IT made easy: on-prem vs. private cloud

As already indicated in the last article, the fundamental difference between on-prem and a private cloud solution lies in where the data is stored: with the on-prem variant the software runs on the company's own servers and the data is stored there too. With cloud solutions, by contrast, it is held on an external server, e.g. in a data centre, and can be accessed from anywhere. But does where the data is stored really make such a big difference in the end?

In a certain sense, yes. Because the place where the software is stored also brings with it responsibility for updating, maintaining and looking after the data as well as protecting it. So ultimately the question arises: does my company have the know-how and the time capacity to do justice to this task - and to the same degree as is the case in a professional data centre?

Physical security
With regard to physical security there are a number of risk factors when the software is hosted in-house - whereas a data centre can counter these with targeted security mechanisms. Power failures, overheating, break-ins and inadequate fire protection are real sources of danger above all. Against power failures a data centre is protected by emergency generators, so that in the event of an interruption to the power supply, continuous power is guaranteed and the software can continue to run without disruption. Overheating is prevented by water cooling systems, which also means that the servers can generally run at a higher baseline performance. A data centre is also protected against break-ins and physical intrusion by numerous high-level security precautions. Strict legal requirements for fire protection measures also ensure that the data in the data centre is secure even in the event of a fire.

Cyber security
The picture is similar with regard to cyber security: while in a data centre professionals deal with the protection of sensitive data, with on-prem models data security questions lie in the hands of your own company. At a time when cyber security is becoming an ever more relevant topic for companies, this can represent a major source of risk if it is not properly looked after.

Costs
Beyond that, the company is also responsible for the ongoing maintenance and upkeep of the software itself. That involves a considerable amount of time - and correspondingly high costs: installing updates, fixing bugs or adapting to new needs are just a few examples. Since it can be assumed, especially in SMEs, that time capacity as well as comparably high IT know-how are limited, a cloud solution can be the better choice from this perspective too.

So which is it, on-prem or private cloud?
In the end it can be said: if the software is hosted as an on-prem version on your own servers, responsibility for everything to do with maintaining the software lies with your own company. That ranges from the physical protection of the data through cyber security to installing the latest software versions. While a data centre specialises in the optimal protection of data, and professionals with the relevant know-how take care of software questions in full, it is relatively difficult for individual companies to provide equivalent conditions. Time and financial capacity are generally tight and specific knowledge is lacking.