Everything You Need to Know About Cloud Repatriation

Cloud repatriation (also called data repatriation or cloud exit) is the process of moving data down from the cloud to a local infrastructure. While some businesses working on cloud repatriation are only moving a small portion of data away from the cloud, others are choosing to move all of their data onto a local infrastructure, such as a private cloud or colocation facility. The amount of data migrated in cloud repatriation depends on a business’s specific needs.

Cloud exit is on the rise. According to a 2021 study by 451 Research (an account is required to view the study), 48% of respondents indicated that they had moved a workload or application away from a public cloud provider and to another venue within the past year. So why are companies moving away from the cloud, and what kind of hardware do you need to successfully manage your data locally?

Read on to explore everything you need to know about cloud repatriation.

Private cloud vs colocation

The two options businesses have when migrating data down from the cloud are private clouds and colocation facilities. 

The process of moving data down to a private cloud is referred to as “public to private cloud migration”. Private clouds offer single-client services, meaning that the cloud can only be accessed and used by one organization rather than by several. In a public cloud, all data is managed virtually by a cloud computing service provider. With a private cloud, you have more privacy with data stored and flexibility with customization.

Colocation facilities, on the other hand, offer a rentable space for customers’ servers in a third-party data center. Along with offering a floor and rack space for your hardware, colocation facilities also provide security, network connectivity, and cooling. With the infrastructure provided by a colocation provider, this can be a huge benefit to businesses that want to leverage the benefits of a data center without the time or cost associated with setting up and maintaining an on-site data center.

Why are companies leaving the cloud?

Reports indicate that 94% of companies are using cloud computing in some capacity as of 2023. So why are more and more businesses exploring cloud repatriation?

A few potential reasons for businesses to investigate moving away from an exclusively cloud-based data structure include:

• High infrastructure costs
  • Storage costs
  • Bandwidth usage
• Security concerns
• Lack of personalization
• Latency sensitive applications

Cloud repatriation benefits and concerns

As outlined above, data repatriation can be an ideal solution for companies that have high infrastructure costs, are worried about data security, or need more customization with data storage and management. However, for some businesses, these benefits may not be worth the potential tradeoffs. Factors to consider for companies looking into cloud repatriation include:

Infrastructure costs

Cloud computing costs can reach well into the millions per year, making cost a huge concern for businesses that utilize the cloud for data storage. One company, 37signals, spent over $3 million on cloud computing in 2022 before moving a large portion of their data to local servers in an effort to lower costs.

While moving away from the cloud isn’t a guarantee that you’ll save a substantial amount of money, it can help to lower the cost of data management. If you use a third-party cloud computing service provider, not only do you have to pay for the connection, but you also have to pay a fee based on the amount of data you store unless you’re able to negotiate a flat rate. Moving data to a local infrastructure eliminates these costs.

However, businesses also need to take into account local infrastructure and its limitations. If you’re moving data on site, you need to make sure that the hardware and software you have is adequate for your data storage needs. If not, purchasing new hardware and its compatible software can prove to be expensive, especially when taking into account scalability and keeping up with any future infrastructure expansions.

Security

Because cloud services are hosted by a third party, there has always been concern about the privacy and security of data stored on the cloud. Any time you put your data onto the internet, the risk of cyber attacks or security breaches is always a possibility. 

Although you can do everything on your part to help mitigate the risks (using strong passwords, being careful with link sharing, etc.), ultimately, a lot of the way data is kept secure is in the hands of the service provider. Storing data locally can offer more control over how your data is managed and kept secure.

However, this is also where security can fall short, especially with smaller businesses that don’t have the proper security measures in place. It’s important for businesses to remain vigilant and make sure they have adequate security measures set up before making the decision to move data away from the cloud.

Customization

Many public cloud service providers do not offer customization options, leading to a seemingly “one-size-fits-all” solution that often proves to be restricting. Instead of being able to customize their cloud-based data architecture for their needs, many businesses have to work within the confines of their chosen cloud services provider. Cloud repatriation gives businesses more control over how their data is managed and allows for more flexibility with hardware and software without the constraints of the public cloud.

However, these increased customization options can be a double-edged sword. On the one hand, businesses can have a more personalized framework. On the other hand, some businesses may struggle with creating their ideal solution. Although cloud computing platforms don’t offer very much personalization, they offer the convenience of a pre-built structure.

Cloud repatriation hardware

Cloud repatriation takes a lot of planning, and it also requires the right kind of hardware. Hardware for cloud repatriation needs to be able to handle large amounts of data and requires networking capabilities.

Sitting between the edge and the cloud, the Axial server from OnLogic allows you to reduce and aggregate your data to a local infrastructure for data analytics or leverage the benefits of the cloud while cutting costs by utilizing less storage.

Imagine that you have an on-site server sending data to the cloud. With this type of set up, all of the data gathered gets sent up to the cloud. This includes not only the essential data, but the raw data as well. This can significantly increase cloud storage costs. 

Research from McKinsey indicates that less than 20% of all data generated by businesses is actually used. This is due to the costs associated with moving data and the difficulties with latency. With such little data actually being used, it’s important to ensure that all data being forwarded to the cloud is of importance so you’re not paying for more than what you need.

With the AC101, all data is processed and filtered on site so that only the essential data is forwarded to the cloud. All unnecessary raw data is filtered out, putting you in control of exactly how much data you send and reducing the costs associated with forwarding and storing non-essential data.

The Axial AC101 provides a license-fee free interface to its Baseboard management controller (BMC) which offers capabilities for remote management. This is beneficial when hardware is placed in hard to access locations and will help to satisfy the needs of Information Technology (IT) teams. Between powerful processing and a state of the art baseboard management controller that allows for remote monitoring, control, and oversight of the system’s performance, the Axial server from OnLogic is the ideal solution for cloud repatriation applications.

OnLogic is here to help

Have any questions about cloud repatriation or how to get started? Reach out to our team of experts to have all of your questions answered today. 

Note: This blog was originally posted on May 25th, 2023. It was updated for content on September 5th, 2023.