On-Premises vs Cloud Server – Business Impact, Pros & Cons

On-Premises vs Cloud Server - Business Impact Pros & Cons

Your small business is growing steadily and with that growth comes new challenges to set it up for continued success. We are here to help you do just that.

Once a business reaches a certain number of employees, the need to share resources and files in a more efficient way becomes imperative. That is usually when a company considers adding a server to their technology infrastructure.

Servers provide a centralized place to store files, host applications like email or accounting software and ensure resources can be accessed from any location through remote access server connections.

There are a number of advantages to organizing your IT strategy around a central business server rather than just relying on individual computers or cloud applications.

These include the following:

  • More Uptime Reliability: If one computer in your company goes down, it doesn’t have to mean a huge loss of productivity and profit. A server allows employees to access assets and files from any device.
  • Improved Network Security: When files are spread out over multiple PC hard drives, they are much more difficult to protect. Files that are located on a server mean access and security can be much more easily managed.
  • Reduce the Risk of File Loss: Servers offer a secure place to backup all devices that are used to access business data so you don’t risk data loss of important or sensitive information.
  • Flexibility & Mobility: When your programs and files are located on a server, employees can access them remotely from anywhere. This gives businesses the flexibility and mobility they need in today’s world.

Once you decide that it is time to power your Connecticut business with a server, there is another important choice to make. Should you use a cloud-based server or an on-premises server?

Both types have their pros and cons that can make one or the other a better match for your organization. We will explore those options next.

Should I Chose a Cloud or On-Premises Server?

On-premises servers that are housed at your physical office have been the norm since the early days of office computing. Now that Clouds are gaining momentum, cloud-based servers have become increasingly popular.

Spending on cloud infrastructure between 2009 and 2019 averaged 56%, while during that same timeframe, spending on on-premises hardware grew 4%. This is not surprising given the growth of cloud solutions over the last decade.

However, that doesn’t mean that every business is turning to cloud servers. It depends upon their needs and which server type serves them better.

Here are several ways that a server can impact your business and the pros and cons of on-premises vs cloud servers.

Startup Costs

When it comes to the initial cost of getting started with a server, Cloud servers have an advantage over on-premises.

  • Cloud server: You pay for the resources you use on a monthly or annual basis and there is no expensive equipment to purchase or maintain.
  • On-premises server: Onsite servers have higher initial startup costs due to the need to purchase the server. There are also ongoing server maintenance costs. However, over time, a well-maintained server can end up costing less than a monthly subscription to a cloud server.

Control of Your Data

One of the biggest reasons that companies choose an onsite server is to have complete control of their data so they are not relying on a third party.

  • Cloud server: You have to trust another company with the security of your data and applications. If there is server downtime, you can be cut off from important business assets.
  • On-premises server: You have physical control over your server and all data that it contains.

Accessibility

Accessibility can be a double-edged sword when it comes to the comparison of cloud vs onsite servers. 

  • Cloud server: Offers anywhere, any device accessibility through an internet connection. However, an internet connection is required to be able to access server data and assets.
  • On-premises server: Remote connection protocols can be put in place but they take more configuration than for cloud servers. However, you can access your server assets through a LAN (local area network) connection even if there is no internet.

Energy Consumption

How a server is stored also factors into your overall costs and this includes electricity. The optimal temperature for a server room is between 68℉ and 71℉.

  • Cloud server: Cloud servers are stored in data centers that are under strict temperature control to ensure they are running optimally. You don’t have any additional electricity costs since the server is housed off site.
  • On-premises server: You have to factor in power costs to keep the server running at optimum temperature at your office. Servers that run too hot can end up having hard drive issues or shutting down due to excess heat. 

Backup and Recovery

This is an area where neither server has an edge over the other. Both cloud and on-premises servers can easily be backed up to a third-party backup and recovery system to protect your data.

You will want to make sure you are not backing your data up and storing it on the same server. Otherwise you can lose your backup and original data in the case of a hard drive crash or other event.

Find Server Solutions That Match Your Business & Budget

Using a server can completely streamline and optimize your business operations. Make sure you get the best setup for your needs by consulting with Sound Computers on a server solution.

Contact us today to schedule a free consultation. Call 860-577-8060 or reach us online.

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