Despite all the trends about and putting your data online, many companies still prefer hosting everything on internal servers. Although this means a significant investment in IT equipment, infrastructure, licenses, and support personnel, on-premises software advantages have some significant privileges over cloud-hosted software, which we will discuss later on in the article.
What is on-premises software
With on-premises software, from implementation to running of the solution, everything is done internally; whereby maintenance, safety and updates also need to be taken care of in-house.
With on-premises software, the company remains responsible for maintaining the solution and related processes. The deployment is done in house using the company’s infrastructure.
On-premises software is installed and runs on computers on the premises of the person or organization using the software, rather than at a remote facility such as a server farm or cloud.
With this usage model, a customer often buys or rents server-based software as a licensee, which is installed on their own servers or rented servers.
It is more expensive than on-demand or cloud software because it requires in-house server hardware, capital investment in software licenses, in-house IT support staff and longer integration periods. However, on-premises software is considered more secure, as the entire instance of software remains on the organization’s premises.
Many companies opt for on-prem because it doesn’t require third-party access, gives owners physical control over the server hardware and software, and does not require them to pay month after month for access.
On-premises software advantages
- On-premise applications are reliable, secure, and allow enterprises to maintain a level of control that the cloud often cannot.
- In an on-premises environment, enterprises retain all their data
- Companies that have extra sensitive information, such as government and banking industries must have a certain level of security and privacy that an on-premises environment provides.
- Access to data is always ensured – even without an internet connection.
- The licensed software can be integrated deeper into the customer’s infrastructure and interlinked with other programs.
- Annual maintenance costs and one-time license fees are lower compared to paying recurring expenses associated with cloud software.
- Multiple users can also access the system simultaneously without affecting the speed.
- Since you’ll handle all of the on-premises software yourself, you’ll likely be able to customize it much more than if you were subscribing to a cloud-based system.
- It’s typically easier to install extra data protection tools to data and programs based on an on-premises system rather than a cloud-based one.
- You decide on the configuration, the upgrades and system changes.
I hope you found this article with on-premises software advantages useful! And if you need any help with on-premises software solutions, let us know! We can help! Also, we have B2B2C customer identity and access management solution that can be installed on-premises and that can help you speed up time to market and decrease costs.