5 Benefits for Using IaaS Over On-Premises Infrastructure

Infrastructure-as-a-Service (IaaS) provides you with expensive hardware at a fraction of the cost. Just like any other cloud offering, IaaS providers only charge you for the equipment that you use. This is much more cost-effective for businesses that don’t have the initial capital to build an in-house network. IaaS includes any type of hardware such as routers, firewalls, storage devices, servers, and data center provisioning.

If you can’t decide which direction to go, here are some benefits of IaaS:

1. Cost Savings

The primary reason any organization works with IaaS is for the cost savings.

Network equipment costs hundreds of thousands of dollars. An IaaS provider might charge you $100 a month to start with. You can argue that the cost savings are enormous, and it’s great for startups with very little initial capital. You can pay as you go or buy resources upfront for an annual cost. The pay-as-you-go model is the most common because you are only committed to paying for the resources you use each month. You can get a discount if you buy a specific amount of resources and pay for an entire year, but this is usually for organizations that know the number of resources they need for the year, including growth potential.

2. Scalability

When you buy equipment for an in-house network, this equipment is not only expensive, but it also must be powerful enough to deal with a growing organization.

It’s even more expensive to find out six months down the road that you don’t have the power to deal with an expanding business. Performance slows, and this issue is one of the most costly for businesses. The result is that you need to buy new equipment or budget for upgrades. The cloud lets you expand services at the click of a button. Services run in a data center, so the data center provides automation for scaling up or down. You’re given a dashboard where you can review your usage, and then scale resources as needed.

3. Reliable Recovery Solutions

What happens if your website is hacked tomorrow? What happens if an attacker destroys your data? Do you have a disaster recovery plan in place? If not, it’s time to get one.

With IaaS, you can store terabytes of data, including your backups and data recovery solutions. If your site crashes tomorrow, your cloud backups are available anywhere, so you can recover your site even if you’re hundreds of miles away from the office. Cloud backups also make it convenient for IT people to restore your site. The backups in the cloud sit on faster servers and have higher bandwidth for transferring the data. The recovery process will take much less time if it’s done from the cloud rather than your own on-site backup storage devices.

4. Convenience

On-premise solutions require 24/7 support and maintenance.

With cloud IaaS, you leave all of the maintenance, security, and support to the provider’s staff. You should still log in every once in a while to check the status of your applications but you don’t have to keep servers maintained and upgraded, and you don’t need to keep up-to-date with the latest security threats. The provider does all of this for you. The convenience is in your freedom to focus on growing your business rather than dealing with IT issues. You can still have an on-site IT team, but they can focus on your business applications and user support. IaaS saves their time and yours.

5. Reduced Real Estate Requirements

On-site equipment requires the real estate to house it.

You need at least one server closet to host your own servers and network equipment. This closet will grow as you require more space for equipment. It’s not unusual for network equipment to take up an entire room with servers, routers, cabling, and switches. You also need to keep the room much cooler than the rest of the office, which increases your electrical bill. Moving your network equipment to the cloud frees up real estate for employees and other business needs. It also reduces the cost of insurance for theft and fire should your office suffer from a natural disaster. All of these benefits are additional cost savings.

If you decide to go with an IaaS solution, just remember that you need a deployment and design plan. You need to carefully consider what you need, and many businesses use a hybrid solution by mixing on-premises resources with IaaS infrastructure. With the right design, it can save you money and make your network easier to manage.

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Back in 2013, I founded Echo with the simple business idea: "Connect great tech companies around the globe with the brightest Ukrainian software engineers." We've employed hundreds of talents so far and keep going.
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li-url Lou Reverchuk

IT Entrepreneur

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