Whether you are a startup or an established business looking for rapid growth, your business needs an efficient data storage solution. Creating an on-site data center is one option, and choosing cloud storage is another.
Assessing the Basics First
What are the “Definition of Terms” on-site storage and cloud storage?
On-site storage: On-site storage refers to hardware that is within the physical premises of your business or office and which stores all the data pertaining to your local network. Your in-house resources, such as IT department and IT experts, will be responsible for maintenance, upkeep and regular updating of the storage system.
Cloud storage: Cloud storage is a service that allows you to store your data on the internet. There is no physical boundary involved. Cloud services are outsourced to third-party service providers who are also responsible for the maintenance of the storage system.
Trends and Numbers
The world is evolving into a completely digital environment. The question now isn’t whether you as a business would want to capitalize on these trends but rather when you will do it. Regardless of business size or phase, you can leverage new technology to grow rapidly without affecting your core strengths.
Consider these statistics:
According to a Goldman Sachs report, the cloud computing market has only experienced growth for both infrastructure and platforms. If companies were spending around $15-$20 billion on cloud computing in 2014, it is estimated that, by 2018, they will be spending more than $40 billion on it.
Calculated as the percentage of their total enterprise IT spending, these figures amounted to approximately 3%-4% in 2014. They are expected to increase to more than 10% in 2018.
According to an IDC report, the worldwide public IT cloud spending, which amounted to $56.6 billion in 2014, is expected to grow exponentially to $127.5 billion by 2018.
A Comparison of the Two Systems – On-site storage vs. Cloud storage
Here we evaluate the two systems on the basis of variables of cost, security, downtime and control to help you arrive at an effective decision for your company.
|On-site storage||Cloud storage|
|Downtime & Availability|
|Security & Privacy|
Making the Crucial Decision
The decision to go with either solution will finally rest on your business’ unique needs, matched with the budget you have to invest in IT. The perfect solution for you will meet all your needs while also matching your established budget.
However, if you are a startup pursuing business development and are in the process of building a revenue stream, a cloud storage solution might work best for you because it eliminates the hassles and costs associated with setting up and maintaining a system on an ongoing basis. As discussed above, tapping into cloud storage also allows you freedom from being responsible for crucial data security, on a daily basis.
Finally, before investing in an on-site storage center, consider the savings from a cloud storage solution in terms of security, downtime management, control, upfront spending and cost over a period of time, and whether the savings would add value to your business or not. This should allow you to zero in on the right decision.