By Sandeep Bhargava, SVP, Global Services and Solutions, Public Cloud Business Unit, Rackspace Technology
Public cloud often seems like the obvious choice for organisations looking to move to the cloud. Although it offers agility and scalability to fast-track digital transformation, the private cloud is not necessarily the more conservative option many claim it is.
Customisation for competitive advantage
Beyond security and control, the private cloud provides unique features that can be effective revenue growth drivers — think customisation opportunities and competitive advantages. By enabling customisation, it establishes superior margins and growth aligned with your specific business needs. And, in today’s competitive landscape, such a targeted approach to the cloud can be the revenue-generating differentiator.
When it comes to revenue generation, it often depends on a company’s capacity to grow its client base and close deals. A strong IT infrastructure is critical in this situation. Modern organisations rely on IT for every stage of the sales cycle, from lead generation to order fulfillment. So, an agile and responsive IT department is required to thrive in this competitive market.
Improved application efficiency
The good news is both public and private cloud solutions enable organisations to achieve these goals. They shorten the time to market for new products, improve customer experience through increased uptime, and give developers secure venues for experimentation. However, the private cloud offers an extra degree of control by allowing for the creation of specialised applications that directly contribute to revenue generation and improved margins.
How? It enables them to customise their cloud environment to their specific needs, resulting in an agile culture with a competitive advantage. For example, a manufacturing application critical to developing a unique product for the company may necessitate hardware and software that can’t be easily assembled in a public cloud. A private cloud, however, can provide total control over their infrastructure, allowing for the smooth integration of these important components. The result? Efficient operations and growth.
The best part? This customisation goes beyond hardware. Edge applications, which require real-time data processing to prevent latency difficulties, are well suited to private clouds. Sensor data from production lines can be processed locally, resulting in peak performance and operational efficiency. This level of application efficiency yields instant advantages for both customers and staff. A private cloud stands out in this aspect by offering a dedicated environment, eliminating the risk of resource conflicts typical in multi-tenant public clouds. Consequently, this results in streamlined operations, quicker processing speeds, and enhanced user responsiveness, all contributing to bolstering a company’s profitability.
Data sovereignty and responsible AI integration
As enterprises venture into new territories, data sovereignty and residency are pivotal. Private cloud solutions offer a streamlined path to compliance by granting direct oversight of the cloud infrastructure. This level of control empowers the safeguarding of sensitive data during GAN model training, a task fraught with risks in public cloud settings where data exposure is a real risk.
Private cloud infrastructure also harmonises with conventional forecasting practices. Consider publicly traded companies striving to meet quarterly projections; the private cloud seamlessly integrates into this rhythm, facilitating growth following anticipated business needs. This alignment fosters cost-effectiveness, as fluctuating IT expenses directly correspond to business advancement.
Contemporary private cloud solutions boast nearly instantaneous scalability, a feature highly coveted by sectors like retail, rivalling the scalability of public cloud counterparts. Choosing between public and private clouds is not a one-size-fits-all scenario. Each business should carefully consider its individual requirements and growth strategy. A hybrid strategy combining public and private clouds can be most effective in many circumstances. However, a private cloud provides a compelling path to long-term revenue growth for firms that prioritise control, trust, security, and workload criticality. What’s more, a modern private cloud can compete with a public cloud in scale and quick adaptability when needed.
Ultimately, the decision is based on a critical question: Is workload a key difference for your business? If the answer is yes, and your business has the means to operate it successfully, a private cloud could be the best strategic option for boosting your competitive advantage and revenue development. It might be the revenue-generating hero your company requires.