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The great debate: Public vs Private Cloud

For the past few years everyone has marked-out a constant increase in public and private clouds.

Whether to adopt a public cloud approach (off-premise IT capability or application, provided by others) or go for private cloud (on-premise enablement of cloud possibilities with existing IT) has always been an incensed topic for debate throughout the IT industry and business.

Public Cloud: is a cloud computing infrastructure that can be easily assessed to the general public over the Internet. Public cloud services may be free or offered on a pay-per-usage model.

Private Cloud: is a cloud computing infrastructure that contains different and secure cloud based environments in which only required clients can function.

For investment firms, cloud computing offers many advantages and allows the distribution of the resources in such a way that helps in simplifying infrastructure planning.

Public vs. Private Cloud

The immense difference between public and private cloud is that, in private cloud you are directly responsible for managing the machines and operating the entire infrastructure along with the billing of the services and payments of the machines.

With public cloud you don’t have direct control to the machines or access to them.

Security plans that need to be a foremost responsibility:

Storing your data in the cloud signifies the exchange of your physical security for data security. For example, if you lose your laptop even than your data is still secured in the cloud. Some feel that public cloud is much more reliable than a private cloud.

A private cloud favours all kind of IT fixes, updates and upgrade. It even allows IT to control the perimeters. Whereas on the other hand, a public cloud protects data by managing security on both software and physical level. Greater numbers of U.S Government have shifted to the public cloud including the banking industry.

But from an enterprise point of view, there are more security benefits to a private cloud as your information lives behind your firewall. Its fully owned infrastructure reduces security concerns and ability to satisfy regulatory requirements without requiring cooperation of cloud provider.

Cost management:

For every IT executive cost management has always been a basic concern. Public clouds are cheaper when compared to private cloud.

In public cloud no capital expenditures are involved as you don’t have to buy physical hardware as the server used are virtual and hosted by third party. Whereas in general, the private cloud are more expensive as enterprises storage and computing needs can play a large role. To put up private cloud service, an organisation needs to capitalise in hardware.

In public cloud third party providers are the main supervisors of data systems. So many organisations believe that they don’t have ample charge over their personal data. Whereas in private cloud, hardware is on-site, thus organisations has direct control over the data system.


Internal IT employees are not in charge for maintaining the system, as public cloud services are hosted off site. Everything is managed at a host company thus allowing the user to update or introduce technologies into the system, so public cloud requires no extra maintenance.

But private cloud needs on-site maintenance as it is hosted at the company’s site, therefore organisations are responsible for supplying sufficient power, cooling and other general protections.

For instance, if a company handles more than one data center with private cloud, the on-site maintenance increases extensively.


Many organisations prefer public cloud solutions for its on-demand capacity and virtually unlimited scalability. The resources are offered on demand thus freeing an organisation to choose the services and solutions depending upon business goals instead of considering IT conditions.

However in private cloud, scaling might be less flexible as it entirely depends upon software solution that are being used and deployment architecture.



The above graphic shows that 94 per cent of the sespondents are using cloud and running their applications or experimenting with infrastructure-as-a-service. It is also clear that 87 per cent of the organisations are making use of the public cloud whereas 65 per cent of the organisations are using private cloud.

With cloud computing technology, huge pools of resources can be easily connected via private or public network in order to achieve and deliver dynamically scalable infrastructures for application, data and file storage. Moreover, application hosting, content storage, costs of computing and delivery can be significantly reduced.