Cloud servers or on-premises servers… Which is more cost-effective?

Currently, many companies are considering making the switch to technology. Cloud And most people ask themselves the same question: Is it more profitable to renew the physical servers from my company or hire cloud servers?
In this post we will focus on the investment involved in having an infrastructure Cloud versus another On-Premise.
 

Capex Expenditures

 
Capital expenditures (CAPEX) are those that include the purchase of new servers, which constitute a capital asset for the company. This type of investment is usually substantial and is typically financed through a loan. In some cases, it may be justified by the specific circumstances of each situation.
 

Opex Costs

 
OPEX costs, or operating costs, refer to the ongoing expenses that a company must face for its operation.
Here are the investments of Cloud Computing costs that must be paid on a recurring basis. This category also includes supply costs such as electricity, cooling, technical maintenance, internet connection, etc., which must be paid if the company decides to host its own servers physical on-premise.
 

Hidden costs

 
Both server options have hidden costs. Perhaps in the On-Premise servers These issues are becoming clearer, and companies are increasingly analyzing them. These include things like data center maintenance, the space it occupies, its cooling system, and so on.
In contrast, the hidden costs of a server Cloud They're not so common to see or aren't well explained, but they do exist. We encounter things like changes in the work environment, dependence on communication channels, learning curves, and so on.
 

What is best for us?

 
From Apen We believe it's important to analyze each company's needs to reach this conclusion. The cloud isn't the answer for every organization. In other words, the type of service Cloud The selected cloud and the decision to use it depends on the company's willingness and objectives.
Reasons such as office connectivity and application compatibility are why many companies still host much of their equipment on their own premises… However, these reasons are becoming less important as solutions Cloud They become more economical, more competitive, and their added value increases.
 
The trend is clear, and by analyzing the constant technological evolution, we can intuit which path it will take. It's a matter of speed and market maturity. The information we're receiving is that the Cloud It is always cheaper than the solutions On-Premise But this isn't entirely true. Locally, we'll never have the equivalent services offered by the fantastic cloud.