Who should invest in a private cloud?

Private cloud computing is a form of cloud computing that is used by only one organization that is isolated from others. A private cloud or the enterprise cloud resides on company’s intranet or hosted data center where the firewall protects the data. This prevents exposure of data to external world or internet and results in better performance with less security risks.

One major advantage of Private cloud is that it offers a dedicated secured storage of infrastructure that is not accessible to others. Thus, providing enhanced security and further option to implement various levels of authentication and security for the infrastructure. Organizations can decide to choose the data center either on premise or with dedicated service providers.

Another advantage that should be considered by organizations is that Private Cloud allows customization of their cloud infrastructure according to the business needs and increase scalability and flexibility.  Private cloud also suits organizations that are investing in the growing awareness of the advantages provided by virtualization technology. It enables organizations to improve infrastructure cost, performance and improve usage of underutilized hardware.

Private cloud requires initial investment of dedicated hardware infrastructure and hence is suitable for organization that has determined its cloud priorities with existing infrastructure cost or that require less investment in cost of new infrastructure. Organizations with existing data centers can look at this option as they can utilize the existing infrastructure to move to private cloud.

Since the organization maintains the infrastructure, management of upgrades, installations and administration has to be done in house. This can be expensive and not suit organizations that require additional cost in investment to setup on premise or service provider-based data center and to hire dedicated administrators.

Hence, investing in private cloud is a good option for organizations with considerable predictability and consistency in infrastructure cost and demands. Organizations that have existing services and that can depict data related to infrastructure usage and statistics are in a better position to handle the demands of private cloud.