“Public cloud” is cloud computing delivered via the Internet; “private cloud” is cloud computing for a single client
Cloud computing distributes data processing and movement onto networked devices. Where that happens determines whether it’s the public cloud or a private cloud.
Public Cloud
VMWare explains, “Public cloud is an IT model where on-demand computing services and infrastructure are managed by a third-party provider and shared with multiple organizations using the public Internet.”
The public Internet is the foundation that enables the Everything-as-a-Service (XaaS) economy.
“Public cloud service providers may offer cloud-based services such as infrastructure as a service (IaaS), platform as a service (PaaS), or software as a service (Saas) to users for either a monthly or pay-per-use fee, eliminating the need for users to host these services on site in their own data center,” said VMWare.
Public cloud service providers offer the benefit of their hyperscale functionality starting with almost unlimited and elastic scalability, to suit the needs of enterprise and the demand of customers. Businesses like AWS, Google Cloud and Microsoft Azure dominate the public cloud landscape.
The public cloud has grown as a result of the buildout of telecommunication networks. Those network operators also rely on public cloud infrastructure for scale and services they do not offer, in some cases to their long-term strategic disadvantage.
Public cloud providers occupy an uneasy space with carriers in the burgeoning 5G landscape, according to an IBM survey. Seventy-four percent of the highest performing CSPs agreed that partnering with hyperscale-size public cloud service providers for 5G-enabled edge computing would mostly benefit the strategic interests of those providers, not the CSP.
Cloud companies like Amazon and Microsoft have been burdening and benefiting from the networks that operators have spent billions to build out and upgrade. As the IBM report put it, “CSPs shoulder most of the burden of investing in infrastructure, but most money is being made by using that infrastructure — not building it.”
Public cloud infrastructure is good for businesses like Wells Fargo, which created a public cloud infrastructure plan leveraging Google Cloud and Microsoft Azure. Microsoft provides foundational services for Wells Fargo, and will also deliver data and analytics services. Google Cloud handles advanced workloads, AI and data solutions. Wells Fargo also plans to transition to third-party data centers.
Private Cloud
The basic principles of private cloud architecture as the same as the public cloud. Private clouds are systems designed to provide business with the elastic scale needed to meet demand, with restricted access that isn’t dependent on public access points or public service provider.
“A private cloud consists of cloud computing resources used exclusively by one business or organization. The private cloud can be physically located at your organization’s on-site datacenter, or it can be hosted by a third-party service provider. But in a private cloud, the services and infrastructure are always maintained on a private network and the hardware and software are dedicated solely to your organization,” explains Microsoft.
“Many companies choose private cloud over public cloud (cloud computing services delivered over infrastructure shared by multiple customers) because private cloud is an easier way (or the only way) to meet their regulatory compliance requirements. Others choose private cloud because their workloads deal with confidential documents, intellectual property, personally identifiable information (PII), medical records, financial data or other sensitive data,” said IBM.
Verizon and Microsoft Azure provide private 5G mobile edge computing both on-premise and in the cloud. The on-prem service provides “increased efficiencies, higher levels of security and the low lag and high bandwidth needed for applications involving computer vision, augmented and virtual reality and machine learning.”
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