When adopting cloud solutions in the past, companies may have had a slightly simpler task – a single type of cloud solution once served multiple industries. Today, adopting such services requires business owners to consider a couple of cloud service types and align their choice with factors such as compliance, scalability, better security, data residency, and more.
Increasingly, Canadian businesses strive to keep data within Canada due to data sovereignty laws. And private cloud hosting is one answer to this. It is a service available through Canadian providers such as Tech Masters, and is a key strategic advantage.
The other type of cloud setup is public cloud services. But how is this different to private? In this article, our managed IT service professionals will reveal the unique features of these types of services and explain why private cloud hosting is a top choice for many industries.
What is Public Cloud?
Public cloud services are cloud services that third-party providers offer companies over the internet. A few examples of such companies include Amazon Web Services (AWS), Microsoft Azure, and Google Cloud Platform (GCP), which own and operate the cloud infrastructure.
This type of cloud service uses a multi-tenant environment, which means that the computing resources and services are offered to several organizations or customers. Some of those common services include compute services (such as virtual servers and containers), storage, databases, AI tools, machine learning services, and more.
In a public cloud setup, organizations in Canada need to specify where the data will be stored. This is an extra step if you want to comply with several crucial regulations, such as PIPEDA, or those standards specific to your industry.
What is Private Cloud?
On the other hand, private cloud services are dedicated cloud computing environments that a single organization uses. These cloud services can be hosted on-premises within the data centres of the organization, but they can be managed by third-party providers, too.
Since they offer more control, dedicated resources such as hardware and storage, more customization, and increased security, they are a preferred choice for organizations that have strict security needs.
When hosted in Canada, for instance, through the Canadian private cloud Tech Masters provides, businesses have guaranteed data residency and sovereignty. It also aligns with regulatory requirements and expectations in Canada.
Private vs. Public Cloud: Key Differences
Our managed IT services professionals have summarized the differences between private and public cloud resources and services in the table below. Many businesses lean toward private cloud hosting, based 100% in Canada, as they seek Canadian data sovereignty.
| Feature | Public Cloud Services | Private Cloud Services |
|---|---|---|
| Ownership | Third-party owned, with the infrastructure shared with several tenants | Dedicated exclusively to one organization and managed internally |
| Cost | Pay-as-you-go model with lower upfront costs | Significant upfront investment with predictable long-term costs |
| Scalability | Highly scalable and easy to adjust resources quickly | Scaling may take more time than public cloud services |
| Security | Security managed by the provider, offering less direct control | Higher security due to dedicated infrastructure and full policy control |
| Compliance | Supports standards like PIPEDA but requires data residency verification | Easier compliance due to full infrastructure and data residency control |
Public Cloud: Best-Fit Industries & Use Cases
Multiple industries can benefit from public cloud services. Below, we have listed some examples of the industries that typically use public cloud solutions:
- Startups and SMBs - Smaller companies may select public cloud services since they have more cost-effective upfront costs and can help such businesses to scale or adjust resources quickly.
- Media & Marketing - Such industries make public cloud services a go-to solution for storing and distributing digital content or creating personalized content, as these services help them collaborate on shared documents in real-time.
- E-commerce & SaaS - Companies in the e-commerce industry rely on content delivery networks offered as a service by cloud providers to improve website loading times, while SaaS providers benefit from the global reach public cloud infrastructures offer.
Benefits of Public Cloud
Not only do these industries note the flexibility of public cloud services, but startup companies and SMBs also may prefer the low entry cost, which can align better with smaller budgets. Since they also make quick deployment and application scaling possible, businesses can minimize their time to market and create innovative apps rapidly in response to customer demand.
Private Cloud: Best-Fit Industries & Use Cases
A range of industries notice the advantages of private cloud services. If you’re looking for full data control and heightened security, these are available with private cloud hosting services, based 100% in Canada, like those we offer at Tech Masters. Here, we have provided examples of the industries that use private cloud services:
- Finance & Insurance - Finance and insurance companies benefit from the data residency, encryption, PCI and DSS compliance advantages that public cloud services offer when handling sensitive data. The private cloud hosting offered through Tech Masters offers these features natively.
- Healthcare - As private cloud services hand over full control of the security policies to healthcare industries that use them, such organizations can keep patient data protected and adhere to the Personal Health Information Protection Act (PHIPA).
- Legal & Government - Since private cloud services offer legal and government organizations strict access control, and such companies handle sensitive records, the greater level of security offered helps them minimize data breach threats. Our private cloud hosting ensures organizations meet the federal and provincial requirements for data sovereignty.
Benefits of Private Cloud
As well as increased control over the cloud infrastructure, it’s clear that many significant benefits are gained through private cloud services. Increased security and industry-specific compliance advantages ensure that client and employee data remains protected and companies avoid significant financial penalties that come with data breaches.
What About Hybrid or Multi-Cloud Solutions?
Companies also have the option to consider a hybrid cloud solution, which is a combination of public and private environments. This solution is beneficial in scenarios when you need to split your workload. For instance, you might need secure, private cloud environments for data storage and scalable compute services available in public cloud environments.
In this setup, Canadian private clouds are ideal for keeping your sensitive data within Canada. You can use providers like Tech Masters if you aim to adopt a multi-cloud strategy, as the best approach in hybrid setups is to pair a reliable Canadian private cloud vendor with a public cloud service.
How to Choose the Right Cloud Model for Your Industry
When selecting between private and public cloud services, it’s worth considering a few factors, such as your budget. It’s also important to note the clear advantages of private cloud services based entirely in Canada for your business.
- Compliance Requirements - Begin by considering the compliance requirements you need to adhere to. If you need to protect client data in accordance with PIPEDA, PHIPA, PCI, or another regulation, private cloud environments, such as those offered through Tech Masters, may be ideal, as you will not need to verify data residency options first.
- Data Sensitivity - You should consider your workload types and the data sensitivity level. For instance, if your workload is not highly sensitive, and the data isn’t mission-critical, public cloud environments can work well. If your workload has sensitive data, such as in a legal or government firm, private cloud resources and services are the better choice, as this data aligns well with Canadian private cloud environments.
- Expertise vs. Need for Managed Services - You should also evaluate your in-house team’s skills, business knowledge, and resources, and compare this with the benefits, expertise, 24/7 support, and fast incorporation of new technology that managed services like Tech Masters offer alongside our Canadian cloud infrastructure.
Trust Tech Masters to Align Cloud Strategies with Your Industry’s Needs
Public and private cloud services each have their unique benefits, such as scalability and data security, respectively. Selecting a cloud provider requires aligning cloud strategies with your industry’s needs.
To get started, a managed cloud service in Canada and managed IT service providers like Tech Masters can help. We can consult with you and assess your technology stack and requirements before giving you the advice needed to set up your cloud environment. We also offer a private cloud hosted 100% in Canada, offering data residency benefits. Trust and contact Tech Masters to discover Canadian private cloud hosting that aligns with your industry’s specific needs.
FAQs
Is Azure a Private or Public Cloud?
Microsoft Azure is a public cloud service, but it also provides companies with private features through Azure Stack. This means companies can integrate public cloud environments with their private cloud environments and gain the advantages of a hybrid cloud architecture solution.
Is AWS a Public Cloud or Private Cloud?
AWS is a public cloud service first and foremost. Yet you’ll find that private and hybrid cloud environments are supported with this provider. It comes with tools like the Amazon Virtual Private Cloud, which offers an isolated network within the public cloud.
What Are the Four Types of Private Clouds?
The four main kinds of private clouds include on-premises, virtual private, hosted, and managed options. They are each unique and provide environments that differ, depending on the organization that manages them.