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Cloud Hosting vs Internal Hosting: What’s a Better Option for Your Business

Wondering what type of hosting is a better option for your business – cloud hosting or internal hosting? Read this article and discover the pros and cons!

Is it a smart decision to move to the cloud? When determining whether a specific app or workload is suitable for migration to the cloud, it is essential to keep in mind that there isn’t a right answer. However, there are pros and cons related to cloud hosting and internal hosting that can help you decide what is a better option for your business.

Internal hosting refers to the model where the apps and resources used by the business company are hosted and managed by the business company itself. The management is usually provided by the IT department and the servers and all the hardware equipment needed is owned by the company. The good thing about this type of hosting is that there are no web hosting or managed fees.

You will not worry about any external fees for managing and hosting the environment. The internal hosting lets business companies decide everything which means you will have a complete control. The internal hosting also let companies control the changes, as well as, the timetables for any change. When it comes to the performance, we can say that internally hosted businesses enjoy greater performance than cloud-based business environments.

The downsides are that you will have a complete responsibility for the management of the server and the hardware equipment. The hosted environments need to be managed and monitor 24/7. The hardware equipment is yours which means that the maintenance costs are yours too. Your team must be focused on maintaining and managing infrastructure. All of the supporting costs related to the hosting server are charged to your company. There are no economies of scale.

The cloud hosting type, on the other side, includes the apps or the resources used by a business company. The apps and the resources don’t reside within the company and are not directly controlled by them. There are different hosting models and depending on the hosting model, the business company will have a control of the application. Some of the pros related to cloud hosting are lowered expenses, enhanced resource utilization, flexibility & scalability.

The maintenance and utility expenses are included in one monthly charge while the economies of scale are usually realized. Your team can focus on achieving company goals and not on tech activities. This is how the resource utilization is significantly improved. Cloud servers have the ability to scale up and down according to your needs. Some of the downsides are performance, loss of configuration control, and unstable costs. The cloud hosting comes with monthly charges that never really go away. The hosting models usually use management and change controls that result in slower modifications and prohibit modifications. Inactivity can sometimes impact the cloud hosting models. 

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By revealing the pros and cons of both cloud hosting and internal hosting we like to help you decide which type of hosting is a better option for your business company. There is no way to conclude which hosting is the right solution, that is your decision only and should be decided by you and your team. You need to take into consideration a few factors such as your financial and budget, your infrastructure, and the maturity of applications.

If you are ready, gather your team, take your time, consider the pros and cons we’ve just revealed, and come up with a final decision. By making the right choice, you can focus on running your business and achieving all of your business goals.