Companies are increasingly accumulating customer and market data to assist with business processes, but how to store all of that information can become a problem.
Cloud-based storage solutions are a convenient and reliable way to store enterprise data, but not all cloud platforms are created equal. Dedicated private clouds offer greater security and network access, as well as faster deployment and lower costs than public cloud platforms.
Private clouds are a more secure option than public clouds because an organization's data is stored alone on dedicated servers. Public clouds group multiple companies' information together, creating greater probability of intrusion or disruption.
As SaaS provider Xero's U.S. CEO Peter Karpas mentioned in an interview with Bloomberg Businessweek, security is the number one issue for cloud providers. Deploying a third-party solution to host information allows security concerns to be left with experts, relieving in-house IT departments of the extra burden.
Storing information in a cloud platform is also a better way to protect against accidental data loss caused by disaster or physical device theft. USBs, external hard drives and computers can all be stolen or damaged, while information in the cloud isn't able to be physically taken and is backed up by redundancies and automation safeguards. Cloud service providers are much more adept at reacting to and addressing service problems than in-house departments are because it is their core competency.
Private cloud solutions are more flexible and cost-effective than public cloud platforms, especially when hosted through a third-party provider. By hosting off site, energy and staffing costs are lowered. Dedicated enterprise clouds are able to offer greater flexibility to organizations because they control all of the decision-making. When a company wants to make a change to their storage infrastructure in a public cloud environment, permission must be sought and the other groups sharing server space have to be consulted. With a private cloud solution, businesses can make whatever changes they choose quickly and simply.