Everyone's Talking About the Cloud
By now you and everyone you know should have heard about the cloud. It's one of the trendiest topics in today's tech and business worlds, and there are many questions that come with it. Should everyone get on board? Does it save money? Is it more secure? What's the difference between a public, private, and hybrid cloud? All of these are valid questions — and the answers may surprise you. In fact, you may already have a private cloud and just not realize it.
So what exactly is the cloud? It's a network of logical and physical servers, with each server performing a different function. Some run applications and others store data. Most people have interacted with one in some shape or form — think Google Drive, iCloud, and Instagram. The servers may be the same make and model of machines you have in your office.
We can divide the cloud into two main components: public and private. There's a third option combining the two — a hybrid cloud. This guide aims to lay out what each one is and hopefully dispel some misconceptions.
Public Cloud
If you operate in a public cloud, you're essentially paying to "rent" servers maintained by another entity. The provider takes care of both the hardware and software for you. For pricing, you usually pay a fixed monthly amount, which may vary based on usage. Because the provider maintains the servers, they are also normally responsible for system backups.
This scenario may seem like less work, but there are some important things to keep in mind:
- You may not know in what country your servers are being hosted. There are many cases where hosting servers in another country is significantly cheaper for providers, which raises questions about security and data control.
- You may be sharing a physical server with other users. This usually has no side effects — unless multiple users require heavy use at the same time, potentially causing lapses in service.
- Your data can be forcibly turned over to government agencies without your knowledge. Government agencies could subpoena the cloud provider for data and prevent them from notifying you that it is being accessed.
Private Cloud
In reality, businesses have been using private clouds for decades — it was just before the term "cloud" was invented. In most cases, you would own or lease the servers. While the servers could be in your office, you could also use a colocation center (COLO) — a facility where you rent space for your servers, just like renting an office space. If you don't have a strong Internet connection or can't maintain a server-friendly environment in your office, a COLO might be a good option.
A few common misconceptions about private clouds:
- "I don't have IT staff for private clouds." You don't need an in-house IT staff. You can hire contractors to maintain your servers without needing a full-time IT department.
- "I don't have the funds for hardware." There are options for leasing servers rather than owning them. The idea that public cloud is the only lower-cost option is an exaggeration — either can be made to fit your budget.
Major Differences
The key differences between public and private clouds come down to two things:
Control. With a public provider, you don't control where your data is stored, what security measures protect it, or how often servers are upgraded. Private clouds give you complete control over all of these.
Knowing where your data is and who sees it. With a private environment, you always know where your servers are hosted and the level of security your data receives. There is no middleman. If a government agency wants access, they must subpoena you directly rather than going through a third party.
Hybrid Cloud
A hybrid cloud combines aspects of public and private clouds. Companies can free up space in a private environment by moving non-sensitive data to a public one — a method called "cloud bursting." Sensitive data remains on the private cloud while less critical data moves to the public side. This option is becoming more popular as businesses seek the best of both approaches.
In conclusion, the cloud is nothing new. Most businesses are part of it in some way. It's important to understand the benefits and the potential drawbacks so you can make the right choice — especially when also selecting an ERP package.
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