As more and more companies have had to rapidly pivot to remote work in the past few years, questions of data storage and accessibility have become top of mind.
Traditionally, companies keep their servers, operating systems, and other data hardware as physical assets on company property. While these servers offer certain advantages, they pose a considerable risk and hindrance compared to cloud data storage technologies.
With cloud hosting, servers and data are hosted by a third-party providerand accessed via internet connection. This allows companies to access their data from wherever they are and only pay for the resources they use, eliminating the cost and maintenance of physical on-prem servers.
Certain risk factors must be considered when deciding which data storage method is best for your company, whether your staff is in-office, remote, or a mixture of both. Understanding the potential downfalls of on-prem servers can help facilitate moving to the cloud.
On-prem servers have long been the most widespread method for corporate data and software storage, providing companies with the peace of mind of a tangible asset within the four walls of their office building.
However, companies that now have both onsite and remote workers are asking questions about the security and efficiency of their on-premises data storage. Across industries, on-prem servers pose risks to company and client data. Here are some of the top risks associated with having on-prem servers.
As more companies have people working around the globe, sensitive data exchange has moved online and become more susceptible to cyberattacks.
Cloud servers provide 24/7 cybersecurity, all while eliminating the risk of physical damage to the servers. On-premise servers are physical assets and face the same dangers the rest of the building might be exposed to, including fires, floods, or break-ins.
Further, on-prem infrastructure may have limited physical security measures, increasing the potential for outdated software and hardware. On-premise solutions often lack the advanced data security features and constant monitoring a third-party cloud service provides.
A cloud provider typically offers robust security measures, regular updates, and distributed infrastructure, reducing overall risk exposure.
As companies grow, their data storage needs to change and expand. Scaling physical IT infrastructure is costly and time-consuming, while cloud storage and computing resources can seamlessly scale to accommodate growing companies.
On-prem servers are difficult to scale due to hardware limitations, space constraints, and high upfront costs. Increasing capacity requires significant time for procurement and deployment. These physical servers lack the flexibility to quickly adjust to changing needs, resulting in either insufficient resources or wasted capacity.
Maintaining on-premises solutions also becomes more complex as infrastructure grows, demanding additional IT support and costs. Unlike the more adaptable cloud server options, these factors make it difficult for on-prem servers to scale efficiently with a growing company's requirements.
Cloud hosting is also especially effective for companies expanding internationally, connecting employees, customers, and business partners around the globe with minimal effort.
The greatest risk for on-prem servers is the loss of data and the minimal backup and recovery options available. A malfunction in the system or a compromised system held for ransom by a bad actor can lead to permanent data loss on a company’s internal server.
While businesses can choose to store their data on an off-site backup server, this service generates additional costs and maintenance fees.
Limited physical storage and manual backup processes increase vulnerability to data loss. Cloud services offer automated, geographically distributed backups, faster recovery times, and more robust disaster recovery options than on-site data centers, ensuring better data protection and business continuity.
Cloud services are backed up regularly, securing your most up-to-date information in the event of an emergency and enabling a swift recovery of any necessary files or entire systems.
Keeping on-prem servers running and secure can generate many extra costs, not the least of which is staffing a dedicated IT support team. Between the maintenance costs of server hardware and software upgrades, power consumption for running the server and cooling the space, and accounting for the server's physical space, on-prem servers cost companies more money in the long run.
Companies often overprovision to accommodate future growth, leading to underutilized resources—a waste of money.
With the cloud computing model, businesses pay only for the resources they use, with no maintenance or upkeep costs. A cloud-based server is often pay-as-you-go, eliminating large startup investments and allowing businesses to scale as needed.
In a more global, remote-focused business landscape, ensuring all employees can access company data through their internet connection is essential to keeping things running smoothly. While data stored in on-prem servers is limited to the physical office, cloud storage takes the office anywhere employees go.
Translating on-prem servers to a remote workspace may require additional hardware, servers, or licensing, generating additional costs for a clunky transition process. In contrast, cloud computing is intended for remote access, allowing employees to access their files in minutes. It also makes it simpler to connect multiple business locations.
In an unpredictable landscape, businesses need to be ready to adapt to new circumstances quickly and efficiently. Running software and keeping data stored in traditional on-prem servers creates additional complications for companies expanding beyond their existing offices or transitioning to a remote model.
Cloud storage technology continuously evolves to meet the demands of the modern businesses they support, providing ample opportunity for scalability, cost-efficient services, and accessibility from any location. If the years following the global pandemic have taught us anything about the future of business, companies must be adaptable and flexible—and so should their servers.
Ready to make the switch to cloud storage? Our team is ready to help you discover the best data storage solutions for your business. Reach out to a team of experts.
Editor's Note: This post was originally published on September 17, 2020, and has been updated for accuracy and current best practices.