On-Premise vs Cloud

On-premise or cloud:
where to run it

This is a question of conditions, not superiority. Data that must not leave the company, or production that must continue through a network outage, points on-premise. No operations staff, or several sites to consolidate, points to cloud.

Roles at a glance

On-Premise

Where data sits
Internal servers — it does not leave
During a network outage
Floor systems keep running
Initial cost
Up-front investment in servers and licences

Cloud

Where data sits
External data centre
During a network outage
Unusable while the connection is down
Initial cost
Little up front, often usage-based

The short answer

The short answer

This is a question of conditions, not superiority. Data that must not leave the company, or production that must continue through a network outage, points on-premise. No operations staff, or several sites to consolidate, points to cloud.

Side by side

The same criteria applied to both.

CriterionOn-PremiseCloud
Where data sitsInternal servers — it does not leaveExternal data centre
During a network outageFloor systems keep runningUnusable while the connection is down
Initial costUp-front investment in servers and licencesLittle up front, often usage-based
Operations burdenYou manage servers, backups and patchingLargely handled by the provider
Multiple sitesNeeds per-site design and linkingComparatively easy to consolidate
ScalingAdding capacity takes timeComparatively quick to expand

Which one fits

The answer changes with conditions.

On-premise fits when

  • Customer contracts or regulation restrict data leaving the company
  • Production must continue through a network outage
  • Process conditions and drawings are core assets requiring control
  • You have the people and environment to run servers

Cloud fits when

  • There is no in-house capability to manage servers
  • Data from several sites has to be viewed together
  • You want to limit up-front investment and grow in steps
  • The use case — analytics and reporting — is unrelated to production continuity

Using both

The arrangement growing in manufacturing is execution on site, analytics in the cloud. Functions that must not stop — work orders, results — stay on the floor, while cross-site analysis and reporting sit in the cloud.

This requires being able to choose what is exported: aggregates or de-identified data rather than the full raw set.

The on-premise glossary entry sets out the criteria in more detail.

Quick Answers

On-premise vs cloud — frequently asked

Questions that come up during comparison.

Does on-premise rule out remote support?

No. A remote access path aligned with your security policy is provided, typically logged and opened only when needed.

Is cloud less secure?

On technical measures alone, cloud is often stronger. The real question is whether contracts and regulation permit external storage.

Can we move later?

Yes, if portability is considered at design time. Data structures and integrations must not bind tightly to one environment.

Can AI features run on site?

Yes. U-Bot can be configured so internal documents never leave the company.

Which way do your conditions point?

Your current systems and site conditions narrow the options quickly.

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