Today, more than ever, there is an escalating need for businesses to adopt easily manageable and scalable IT infrastructure. The conventional in-house data centres are progressively diminishing as enterprises pursue cloud hosting providers to alleviate the onus of keeping pace with swiftly evolving technology. In essence, the emergence of cloud technology has enabled organisations to swiftly expand and adapt, stimulating innovation, heightening business flexibility, streamlining operations, and curtailing expenses.

Furthermore, instead of being a mere assemblage of products, a cloud computing solution epitomises a comprehensive approach to providing businesses with modern IT infrastructure. However, cloud computing encompasses different offerings, including private, public, and hybrid models. As a result, the ongoing discourse surrounding private and public clouds within the business community may cause apprehension when optimising infrastructure.

After years of business owners being urged to transition platforms with the characteristics of a public cloud, such as AWS, it can be disheartening to discover that there are more viable alternatives, such as private clouds. Therefore, the million-dollar question is between a private cloud and AWS, which is more suited for your business?

Is AWS the best fit for your organisation?

Amazon Web Services (AWS) has maintained its dominant position as the foremost market leader in cloud infrastructure over the years. Recent data from Synergy Research Group reveals that as of 2022, AWS commanded a 33% market share of the cloud infrastructure worldwide, surpassing the combined market share of its main rivals. Other public cloud examples include Microsoft Azure and Google Cloud Platform.

AWS aims to deliver cost-efficient infrastructure and services with a user-friendly interface. Nonetheless, numerous users, especially those adopting AWS for the first time, often encounter challenges in fully leveraging its capabilities. Hence, this leads to significant errors such as the accidental exposure of sensitive data, misconfigurations, and over permissioned privileges.

Many companies, irrespective of their size, encounter various difficulties during the initial stages of the AWS migration process. Moreover, a lack of comprehension of AWS cloud services complicates a seamless transition. The following are some of the challenges resulting from the adoption of AWS cloud services, which raises questions about whether businesses should consider other alternatives:

1.    Service outages

Despite many users regarding AWS as secure, it is not impervious to outage vulnerabilities. There have been notable incidents of service disruptions where companies discovered that an Amazon data centre hosting their data encountered a significant network issue. A prime example is when multiple AWS services were unavailable for several hours in 2021, affecting business operations worldwide. Service outage has severe repercussions, such as financial losses and reputational damage for the affected organisations.

2.    Comprehensive access for administrators

Emphasising the significance of limiting administrator access, Jay Paz, Cobalt’s Senior Director of Delivery, highlights the potential risks associated with unrestricted access. AWS has comprehensive administrator access for all users and requires in-depth configurations to ensure all users have the right access privileges. Unfortunately, configuring access permissions to AWS is a complex and tedious process that requires highly skilled experts. Without appropriate access controls, unauthorised individuals may gain entry to valuable company data and confidential customer information. For example, security researchers discovered a data breach that exposed the sensitive data of four million Timo Warner Cable customers due to AWS S3 buckets whose permissions had been configured to enable public access.

3.    Mishandled and untracked certificates

When discussing AWS security errors, the focus often centres on misconfigured S3 bucket permissions or accidental public Amazon Machine Images (AMIs). However, one commonly overlooked mistake is the insufficient tracking and improper management of certificates. For instance, Epic Games suffered a prolonged service outage after a service-to-service wildcard certificate suddenly expired. Epic Games uses the certificate in hundreds of AWS server machines, and its expiry triggered an outage lasting more than five hours. 

4.    Configuration challenges

Misconfigurations pose a common obstacle when adopting AWS cloud services. This is concerning since misconfigurations rank as the third-highest attack vector. Breaches resulting from configuration mistakes incur an average cost of $3.86 million. Customers' most common misconfiguration issues when adopting AWS include accidental exposure due to insufficient authentication, public access to storage buckets, incorrectly configured network functionalities, and providing users with unnecessary access to cloud data and applications. In 2021, a misconfigured S3 bucket led to the exposure of 1,000 GB of data that contained at least 1.6 million files.

5.    Migration expenses and resource utilisation

Many organisations make errors when assessing AWS services, leading to inaccurate cost estimations. The problem is that the cost of utilising AWS cloud services varies depending on the specific service and the total number of users. Thus, numerous AWS users fail to effectively monitor their capacity utilisation, resulting in underutilisation or complete neglect of AWS services. AWS charges for all purchased services, regardless of whether a company uses them.

6.    AWS public cloud security measures

Strengthening security measures and addressing system vulnerabilities is crucial to preventing unidentified vulnerabilities. With the increasing number of AWS microservices, the system becomes more intricate, expanding the potential scope of exposure. Furthermore, AWS users share all resources, where multiple organisations store their data and applications by provisioning the same resources. Colocation increases data breach risks and unauthorised access.

What about a Private Cloud Solution?

How does a private cloud work?

A private cloud service consolidates multiple physical servers into a cohesive entity, allowing for the integration of server resources to form a unified pool. This pool is then distributed across virtual machines deployed on the individual nodes. Like a public cloud, a private cloud operates within a dedicated cluster of servers, but your organisation owns those clusters. Unlike AWS, which relies on multiple server farms, a private cloud leverages server clusters.

In addition, when establishing a private cloud, there is the flexibility to configure a suitable number of nodes to accommodate the required virtual machines. As a result, this approach promotes cost predictability and reduces the total cost of ownership compared to AWS.

The private cloud offers increased customisation.

Choosing a private cloud demands more attention but offers enhanced customisation opportunities. When opting for a private cloud solution, you can fine-tune every aspect to align with the specific demands of your business. These include optimising performance for consistent workloads, addressing technological necessities, and controlling billing options.

Additionally, with a private cloud, you maintain complete control over the application layer. At the same time, a dedicated managed service provider manages the underlying infrastructure. In other words, a private cloud is not a plug-and-play solution like AWS; instead, it provides a tailored approach that caters precisely to your business's unique requirements, ensuring seamless operations without unexpected financial surprises. Moreover, by selecting a private cloud provider, you gain the advantage of having a supportive partner committed to your long-term success.

Stronger security for your data and applications

Private clouds offer a significant advantage in controlling external access to your data. As the sole tenant of the private cloud, you have complete authority to determine the individuals who can access your data. This level of control ensures that external employees or unauthorised individuals cannot view or manipulate your data without explicit permission. It is especially important for organisations handling sensitive or confidential information, as it mitigates the risk of data breaches or unauthorised access.

However, it is important to note that the possibility of internal attacks still exists. Internal attacks consist of security breaches originating from within the organisation. Specifically, despite the control and security measures within a private cloud environment, insider threats or human error may lead to data breaches, leaks, and unauthorised access.

Allows you to predict your cloud spend

Private cloud hosting operates on a fixed-cost structure, providing organisations with enhanced cost control and predictability. In addition, the infrastructure of a private cloud is tailored and configured to meet the specific resource organisational requirements. Thus, it allows for optimised resource allocation and cost efficiency. Pricing in private cloud models also tends to be stable and experiences experiencing fewer fluctuations compared to AWS or other public cloud services.

AWS follows a pay-as-you-go model, where organisations are billed based on resource consumption. While this flexibility can be advantageous for businesses with variable resource needs, it can also lead to price variations and potentially higher costs due to unexpected surges in resource usage. Therefore, customising the private cloud infrastructure to align specific requirements mitigates unexpected cost spikes. The fixed cost structure in private cloud hosting facilitates improved budgeting and financial planning, as organisations possess greater control and visibility over their expenses.

The private cloud offers ease of consumption.

Private cloud hosting is more user-friendly and easier to adopt due to its compatibility with familiar Windows and Linux environments. As such, users proficient in these operating systems don’t require additional training. Besides, private cloud frameworks and server stacks are also user-friendly and straightforward. Hence, they facilitate a smoother transition and faster deployment process.

Additionally, compatibility with Windows and Linux environments provides users with a sense of familiarity. It enhances productivity and reduces the time and effort required to adapt to a new cloud environment.

In contrast, AWS operates on a different model. It relies on APIs and offers various services for managing and deploying resources. Thus, AWS requires users to learn AWS-specific terminology, interfaces, and workflows.

The private cloud offers better compliance.

Private cloud infrastructure provides a higher level of control and customisation than AWS. As a result, organisations tailor the infrastructure, security measures, and data handling processes to align with specific compliance requirements. On the other hand, AWS manages the underlying infrastructure and security measures. It, however, provides various compliance certifications but with limited customisation options.

In addition, compliance regulations often emphasise data sovereignty. They require organisations to store and process certain data types within specific geographic boundaries. Fortunately, private clouds enable organisations to determine the physical location of their infrastructure. Thus, deploying a private cloud ensures compliance with data sovereignty requirements. In contrast, AWS operates data centres globally. While they offer region-specific services, achieving data sovereignty compliance can be more challenging due to the distributed nature of public cloud infrastructure.

Furthermore, concerns regarding shared infrastructure also come into play. Public clouds like AWS are shared environments where multiple customers utilise the same underlying infrastructure. AWS implements robust security measures to segregate customer data, but some compliance regulations demand exclusive control. Luckily, private clouds provide dedicated resources that meet these compliance requirements.

The Verdict: Which cloud option is the better fit for your business?

A private cloud could a more suitable choice for businesses than AWS for several reasons. Firstly, private cloud environments offer businesses complete control over their infrastructure, security measures, and data-handling processes. Thus, this level of control enables organisations to tailor the environment to meet specific compliance requirements and align with their unique needs. Additionally, the private cloud allows businesses to implement customised security protocols and optimise resource allocation. It results in enhanced data protection and operational efficiency. On the other hand, AWS provides less control since Amazon is responsible for maintaining the infrastructure.

Furthermore, compliance and data sovereignty are important requirements for modern organisations. Businesses in healthcare, finance, and government industries face stringent compliance regulations. Some requirements mandate data to be stored and processed within specific geographic boundaries. In this case, private clouds enable businesses to comply with data sovereignty regulations. Often, service providers store data within the same geographic locations as the business hence meeting data sovereignty needs. Furthermore, businesses can work with their service providers to incorporate security measures that meet data security and privacy compliance requirements when building a private cloud infrastructure. Unfortunately, migrating to an AWS cloud forces businesses to contend with the already implemented compliance measures, which may not meet the specific requirements of their respective industries.

In addition, a private cloud is more suitable since it provides businesses with dedicated resources. As a result, they do not need to share infrastructure with other organisations. Subsequently, this reduces the security risks associated with shared environments. These include potential data breaches or unauthorised access. Moreover, dedicated resources offer an added security layer and are particularly essential for businesses with stringent security requirements. In contrast, AWS Clouds provision resources from a shared pool. Shared resources increase the risks of data breaches since a simple mistake like misconfiguration can enable public access to sensitive applications or data.

A private cloud is also best for businesses due to its predictable cost structure. In particular, private cloud hosting operates on a fixed-cost structure. Therefore, it gives businesses greater predictability and stability of their cloud spending. Besides, organisations can customise their infrastructure based on their business needs, enabling them to avoid unexpected cost spikes due to fluctuating resource usage. The predictable cost structure leads to better budgeting and financial planning, as businesses have more control and visibility over their expenses.

On the contrary, AWS pricing is more challenging. Users estimate and pay for the resources they need for their business operations. However, this may result in underutilisation, causing unnecessary costs on unused resources or sudden spikes that may cause companies to spend on unplanned budgets.

Additionally, familiarity and ease of use are important considerations for businesses transitioning to the cloud. Private clouds offer businesses a sense of familiarity. Hence, leveraging existing knowledge and expertise reduces the learning curve and fosters a smoother transition. This familiarity enhances productivity and minimises the need for additional training. On the other hand, AWS often requires experts, even for the simplest configurations. Migrating to AWS may be lengthy and challenging since businesses may require extensive training to get the best out of AWS services.

Conclusion

Choosing between a private cloud and AWS is a critical decision for businesses transitioning to a cloud infrastructure. AWS offers high scalability and flexibility. On the other hand, a private cloud offers unparalleled control, customisation, and data sovereignty. Also, a private cloud allows businesses to tailor their environment to meet specific compliance requirements, ensure data privacy, and optimise resource allocation.

A private cloud also fosters a sense of trust and confidence. The knowledge that sensitive data is stored within a controlled and secure environment instils more assurance in data protection practices. Hence, this is especially important for industries that handle sensitive customer information.

More importantly, choosing a private cloud solution establishes a closer partnership with the provider. It creates a collaborative relationship centred on specific business needs and goals. Thus, the provider becomes a trusted advisor, offering guidance, support, and customised solutions tailored to the organisation's requirements. Nurturing such a close collaboration leads to improved customer service, faster issue resolution, and a deeper understanding of the business's unique challenges and opportunities.

Ultimately, the choice lies in carefully evaluating the unique business needs. Only then can the organisation make an informed choice that aligns with its objectives, industry regulations, and data protection requirements. Some organisations may opt for a hybrid cloud that combines AWS and private cloud infrastructure. Assessing both options ensures a robust and tailored cloud infrastructure that enables success in the modern digital era.