Cloud computing is becoming more and more popular for its on-demand computing services. Many organizations use cloud computing for tasks such as email, virtual desktops, consumer-facing web applications, data backup, and more. Cloud-based computing offers increased agility, cost reduction, easy scalability, and the ability to build anything imaginable. In comparison to traditional computing, you no longer need to purchase computing infrastructure or data centers. You can purchase the same services for cheaper in a pay-as-you-go structure through cloud computing. Is cloud computing right for your company?

On-premise vs Cloud Computing

What’s the difference between on-premise and cloud computing? What type of computing will work best for you and your organization?

On-premise is the ‘traditional’ software company’s method of using computing power. In this type of computing, the company must purchase a physical copy and license of the software they want and the infrastructure is typically placed within your physical workplace. The main benefit of on-premise computing is security. Many organizations use on-premise computing and purchase physical hardware rather than remotely to increase cybersecurity.

Although on-premise computing may offer peace of mind in regards to securing information, it can also increase costs. If complications arise, the system requires a team to perform maintenance on both the hardware and software. On-premise computing can also increase costs through power and storage hassles. Scaling is another issue that you may face with on-premise computing. Once you have scaled up, the logistics of on-premise make it extremely difficult to scale down.

The main difference between on-premise and cloud computing is that a third party hosts everything in cloud computing, rather than all in-house. Many organizations choose cloud-based computing because it is extremely cost-efficient and runs remotely. Your cloud service provider manages and maintains the server for you, and allows for you to pay for what you use which, as a result, saves on costs and storage. 

Cloud computing also offers a wide variety of benefits like easy scalability, high data security, and agility. The remote system allows you to scale up or down as your workflow changes and becomes more agile. Due to cloud-based computing having high data security, there are robust data recovery measures put in place to make it faster and easier to recover lost data, if such situation occurs. There are fundamental differences between the two computing options and your organization should choose the one it is best suited for.

Cloud Computing Models 

The cloud computing deployment model consists of three categories; public, private, and hybrid. 

The public cloud is extremely popular and attractive to both individuals and businesses. It is used through the internet and can access large amounts of data. The public cloud has large scalability which makes it attractive to businesses. It is very similar to Amazon Web Services (AWS), which is Amazon’s on-demand cloud computing platform. 

Private clouds isolate their environment within a public cloud for select users to use. Protected through a corporate firewall to control their data, security is enlarged within private clouds. The firewall ensures that sensitive data cannot be seen by third parties. Private clouds are very similar to on-premise computing. 

A hybrid cloud shares data between both public and private clouds. Hybrid clouds make it much easier to control, scale, and manage operations – and all while being cheaper than on-premise computing or a private cloud network. 


There are many options and varieties of on-demand cloud-based services, including but not limited to; Amazon Web Services, Azure, Google Cloud, and Digital Ocean. 

Amazon Web Services (AWS) is the global cloud market leader holding 32% of market share. Launched in 2006, AWS was created for users to create and deploy applications through the cloud. Focusing on computing power, database storage, content delivery, or other functionalities. AWS offers a wide variety of products – even including data storage in satellites. 

Cloud computing service Azure logo

Azure, launched by Microsoft in 2010, was created for users to build, manage, and deploy applications through data centers. Azure offers a variety of models and services to create frameworks that work well for you and is extremely compatible with other Microsoft products. 

Cloud computing service Google Cloud logo

Google Cloud was launched in 2008 as a service to provide application development and integration while following a hybrid cloud approach. To provide reasonable and reliable solutions, the platform uses machine learning and advanced analytics capabilities.

Cloud Computing service Digital Ocean logo

Digital Ocean is a new competitor that was launched in 2011 and was designed specifically for developers.The cloud infrastructure focuses on offering a reliable, predictable, and secure service to their customers resulting in a high level of community engagement. 

Nearly every industry can benefit from cloud computing. Healthcare companies use the cloud to create more personalized treatments for patients. Financial services use the cloud to detect real-time fraud and video game companies use it to provide virtual games around the globe. There are endless opportunities that cloud computing offers. Even Netflix uses cloud computing to stream videos and within their day-to-day business. The retail industry is currently relying on it heavily. How can you use cloud computing in your business to improve your agile workflow? Talk to an expert at Sangwa Solutions.

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