Cloud servers versus On-premises servers: What is the difference and what works best for your organization?

Have you been looking around for IT storage solutions but get lost with all the options and features? Should you go for a cloud server, an on-premises server, public cloud or private cloud? In this installment we have done the investigating for you, taking the guessing work out of selecting the best solution for your needs. In this blog, we will explain the difference between on-premises servers and cloud servers? We will also explain the benefits and drawbacks of both, and which server is most suitable for different types of organizations. 

The difference 

On-premise, private servers, are servers that are placed somewhere in the office locationThey are physically there, mostly in a server room. This is considered an old-fashioned way of data storage with more and more companies switching to Cloud servers nowadays. With Cloud servers, the storage of company files, apps and processes is no longer done locally but online. This means the servers are not located at your office but at a different location, such as a data center.

On-premises server 


  • You have your server in own management and responsibility which provides a feeling of safety for a lot of companies.
  • You can easily switch from IT vendors, simply because you have your own access to the server, and you do not depend on a third party.


  • When working remotely, the on-premises server can be a lot slower than when you’re at the same location as the server. 
  • Most companies don’t meet the requirements that servers have, such as cooling facilities, emergency power and access control.
  • On-premise servers are less scalable than cloud servers. When the server has reached it’s capacity you cannot scale up, unless you buy another server. 

Suitable for 

  • Companies that use a lot of data/bandwidth. 
  • Companies that have an unstable internet connection. You don’t need internet to locate the data on a on-premise server. 

Cloud server 


  • Cloud servers are flexible. You can easily scale up when your company grows or scale down when you have less usage. 
  • With cloud servers you can include maintenance and management with your cloud service provider, so you don’t have to worry about servers. 
  • You can access your data from any location and on any device.


  • Some situations will prevent you from utilizing cloud servers, for example when you are processing sensitive information and want to keep this on your own servers or if the local law demands you do so. 
  • You need a cloud service provider with a proper cloud-network and platform for quality and security. Always choose wisely and do your research. 

Suitable for 

  • Organizations that have multiple locations or have a lot of employees that work remotely. 
  • Organizations that work with a Remote Desktop Protocol (RDP) or VPN. It is easier to set up these protocols and to manage it with a cloud server. 
  • Organizations that look for a Managed IT package or don’t have an IT department in-house.
  • Organizations that rapidly change due to growth or any other reason. 

Whether you choose a cloud server or an on-premises server, the possibilities are endless. We understand that every organization is unique and can require a custom setup. Want to chat with us about solutions for your organization? Let’s connect! 

Contact our team to discuss your options when it comes to server solutions.

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