State of the Cloud: Choosing Cloud vs. On-Premises Infrastructure (Part Three)

John Skeehan

by John Skeehan, Senior Product Manager – Cloud Video Services, LifeSize

Click here for part one and part two of this series.

In this series, LifeSize product manager John Skeehan discusses the benefits of hosted and on-premises video collaboration solutions.

Total cost of ownership: On-premises solutions can provide long-term (three to five years, or more) lowest TCO, but only if you make the assumption that cloud solutions are a fixed cost over the same time period. Cloud solutions, however, are typically priced on processing power and bandwidth cost. This will likely decrease over time, as processors and bandwidth are getting faster and cheaper. Customers will need to decide if they would rather buy a given performance now with depreciation over time (on-premises) or pay month to month with improving costs/performances over time (cloud).

Owning vs. subscribing: For many companies, there is a certain comfort in knowing that you own a solution. Your IT department is running it themselves and you are not dependent on any outside provider. Subscribing to a cloud service introduces a dependency on something outside of your control. However, with this dependency comes flexibility, scalability and pay-as-you-go pricing. Your company may not want to be locked into the same solution in your data center for a long period of time, especially one that is depreciating in value.

Performance: It is understood that in order for a cloud service to compete with an infrastructure solution, the quality must be tantamount. At a minimum, a cloud service must support the following:

  • HD video calling (720p30) on point-to-point and multi-party calls, alike
  • Dual-stream video and data simultaneously in HD in 1:1 and MP calling
  • PC/Mac and room-based endpoint systems
  • Integrated firewall traversal into the cloud and hard/soft clients
  • Automated director services
  • Automated deployment and configuration of hard/soft clients
  • Management interfaces for managing users/endpoints, bandwidth and reporting

All customers have different priorities. Some businesses are looking to reduce costs, while others are looking for greater flexibility. By understanding the benefits of on-premises and cloud-based solutions, companies can be better equipped to make the best choice for their specific needs.

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