As there is no clear rule of thumb as to which environment will suit which company, the choice depends on many factors, like the need to comply with regulations, the security level, or the need to ensure scalability.
The On-premise Solution: Total Control of Your Resources
On-premise, sometimes abbreviated as “on-prem”, is an on-premise IT environment managed by an internal IT department or by an outsourcing company. This solution is related to renting or buying machines and (most often) building and maintaining an in-house service infrastructure – software, network, and server room to ensure adequate conditions for the machines. In the case of an on-premise solution, scalability is linked to the purchase and configuration of additional machines—and sometimes, to the expansion of the IT team.
Infrastructure management also includes the maintenance and care of hardware, not just of software, which tends to be separate and costly. By having your own data center, you have total control over the type of machines you use, making it easier to meet legal requirements, including the EU GDPR Regulation or Financial Supervisory Commission Office guidelines.
Owning your own devices also means fixed, predictable resource costs that scale easily. The company incurs one-off costs to build or expand the server room, to ensure adequate conditions for the machines (space, air conditioning, power generators), or to purchase the servers.
Private Cloud Computing: Relatively Expensive
Private cloud IT infrastructure includes the provision of server space and infrastructure services for a company’s exclusive use. The data center can be hosted by a company or an external service provider. The firm uses the internal network, a separate infrastructure space that is not shared with other users, which means tighter security but also a higher cost of maintaining the environment. The service provider takes care of equipment, maintenance, and upgrades.
If traffic is expected to increase, the company does not have to spend on additional servers to ensure scalability—it simply leases more server space from the provider.
Private clouds come with fixed costs, even if consumption varies. The company pays for server space, IT services, and network maintenance. The costs are relatively high because the company exclusively rents the entire environment. This gives the possibility to adapt infrastructure, machines, and services to business needs. The provider can prepare dedicated solutions or purchase equipment that complies with legal regulations.
Public Cloud Computing
In the case of public cloud computing, the machines belong to external service providers (such as Google, Amazon, IBM, or Microsoft). Public cloud owners have their own data centers, an extensive infrastructure of servers, and network connections between centers. The service provider decides on the physical specifications of the machines.
Maintenance work—equipment maintenance, preservation, upgrades—is carried out by the cloud service provider. Resources are made available via the Internet, through a public cloud service platform. In addition to server space, public service providers also offer infrastructure services, including industry solutions, applications that support the rapid deployment and launching of applications, big data analytics, machine learning, and AI-based solutions.
Each company can use public cloud resources according to its own needs. It has access to unlimited disk space and the ability to build its own infrastructure using available cloud services. With the public cloud, costs are flexible, usually charged on a per-minute or per-second basis.
The public cloud is fully scalable by changing machine parameters or buying additional virtual machines. Having an extensive infrastructure, public cloud providers are able to cope with a network failure more efficiently than on-premise or private cloud solutions.
Hybrid Cloud: Single, Flexible, Cost-optimal IT Infrastructure
Hybrid cloud is an IT architecture that incorporates public cloud and private cloud or on-premises solutions. It allows you to take advantage of the benefits of both solutions—combining the security of an isolated network, the ability to configure and tailor services to individual requirements, or the purchase of legally compliant equipment (on-premises or private cloud) with high computing power, virtually unlimited scalability and a range of existing cloud services (public cloud). For example, the capabilities of a hybrid cloud infrastructure allow storing and processing sensitive data in your own data center and, at the same time, scaling traffic growth in the public cloud or using advanced cloud services like big data analytics, ML, or AI.
The Multi-cloud Solution
A multi-cloud solution involves the simultaneous use of services provided by two or more cloud providers. The distribution of resources between environments depends on the company’s requirements. For example, the main infrastructure environment may be built on Google Cloud Platform, while at the same time using Amazon Web Services. Multi-cloud allows you to select services from different environments that best meet your business needs.
Using the multi-cloud solution means you no longer depend on a single provider. With multi-cloud, even if one provider experiences problems, the distributed system will continue to work—at least in part.
Which Solution Is Worth Choosing?
There is no one-size-fits-all rule that indicates which solution will be right for which company. The choice of infrastructure should be preceded by a thorough analysis of business and technological needs, as well as the company’s chosen path and future product development.
