Hybrid Cloud vs. Private Cloud

Jun 05, 2025
image

As a leader at an enterprise company, every IT decision you make will have
wide-reaching and long-lasting effects across teams. One of those key
decisions will be how to organize your cloud infrastructure, typically
through a private or hybrid configuration.

Cloud computing is the virtual delivery of a company’s IT stack. Put
another way, cloud computing stores a company’s servers, database,
software, intelligence, networking, and analytics over the internet,
rather than a strict on-premises system. According to Gartner, businesses
should consider cloud computing a necessity by 2028, rather than a nice to
have, with spending on cloud services to exceed $1 trillion by 2027.

Without the right context, these hybrid and private configurations might
seem overly complex or downright trivial. We’ll lay out the key
differences, pros, and cons of each setup so you can make the best
decision for your business.

Why You Should Ignore the Public Cloud

You may have noticed there’s been no mention of Public Cloud
infrastructure: that’s on purpose. 

A public cloud infrastructure is any cloud system that’s completely owned
and managed by a third-party service provider, such as Microsoft Azure or
Amazon Web Services. 

While these third-party services offer great benefits to startups and small businesses—they are easy to set up and have transparent pricing—they are often too inflexible, unsafe, and non-compliant for the increased complexities and security needs of an enterprise business. 

Private Cloud for Enterprise: Pros and Cons

A private cloud infrastructure is completely exclusive to one
organization. Although a private cloud can be hosted on-premises with
physical hardware or hosted virtually by a third-party IT company, the key
feature is that the infrastructure is tailored to just one business.

The primary benefits of private cloud infrastructures are customization
and security. These bespoke configurations are more expensive than hybrid
and public cloud, but the upshot of the higher cost is the ability to
design your software, servers, and security features completely to your
organization’s specific needs. Because of these benefits, organizations
with high compliance and security standards often rely on private
infrastructure to help prevent leaks, hacks, or noncompliance litigation.

Pros:

  • Completely customizable for a company’s unique needs
  • Easier to meet regulatory compliance with tailored privacy
  • Increased security, as access is limited to system owners

Cons:

  • High cost for setup and maintenance
  • Difficult to scale without proper support
  • Hard to manage without in-house or off-site IT teams

Private is a good fit for your business if:

  • Security is your top priority
  • Cost is not a primary concern
  • You work in an industry where compliance is a must such as healthcare,
    government, or finance

Hybrid for Enterprise: Pros and Cons

A hybrid cloud infrastructure merges the customizability of the private
cloud with the utility of the public cloud. Flexibility is the primary
benefit of hybrid infrastructures, allowing IT leaders to select which
components of a business’ tech stack should be shared through the public
cloud or safeguarded in the private cloud.

Hybrid clouds are often favored by global businesses. International teams
can access necessary information and software over the public cloud, while
core materials and sensitive information can be safely stored on the
private cloud. This Goldilocks solution may seem like the easy choice for
every business, but it comes with its own challenges and setbacks:
primarily, they require careful, ongoing IT support to integrate safely.

Pros:

  • Lower upfront costs
  • Easier, more cost-efficient scaling
  • Built-in business continuity and disaster recovery options

Cons:

  • Compliance and security vulnerabilities
  • Less transparency into costs of public infrastructure
  • Difficult to manage and configure public and private interoperability

Hybrid is a good fit for your business if:

  • Your organization is global, with teams dispersed across regions
  • Your company has to balance compliance requirements with business continuity and data backup needs
  • Your business handled fluctuating workloads, such as accounting firms

Hybrid or Private, Let IPM Manage the Details

While we’ve shown the pros and cons of both hybrid and private clouds, we haven’t mentioned the role that the right managed service provider can play in mitigating those challenges. Issues such as difficult hardware installations, confusing public-to-private integrations, and even high associated costs can go out the window with help from IPM.

At IPM, we’ve helped enterprise businesses select and establish cloud infrastructures for over 20 years. We provide comprehensive, one-on-one support: consultative support as you select a cloud infrastructure, setup and installation, managed cloud oversight, and ongoing support.

Cloud Solutions for Enterprise

  • Private Cloud AI: Purpose-built to handle high-capacity AI workloads, our Private Cloud AI infrastructure ensures you retain full control and ownership of your stack.
  • Hybrid Cloud: As a combination of our Private Cloud AI and Public solutions, our Hybrid Cloud solutions allow greater flexibility for dispersed businesses

To see how our hybrid and private cloud AI solutions can work for your enterprise, click the contact link below.

Contact Us