What is on-premises?

On-premises describes anything which is locally installed, such as an infrastructure or software.

In contrast to a cloud-based solution, the on-premises setup is physically located at a site. This reduces latency and can lead to higher safety of production along with more reliable protection of data and data sovereignty. On-premises installations however incorporate higher maintenance and technical infrastructure efforts. On the other hand, on-premises solutions are especially valuable to avoid very high costs for cloud usage, when managing great data loads.

What are the advantages and disadvantages of on-premises?

On-premises solutions are particularly effective at avoiding very high cloud costs when there is a large amount of data to manage. Additionally, processing at the edge reduces latency and can lead to higher production security, more reliable data protection and data sovereignty. On the other hand, on-premises installations involve higher maintenance and technical infrastructure costs.