Cloud Vs. On-Premises: 6 Benefits Of Keeping Data Private - InformationWeek
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Cloud Vs. On-Premises: 6 Benefits Of Keeping Data Private

We can think of at least six reasons why you would want to store your data in a privately controlled data center rather than use a public cloud service. Let's gain an understanding of the on-premises vs. cloud debate, and see why some tech leaders advocate a hybrid model where both coexist.
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(Image: Geralt via Pixabay)

(Image: Geralt via Pixabay)

Major technology vendors, including Microsoft and Oracle, have stepped up their efforts in recent weeks to emphasize the benefits of storing data and running applications, platforms, and infrastructure in the cloud -- whether public or private. But many IT leaders that I speak with in my work as a consultant remain caught in the debate over maintaining on-premises data centers versus moving to the cloud.

Even as Oracle CEO Larry Ellison came out as one of the cloud's biggest cheerleaders during Oracle OpenWorld last month, Melissa English, president of the Oracle Applications User Group, noted that most users are going with a hybrid approach and keeping some functions on-premises.

There are at least six reasons we can think of where it would indeed be appropriate to avoid considering the use of a public cloud service, and instead, only store certain data in privately controlled data centers. These range from concerns about regulatory requirements, to issues with connectivity and speed -- all of which are often outside the control of your organization and your cloud provider. Much depends on the type of data you need to store, and the mindset your organization has regarding cloud computing in general.

[Confused about cloud computing price structures? Read Cloud Computing: 8 Hidden Costs.]

In my experience as a consultant and IT professional, I've seen IT departments that still view the use of cloud providers as an inferior solution compared to what can be offered in-house. In certain situations, they're right.

Here, we hope to give you a better understanding of the on-premises versus cloud debate, and some perspective on why tech leaders such as Larry Ellison believe that IT, for the foreseeable future, will likely follow a hybrid model where on-premises and cloud computing will coexist.

Once you've reviewed this debate, we'd love to hear your story about how your organization made the decision to maintain an application or database on-premises -- as opposed to in the cloud. Let us know your thought process in the comments section below, and whether or not you see your organization heading to the cloud in the near future.

Andrew has well over a decade of enterprise networking under his belt through his consulting practice, which specializes in enterprise network architectures and datacenter build-outs and prior experience at organizations such as State Farm Insurance, United Airlines and the ... View Full Bio

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AndyD861
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AndyD861,
User Rank: Apprentice
5/9/2016 | 5:21:40 PM
Re: cloud adoption
Cisco probably takes this stance because the high cost of private vs. public cloud is so vastly different.
Midnight
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Midnight,
User Rank: Strategist
11/13/2015 | 7:26:36 PM
YES! Finally someone else is saying it
Most of the people in our industry were not involved in the birth-pains that occurred when the Internet "privatized." Believe it or not, most of these same issues were being discussed in the early Dot Com era. It is just a matter of scale. Substitute the phrase hosting provider for cloud provider and many of you will go, "ohhh yeah... crappers I remember that." The core issues are still the same only the scale has changed.

Believe it or not, this battle goes back even further to the '80s. Back then it was mainframe vs desktop. And there are many viable arguments on both sides treated use-case by use-case. So why are we seeing it again? Answer is simple, those who do not study history are doomed to repeat it. And this is true even on Internet time scales.

Consider a few core no brainers:
  •     Any deliberate back-door is a security hole that will, not just may, be eventually exploited (Basic best practices)
  •     If your in-house business relies on access to an application or data source continuously, then deliberately creating a single point of failure (i.e. your office Internet connection line) is bad
  •     If you have sensitive data that could cause moderate, serious, or grave harm to your customers or internal operations then the first rule of security is Physical control. Outsourcing the ENTIRE physical security model is simply irresponsible and potentially criminal negligence.
  •     Just as with public websites, using the greater power and reach of a hosting / cloud provider for information you want public just makes sense.

There are times using the "big iron" resources of the public cloud make sense. But cost cannot be the final say. Nor should uninformed golf course bragging rights guide a decision that can cost your company's very existence. Yes, it is that serious of a topic. Remember all cloud computing means is you are running your application, storing your data, on somebody else's computer.

Just because your idiot cousin "trusts" the US government not to abuse to access granted by every major provider to his data... honestly believing the US government has created a secure "bulletproof" back-door system spanning the cobweb of data centers which even the owners have trouble managing, would be a fabulous idea for you to put your complete and total trust into the solution as well.

We are technical experts for a reason, our job is guiding newcommers and "MBA wielding tourists" through the landscape we call home. We cannot expect them to appreciate the dangers and pitfalls while their eyes are dazzled by the wonders and possibilities. We are the cautionary voice of reason, and the trusted guides.
Ariella
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Ariella,
User Rank: Author
11/12/2015 | 8:19:01 AM
Re: cloud adoption
@LI yes, I've seen a number of businesses proposing that as an ideal solution. I'm just wondering then what makes Cisco conclude that private cloud usage will drop by 2019.
Li Tan
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Li Tan,
User Rank: Ninja
11/12/2015 | 1:27:17 AM
Re: cloud adoption
I believe public cloud will be more and more popular but the hybrid mode will be a common existence in the future. Furthermore, technology nowadays allows seamless hybrid cloud - it means that public and private cloud can exchange data seamlessly.
Ariella
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Ariella,
User Rank: Author
11/11/2015 | 10:22:50 AM
cloud adoption
Cisco predicted that public cloud use will rise substantially by 2019 in its  Global Cloud Index (2014-2019). According to its forecast, by 2019, 56% of the cloud workloads would be in public cloud data centers as compared to 30% for 2014. Private cloud would decline from 70% seen in 2014 to 44%  So while many are refraining refraining to commit to public cloud now, they will be changing their minds as data expands and people rely more on and more on mobile data than PCs. 

Security is definitely a concern, though, and regulation compliance plays a role, as well. Interestingly, though, according to Sarah Lavhav, CEO of SysAid Technologies, regulations promote rather than hinder public cloud adoption. Where there are more regulations, as in the US, she points out, more organizations opt for cloud. In fact, on the books rules like HIPPA is what makes healthcare industry companies feel more confident about using public cloud services, something that over 82% already do.
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