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Premises vs Cloud, What Works Best for Your Business?

June 3rd, 2019 by admin

User interaction on a VoIP phone

The temptation of moving to the cloud affects many companies due to the influx of corporations moving to cloud servers over the last few years. If your business is currently using an on-premises or an on-site server system, it may be more beneficial to stick with it because of the many essential benefits that on-site systems do for businesses. If you’re unsure, it is critical to assess your current systems and operations to evaluate what would work best for you. ITC Communications can do all of that for you; before anything is ever installed, we perform essential network tests and assessments to make sure that you are getting the best solution. Choosing the right option can be challenging, so let’s review which system works for what business.


Let first start with on-premises phone systems that consist of your entire operations and infrastructure to be in your office or building, this requires the investment of a lot of hardware, tools, and equipment. As you will realize early on, acquiring a premises system is costly both initially and on an on-going basis from upgrades, maintenance, and repairs. Also, if your business is doing the managing, then your IT team is continuously taking care of your systems, which requires a lot of time and resources just making sure that everything is working correctly during daily operations. However, with everything handled in-house, you have more control and far greater security than cloud due to all of your hardware, software, cabling, and systems residing within your company’s premises, so that could provide you with better peace of mind.

Businesses that benefit the most from a premises-based infrastructure would be companies in industries such as healthcare, finance, surveillance, government, and private institutions. In these industries, security and safety are of the utmost importance and, because they require the storage of tons of private data and information, having a locally hosted infrastructure offers significantly better security and safety than being on the cloud.

Any business in possession of a lot of private data and in need of extra security will likely opt for locally hosted, but companies considering costs with added security may prefer a hybrid system to manage costs and strengthen their ability for growth and expansion.


Cloud services use virtual technology that requires little to no effort from their users and allows businesses to stay connected to their customers, clients, vendors, and partners from anywhere in the world. The most significant benefit that comes with being on the cloud is that you don’t manage your hosting, someone else does; i.e. a third-party provider. This eliminates the stress that comes with managing, maintaining, repairing, and monitoring an entire infrastructure. Another major pro is the costs associated with having a cloud-based system: it is a tremendously cost-effective solution, you only pay as-needed. This can be an excellent solution for small to mid-sized businesses, who are looking for a flexible solution with the ability to scale up or down depending on the growth of the company.

Some of the drawbacks that come with being on the cloud are issues such as:

  • Data ownership – with all your organization’s encryption and data located on a third-party’s server, it can become a question of whether the information is still exclusive to you or does possession of the data you store now belong to the provider.
  • Control – Unexpected events such as outages, security breaches, and leaks may occur that are entirely out of your control.
  • Downtime – Server outages from your provider can cause your business to be without access to your data.
  • Security and Privacy – Security remains a significant concern, and while many providers do offer optimal protection, you are still completely dependent upon the provider to stay on top of breaches, threats, and attacks to keep your business safe.

Regardless of what your business needs, ITC Communications has got you covered. Our job is to figure out what will work best for your business in terms of scalability, growth, performance, efficiency, and more. We are a reliable provider in both cloud and on-premises phone systems, and we make sure that no matter what you choose that you have the best service around.

Learn more about the services we offer.

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