What is a private cloud?

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Let’s understand the concept of a private cloud.

A private cloud is a cloud computing environment where the infrastructure is dedicated to a single company or organization.

A private cloud makes it easy to control and manage security or compliance within a company, and unlike a public cloud, it guarantees performance and reliability since the infrastructure and resources are exclusive. With data center virtualization, you can own and manage virtualized computing resources, and allocate and manage IT infrastructure resources, such as servers, storage, and networks, to meet your needs. A private cloud consists of a dedicated infrastructure and is operated in a physically and virtually separated environment. Such configurations allow companies or organizations to control IT resources and fulfill important requirements, such as security and compliance by themselves in a cloud computing environment. Also, private cloud solutions’ dedicated infrastructures and resources guarantee performance and reliability. The advantages of the private cloud are the increased control and flexibility over IT infrastructure of companies or organizations and guaranteed stability, availability, performance, and scalability. However, it comes with the disadvantages of high upfront costs, a need for professional skills and manpower, and exorbitant operation and maintenance costs compared to the public cloud. For a private cloud, it is important to select the proper cloud computing solution based on the requirements of companies or organizations. To do that, the nature of company business, security requirements, and costs and manpower for infrastructure operation should be thoroughly considered before making a decision.

Digital transformation, episode 10: The cloud, the core technology of DT (2) Insight report describes how cloud services work, using the analogy of a house.
"If you want someone to select and manage a great employee who would never cross a line in a cloud environment while perfectly keeping your privacy, private clouds will be the best option for you. On the other hand, if you are willing to give up on privacy and noise between floors for lower maintenance fees and pleasant life, public clouds will be the best fit for you. If you need both, you should adopt a hybrid model that is a combination of the two."

[Gartner's definition] Private cloud computing is a form of cloud computing that is used by only one organization, or that ensures that an organization is completely isolated from others.
[Forrester's definition] Private cloud computing is the cloud infrastructure that is provisioned for exclusive use by a single organization comprising multiple consumers (e.g., business units). It may be owned, managed, and operated by the organization, a third party, or some combination of them, and it may exist on- or off-premises.

What are the advantages of a private cloud?

High reliability and security

Private cloud solutions’ dedicated infrastructures guarantee high stability and security. They guarantee business continuity of a company or organization and protect crucial data and information safely. Also, private cloud computing models are best for businesses or organizations that need to meet regulatory compliance requirements, such as security or personal data protection.

Excellent performance and high flexibility

IT infrastructure of the private cloud is managed by the company or organization itself, resulting in excellent performance and user control. The private clouds allow you to get things done faster and companies and organizations to use and manage IT resources more efficiently. In addition, clouds are designed to meet the requirements of companies and organizations to ensure high flexibility. You can scale IT resources up or down as needed to reduce operating costs for the infrastructure.

What should we consider when introducing a private cloud?

Higher upfront costs and operating costs

Building a dedicated infrastructure requires a lot of upfront costs. Moreover, professional skills and manpower are required to operate it, and the operating costs might be more expensive than the public cloud if there are not enough users or there is not enough data.

Responsibilities and risks of infrastructure operation

Exclusive infrastructure may restrict scalability. It is hard to accommodate fast increase in demand for infrastructure from companies or organizations. Also, companies or organizations need to establish plans to prepare for failures and carry out maintenance. Using a dedicated infrastructure means better security, but internal security vulnerabilities may occur, as companies or organizations directly manage the IT infrastructure.

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