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Why Businesses Are Choosing Private Cloud Over Public?

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June 30, 2025

Cloud Computing 3 min read

Why Businesses Are Choosing Private Cloud Over Public?

A private cloud service exclusively manages an organisation's IT needs. Businesses pay for their preferred choice of hardware and software, which is often managed by the company's internal IT team, allowing them to exercise more control.

Organisations are adopting the cloud infrastructure at unprecedented rates. Over the past decade, public cloud platforms such as AWS, Google Cloud, and Azure have found favour among businesses due to their affordability, flexibility, and scalability.

Lately, several companies, especially mid-size to large enterprises, have been shifting towards private cloud setups instead.

This article explains why the private cloud reigns supreme when the question of private cloud vs. public arises and why it is a smarter move for many businesses.

Cloud Hosting: An Introduction

Cloud hosting or cloud computing is the delivery of databases, storage, applications, and other IT resources through a cloud services platform.

The companies pay only for the service they use and save costs as they don't have to invest in any physical infrastructure. Cloud computing, although popular before 2020, was adopted at unprecedented levels following the pandemic-driven shift to remote work.

  • The cloud computing industry is projected to grow to $947.3 billion by 2026.
  • 50% of business data will be in cloud storage, and at least 50% of companies will conduct their business work using cloud infrastructure by 2025.

There are three different types of cloud services- Public, private, and hybrid, which offer several benefits to transform your business. However, as companies continue to adopt various cloud technologies, they face a dilemma about the type of cloud that is best suited for them.

Read More: Pros & Cons of Cloud Computing: All You Need to Know

Private Cloud Vs Public: Why Businesses Choose Private?

  • Although 96% of companies use public cloud infrastructure, private cloud usage rates are not far behind, with over 84% of companies using the service.
  • The private cloud market is experiencing strong growth. The market valued at USD 104.70 billion in 2023 is projected to reach $191.66 billion by 2030, with a CAGR of  7.35%.

Here are a few more factors driving businesses to choose private cloud services.

Customisation and Control

In a public cloud, you are given a network infrastructure that is shared with everybody on that cloud. But with a private cloud, organisations have full control over their environment, from how data is stored, accessed, monitored, and protected.

This allows for a more tailored setup to reflect the business's needs, rather than adapting and reshaping processes around the framework of a public platform.

Also Read: Make Sense of the Cloud: Private, Public or Hybrid?

Security

Private cloud infrastructure is more secure than the public cloud, as it is not easily accessible to people who don't have authorisation. An individual should be part of the organisation to break through their firewall and access information.

This can be useful in protecting proprietary information, such as customer or financial data. Private cloud storage offers dedicated firewalls, cloud backup, intrusion detection systems, and data encryption methods that save data from potential threats and cyberattacks. 

Pro Tip: The business is responsible for protecting its data even in a private cloud. Do not forget to protect your setup with firewalls, encryption, access controls, and frequent audits.

Compliance

Some sectors, such as healthcare and finance, have stringent compliance requirements for improved security. Private cloud infrastructure protects sensitive information and ensures compliance with government-issued regulations in these industries.

In an era of increasingly strict data-privacy laws, it pays to know where your data is stored. Public clouds store your data across countries or continents, unless you pay more for regional storage.

In a Private cloud setup, your data is stored where you want it, in an on-site data centre or a legally compliant location.

Cost Benefits

The public cloud might be cheaper upfront, especially for businesses with unpredictable workloads. The monthly costs, however, can be high for companies with a consistent workload that requires heavy IT resources.

Private cloud infrastructure costs are predictable, especially when it is hosted on-site or is under a fixed contract with a provider. This pay-as-you-go option works best for small businesses with tight budgets, as you pay only for what you use.

Companies can construct a cloud configuration carefully tailored to their workload, and they do not have to pay for every byte transferred or every spike in resource usage.

Pro Tip: Not sure what you need?, Start with a hybrid cloud model. Move your sensitive or high-priority systems to a private cloud first, and shift the rest of your workload from a public cloud later.

Summing Up

Private cloud vs public cloud isn’t always a simple decision. However, with businesses requiring more control, customisation and security, the private cloud offers flexibility that public platforms can’t match.

If you are looking for a private cloud service that provides the support and infrastructure to establish a cloud for your business, Vodien is the right choice. With fully managed private cloud solutions, Vodien helps companies take control of their IT environment with ease.

With Vodien’s private cloud solutions, you get the support, flexibility and performance your business deserves every step of the way. Contact Vodien today to set up a private cloud tailored to your success.

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