As technology continues to rapidly advance, many organizations have turned to cloud computing for flexibility, cost savings, and adaptability. Although physical servers are an integral part of business operations, their maintenance costs, lack of scalability, and the amount of space they require may lead you to consider cloud computing. Transitioning to a cloud-based platform will greatly improve the technology infrastructure of your business and can be accomplished with minimal impact on operational activities.
Reference: We completed a cloud migration for a client of ours that is a non-profit organization. You can read the case study here.
Cost Associated with an On-Premises Server
There are many cost components associated with on-premises servers. First, there is the hardware. When acquiring the physical hardware, you have two choices – rent or buy. When you rent a server, you can expect to pay between $100 and $200 a month. If you choose to purchase a server, the cost typically ranges from $1,000 – $10,000. In addition, there are installation and maintenance expenses. If your system malfunctions or is damaged, you will have to replace or repair it. You should consider these factors before utilizing an on-premise server. However, the biggest cost associated with on-premise servers is lost revenue during downtime when the system fails.
Below is a breakdown of various cost factors to budget for when keeping an on-premises server:
- Hardware purchase or rental
- Set-up and maintenance labor
- Server refresh (retiring old and purchasing new hardware )
- Licensing
- Software
- Lost revenue during downtime
What is Cloud Migration?
Cloud migration is a system of transferring some or all company data and applications to the cloud infrastructure from an on-premises server. Assessing your business needs is vital to making the right decision. Cloud infrastructures have different options, so choosing the right fit for your organization is essential.
Types of Cloud Platform
Private clouds, public clouds, and hybrid clouds are some types of cloud computing platforms. Private clouds are the most secure option since they are dedicated and specific to each organization. In contrast, public clouds can be accessed via the public internet and are generally less secure. A hybrid cloud platform combines public and private cloud computing. A company might use this platform if they want to keep the security of a privately hosted cloud while also taking advantage of the computing resources of a public platform.
How Cloud Computing can Improve Business Process
The use of cloud infrastructure can simplify the factors involved in your IT environment and improve your business process. Cloud computing has three basic cost components: migration, licensing, and system maintenance operations. This can lead to cost savings when compared to maintaining a server on-premises. Cloud computing will also provide you with the ability to scale the amount of storage needed to meet operational requirements while maintaining business continuity. By keeping your data in the cloud, you can be sure that it is secure and protected, even in the event of hardware failure or a disaster at your business.
There are a lot of different options when it comes to cloud migration and hosting services. Some of the most universally recognized are Microsoft Azure, Google, and Amazon AWS. Their services include cloud data transfer and hosting private networks. Considering the information above, your organization can decide if migrating your data to the cloud could be the right fit for your company. If you decide to explore this path, we are more than happy to help. We will handle every step required with minimal impact on your operations. Contact Us.