During 2020 and 2021, cloud computing exploded as work went virtual and businesses adapted to the global pandemic by focusing on the delivery of digital services. In 2022, we will undoubtedly see a continuation of rapid adoption and growth. And, definitely, Virtual Private Cloud could not be off the track.
According to McKinsey, businesses of all sizes are in the midst of a fundamental IT shift. Where once enterprise IT was focused on building solutions to meet business needs, companies have been fast becoming IT consumers instead, with more than 20% of workloads shifting to private cloud services by the end of 2018.
What is private cloud? Or cloud computing for that matter?
Put simply, cloud computing allows businesses to access software and hardware functionalities as a service over the internet rather than hosting software on physical servers typically located on their premises somewhere. Think of it as ‘computing as a service’, shifting the customer away from procuring physical hardware and architecture, as well as deployment and management functions—not to mention all the capital expenditures associated with those elements—to a model where computing becomes simply an operational cost, typically a predictable subscription fee. And with so many maintenance and management tasks, including network management, being taken care of as part of the service, cloud computing is correlated with improved operational efficiency and network reliability, driving the trend toward cloud computing even further.
So, what are private cloud and virtual private cloud?
Though the terms “private cloud” and “virtual private cloud (VPC)” are sometimes used interchangeably, there are key differences between the two. Private cloud refers to cloud infrastructure that is 100% dedicated to a single organization, meaning the entire environment is configured and managed according to that company’s specifications and no one else’s. This is in stark contrast to public cloud services, which are cloud resources made available from a third party via the public internet and paid for on a pay-as-you-go basis.
VPC actually takes a page from both books, offering isolated environments that businesses can reserve within a public cloud. Although this means multiple organizations’ clouds exist within the same infrastructure, they enjoy the same level of customization and security a regular private cloud offers.
Additionally, VPC billing is based on reserving computing resources, rather than consuming them. This model provides mid-market and enterprise customers cost predictability that aligns with traditional IT budget and planning functions. VPC also tends to be less expensive up-front and, as a public cloud, is easier to scale up or down on-demand, making it better suited for workloads that are difficult to predict.
Many businesses also require certainty in terms of exactly where their data is during computation at all times, be it at rest or in transit. With VPC, customers can formalize and manage their cloud-based workloads in adherence with existing and evolving data privacy, data sovereignty, and data compliance requirements.
The VPC offers numerous benefits; here are the top five.
Security: Information passed through a VPC stays within a customer’s control without crossing the internet. In addition, with all customers operating on the same back-end infrastructure, VPC providers have a highly-vested interest in keeping things running smoothly and securely, while maintaining high levels of uptime. To keep clients satisfied, reputable VPC providers typically spend much more time than any individual would obtain this level of reliability and security.
Savings: Because VPCs are within a public cloud, customers still benefit from economies of scale, sharing costs with other organizations without compromising the aforementioned security.
Easy integration: A VPC can be integrated with other VPCs, the public cloud, or on-premise infrastructure. Once in place, it effectively becomes a hybrid cloud, which by definition, is more than one cloud working in synchronization.
Seamless upgrades: With all customers operating on the same hardware, the VPC provider can upgrade everyone incrementally and with no downtime. Most providers will refresh the underlying hardware while constantly acquiring new hardware that is faster and better. Over time, customers’ workloads hosted in a VPC get faster and more secure.
Eco-Friendliness: Tightening government legislation and consumer pressure is forcing more and more companies to go green; in fact, over 80% of consumers say they want you as a company to help them make a difference. A VPC operating within a cloud hosting company leaves much less of a carbon footprint versus running on dedicated hardware, something that can be promoted to new clients.
VPC does not render private cloud irrelevant, however. If your business has predictable, steady demand, a private cloud solution will likely prove more cost-effective in the long run, and it does allow for more control in terms of deployment and configuration. Furthermore, some industry regulations require the use of private cloud because they have yet to recognize how secure VPC can be despite its public cloud foundation.
Whether private cloud or VPC is right for your business will likely depend on your security and agility needs. But understanding how these two types of services differ is the first step to finding the best fit for your organization.
Migrating to VPC With USDC
Whether you’re moving to the cloud or looking to switch providers, we are always ready to help. Our VPC services easily integrate with onsite or offsite workloads, and our IT experts will be on-hand every step of the way to ensure a seamless transition. Interested in learning more? Feel free to contact us.
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About USDC Technology
Universal Smart Data Center Technology was established by people with a broad vision of Information and Communication Technology. They are a professional and leading company in technology construction for Smart Data Center services in Vietnam and the region. Its commitment to take total ownership of projects has resulted in an enviable client portfolio, featuring some of the most renowned brands. Its mission is to deliver society the most optimal products and services by applying the latest technologies.
USDC Technology Data Center
Launched in December 2020, USDC Technology Data Center was built on class Tier III. Located in Sai Gon Hitech Park, District 9, Ho Chi Minh City, Vietnam (so-called Vietnam’s Silicon Valley). The data center is available connection with all large networks, located in a strategic site to cover the East of Ho Chi Minh city. Our world-class data centers provide full-scale services. At USDC Technology, nothing is of greater importance to us than keeping your applications online and your data secure.
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Universal Smart Data Center Technology
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