Maybe your business has outgrown its server and you are contemplating a replacement, or perhaps your server is outdated and does not support your business adequately? Whatever be the reason, you wish to find a solution to help support your business operations effectively. The choice is between ‘cloud’ or ‘in-house’?
There are many factors to be borne in mind when weighing your options some of which will include uptime, data security, costs, infrastructure and capital expenditure to name a few. You could choose either a cloud server or an in-house server but the two options have varied cost structures which should be considered while taking a decision. A thorough understanding of your business model with the proposed growth rate in mind, would help you make the right choice. While both options have their pros and cons it is important to understand what suits your organization best.
Let us look at the available options and consider the suitability.
Infrastructure and Capital Expenditure
Any change comes at a cost, so budgeting for the expense is as important as taking the right choice of server. Interestingly, while choosing a cloud based server you won’t have to invest in purchasing and maintaining onsite hardware, especially if you are a rapidly growing company and are likely to outgrow your infrastructure quickly. Benefits go way beyond savings, as cloud services help businesses increase their efficiency and innovation. On the other hand, if you opt for an in-house server you would have physical control on your system, which allows you to setup a system that meets your precise network needs but it will involve capital investment. You will also need to consider the lifespan of the servers that have been invested in(an average lifespan is 3-5 years depending on usage). This would include an acquisition cost for hardware and software, alongside storage costs, manpower and other related expenditure.
Cloud solutions may appear more expensive than in-house options, but the benefits of being on the cloud can far outweigh the costs for some businesses. ‘Pay as you go model’ is familiar to Google, including a subscription cost per user / license and negligible configuration cost. With Microsoft Exchange you would have to budget for hardware and licensing cost, infrastructure, AMCs, setup and configuration costs, ongoing admin costs, downtime costs, training and storage costs.
In the long run, the benefits of using G Suite far exceed Office Exchange (In-house). For a business to stay on top of things it needs to have its sight set on the bigger picture. Moving to G Suite will help and contribute significantly towards this goal.