When considering whether to use a multi-cloud or hybrid cloud approach, there is no “best” solution and any decision should be reviewed periodically.
In this era of digital transformation, a lot of jargon is used. You may have heard of something related to cloud computing, especially “multicloud” and “hybrid cloud”. The definitions are not complicated. Multi-cloud means using multiple cloud services to run a variety of company operations, while hybrid cloud means using a combination of on-premises or private cloud resources and third-party cloud services.
What's complicated, though, is the use cases for each. When does it make sense to use a multi-cloud approach versus a hybrid cloud approach? Can you use both? What is needed to set up a hybrid cloud environment? There are no easy answers to these questions, but below we provide some basics that can help you decide what's right for your business and situation.
What is multicloud?
The multi-cloud approach involves using 2 or more cloud computing platforms or providers to support diverse business operations. “For example,” according to TechTarget , “A company might employ IaaS from a public cloud provider to host its workloads. At the same time, you could use specialized SaaS or PaaS providers for business services such as productivity tools (Office 365), employee expense tracking and reporting (Concur), and so on….”
Some benefits of this approach are as follows:
- Better cost management. With cloud services, you only pay for what you use. This strategy differs from companies that host their own infrastructure, which involves purchasing equipment that may or may not be used to its full capacity. Many organizations appreciate the pay-as-you-go model because they gain insight into specific costs for specific operations.
- Reduced infrastructure issues. In addition to potential wasted costs on equipment that doesn't end up being used, on-premises infrastructure requires additional personnel to operate, maintain, and update it. Many companies prefer to get rid of these hassles and opt for cloud solutions.
- Stronger resilience. Multiple cloud environments can be used to create redundant workloads, ensuring the continuous operations necessary to avoid compliance issues. These redundant workloads also ensure that customers are better served and that operations can continue even in the face of outages.
- Improved services. Some cloud providers specialize in certain types of operations, such as testing and development versus artificial intelligence (AI) and machine learning (ML). You can use each service to support specific operations based on your strengths.
The following video describes additional benefits of the multi-cloud approach:
The multi-cloud approach also involves some disadvantages:
- Security risks. While data may be secure when hosted by a cloud service provider, it may encounter risks when moving to and from your network. Additionally, with a multi-cloud approach, you must manage several different security settings.
- Regulatory issues. A multi-cloud approach can help you achieve better compliance with regulators. However, it also has the potential to reduce your compliance if your data is stored improperly.
- Disruption potential. Cloud service providers are not immune to some of the threats you face in your on-premises infrastructure, including weather events and hackers. You may also experience problems if you encounter Internet problems that prevent you from accessing your provider, or if the provider is acquired or goes out of business.
What is a hybrid cloud?
A hybrid cloud strategy involves using public cloud resources and some combination of private cloud and on-premises infrastructure. TechTarget offers an example use case for this approach: “A company might create a private cloud to support self-service resource provisioning for software developers or run a key cloud-native application on-premises. The company can also connect this private cloud to a public cloud for extra resources or to use specialized services.”
Note that a hybrid cloud can be used in a multi-cloud environment.
As with the multi-cloud approach, a hybrid cloud strategy offers many benefits:
- Flexibility. A hybrid approach provides a high degree of business flexibility. For example, you might run some workloads on on-premises infrastructure and others on third-party cloud platforms based on regulatory requirements. You can also switch between systems based on cost-effectiveness.
- Scalability. Instead of buying more hardware for those rare occasions when you need it, you can run your operations to maximum capacity and then manage the excess with cloud services. This scalability allows you to quickly respond to new opportunities, market changes or customer demands.
- Remote access. As companies continue to offer work-from-home options to employees, they must ensure those workers can access the tools they need. A hybrid cloud arrangement allows remote team members to access on-premises data and applications.
The hybrid cloud approach also involves some challenges:
- Disruption potential. As with the multi-cloud approach, the hybrid cloud strategy is subject to disruption from cloud service providers.
- High costs. Developing hybrid cloud systems is time-consuming and can be expensive compared to other approaches. (However, once established, they can help contain costs.)
- Integration issues. One of the biggest challenges of using private and public cloud resources is integrating the 2. Additionally, you must track and correspond to updates from your cloud service providers.
- Lack of skills. Building and maintaining a hybrid cloud system requires specific skills that not all companies have among their employees.
Which one is the best?
When considering whether to use a multi-cloud or hybrid cloud approach, there is no “best” solution and any decision should be reviewed periodically. The key to making a good decision is understanding the strengths of each approach and doing careful planning before implementation.
The right approach will be the one that best aligns with your business and technology needs. That said, some general guidelines are to choose a multi-cloud approach when you need the capabilities of specific cloud service providers and to choose a hybrid cloud approach when you need the flexibility of having both types of cloud at your disposal.