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Difference between On-Premise and Cloud Computing

On-PremiseCloud Computing
Deployment: Every resource deployed is within the infrastructure. The enterprise will be responsible for maintaining and handling the related process. The access is limited to the Organization only.Deployment: In Public Cloud, resources are deployed at the service providers end and accessed by the public. In Private Cloud, resources are deployed according to the customer’s need and can be accessed by them only.
Security: Organizations who have sensitive data E.g. Banks must use a certain level of security. The security is taken care by either a third party or by a group of staff using an external tool.Security: The secure environment is provided by the Cloud Service providers. There is a broad set of policies and technologies provided by the CSPs. These take care of the security of your data.
Maintenance: The user is responsible for maintaining the server hardware and software, the data backups, storage devices, and disaster recovery.Maintenance: Cloud Computing provides greater flexibility as the user/organization only pay for what they use and can easily scale to meet the demand.
Flexibility: When you buy/make changes to your infrastructure, the cost incurred will be by the organization.Flexibility: You can quickly upgrade your infrastructure to your needs without having to make large investments in costly hardware every time.
Cost: The cost incurred is for the servers, hardware, storage devices, software, power consumption and also space where your architecture is built. It’s relatively more expensive than cloud computing.Cost: In Cloud Computing you only need to pay for the resources you use. There are no maintenance charge, no upfront charge, and no upkeep costs associated. As a result, the costs go down drastically.
Control: In an on-premise model, the company keeps and maintains all their data on their server and enjoys full control of what happens to it; this has direct implications on superior control on their data as compared to cloud computing.Control: In a cloud computing environment, the ownership of data is not transparent. As opposed to on-premise, cloud computing allows you to store data on a third party server. Such a computing environment is popular among either those whose business is very unpredictable or the ones that do not have privacy concerns.
Compliance: Many companies have to meet compliance policy of the government which tries to protect its citizen; this may involve data protection, data sharing limits, authorship and so on. For companies that are subject to such regulations, the on-premise model serves them better. The locally governed data is stored and processed under the same roof.Compliance: Cloud solutions also follow specific compliance policies, but due to the inherent nature of cloud computing (i.e., the third party server), some companies are not allowed to choose cloud. For example, although the data is encrypted on the cloud, the government never chooses the cloud because losing authority over their information is direct annihilation of their compliance measures.
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