Outsource or In-House Private Cloud – What Should You Consider?

Once the decision is made to go with private cloud computing solution, the next decision that you have to deal with is whether to outsource with a private cloud hosting or manage and develop it internally. Therefore, what are the trade-offs between in-sourcing and outsourcing private cloud?

Below are the things you should know. These will help you determine if in-house or outsource private cloud is the best suitable option to meet your needs.

No Capital Expenditures Needed

A hosting provider makes all capital and staffing investments and delivers services at a fixed monthly rate.

Fully Managed

There is no need for you to hire the staff to manage the server storage, hardware, virtual servers, data center infrastructure, and offsite backup. The new server may be spun up with just a simple phone call.

Offsite Disaster Recovery

Several private cloud hosting providers may offer an offsite warm disaster recovery for a particular cost of building this internally since they can share disaster recovery hardware across many clients.

Compliance

If the hosting provider has compliance or built compliant solutions, you may piggy-back on their compliance work instead of starting fresh with your audits.

Internal private clouds give up the benefits of cap-ex free, staff-free solution, yet give a higher flexibility level in some key areas:

Hardware Selection

Providers of private cloud hosting tend to standardize on the hardware platform that they deliver their solutions on. The hardware platform used for the cloud does not really matter. Nevertheless, if you like a high degree of control over hardware components, a hosted or internal solution offers a high level of hardware flexibility.

Self Managed

If you and the technical team grooves on handling daily infrastructure or have fine-grain control over every computing resource, then outsourcing this can be hard to achieve within the culture of an organization.

Capital Expense

In several industries like the insurance market, an access to the capital isn’t a problem and upfront purchases are preferred over the monthly fees.

While the private clouds are preferred generally by big and mid-sized enterprises because they meet the compliance and security requirements of such bigger organizations and customers, various organizations will look a bit different on whether to build this internally or to host this with a reliable managed data center partner.

The choice is always yours when it comes to private cloud. Regardless of your special requirements, just remember to choose a provider that is known for its reputation and reliability in the industry. Many companies will promise you the moon and stars just to get your signature on their contract, yet more often than not, some will just waste your time and investment and could even put your business at risk. So, if you don’t want to throw your precious investment to waste, give yourself a favor and find a provider that will offer you nothing but convenience and peace of mind as this can make a difference in achieving the results you want for your company.

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