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November 15, 2019

Which Services Is Best For Your Business – Cloud Computing Or On-Premise Software?

Technological advancements have bestowed the business world with what can seem like the uncertainty of riches when it comes to tools and techniques for handling every aspect of the endeavor. With cloud computing entering the world of technology, almost everything has moved online in this era. For most businesses, it entails shifting from on-premises to cloud-based software systems. In the world of technology, it is not necessary to install every program on your system or laptop, as many online applications are now available via cloud computing services. Conversely, many companies aren’t able to leap into the cloud. Instead, they rely on their tried-and-true legacy and on-premise applications and software to do business.

As a result, it has become one of the most prominent examples of this phenomenon – Cloud vs. On-Premise debate concerning software solutions. Nevertheless, both the software have their merits, and choosing the right solution for your business begins with a complete understanding of its pros and cons. Not only this, what also matters is how each option can integrate with your workflows.

The Clash of New and Old – Cloud vs. On-Premise Software

It is no surprise that cloud computing and its services have grown in popularity, as its allure and promise offer newfound flexibility for enterprises, everything from saving time and money to improving agility and scalability. Whereas, on-premise software installed on a company’s servers and behind its firewall was the only offering for organizations for a long time and may continue to serve your business needs adequately. Although, what keeps on-premise software apart is it’s reliable, secure, and allow enterprises to maintain a level of control.

However, there is a consensus among IT decision-makers that in addition to their on-premise and legacy systems, they will need to leverage new cloud and SaaS applications to achieve their business goals.

On-Premise Software

Traditionally, most businesses rely on installing on-premises software, which is deployed in-house and operated from a server. As the name suggests, cloud computing infrastructure stored on the physical premises of that organization.

The downside of on-premise environments is that costs associated with managing and maintaining all the solution entails can run exponentially higher than a cloud computing environment. An on-premise setup requires in-house server hardware, software licenses, integration capabilities, and IT employees on hand to support and manage potential issues that may arise.

Cloud Computing Services

With cloud service solutions, users now have other ways to use the software. Instead of buying the corresponding program, installing it on your PC, and then using it, they prefer to subscribe. In one critical way, the technology differs from on-premises software, as within an on-premise environment, the company hosts everything in-house. Whereas, in cloud development service, a third-party provider hosts all that for you, where it allows the organization to pay on an as-needed basis and effectively scale up or down depending on overall usage, user requirements, and the growth of a company.

Further, to host a company’s applications offsite, cloud-based server employs virtual technology, with no capital expenses, regular data back-up, and businesses only have to pay for the used resources. Moreover, for the organization that aggressive expansion plans on a global basis, the cloud development solutions have even greater appeal. With minimal effort, it allows the industry to connect with customers, partners, and other businesses globally.

Essential Differences between Clouds vs. On-Premise

There are several fundamental differences between on-premises and cloud development services. However, it entirely depends on which software you choose for your organization. Let’s discuss the critical difference in-depth.


With various forms of cloud computing – public, private, and hybrid, resources of public cloud computing solutions are hosted on the premises of the service provider. Yet, enterprises can access and use those resources as much as they want at any given time. Whereas, in on-premises, resources deployed in-house and within an enterprise’s IT infrastructure, where it is responsible for maintaining the solution and all its related processes.


The organization that chooses cloud computing solutions have to pay only for the resources they use with zero maintenance and upkeep costs. On the other hand, for enterprises that deploy software on-premise, they are responsible for the ongoing costs of the server hardware, power consumption, and space.


For cloud computing solutions, security concerns remain the number one barrier, as the security threats right from personal information data of employees to a loss of intellectual property are real. Whereas companies that have extra sensitive information, such as government and banking industries, must have a certain level of security and privacy that an on-premises environment provides. Despite the promise of the cloud, safety is the primary concern for many industries, so an on-premises environment, despite some of its drawbacks and price tag, make more sense.

Cloud computing services are entirely managed and built to meet your enterprise application requirements. Over a decade now, the technology has dominated the business technology landscape, and Rigel Networks have spent those years perfecting the art of developing cloud-based apps and migrating on-premises systems into the cloud. By analyzing business requirements, technical aspects, and security assessments, we provide highly secure comprehensive cloud computing services to manage your enterprise apps. Our cloud strategy and roadmap helps our clients ensure increased collaboration, document control, security, and competitiveness.

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