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Private cloud

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hosted private cloud

Hosted Private cloud is best described as a computing environment where the critical server resources are hosted elsewhere, typically in a third party data centre, but where the resources are dedicated to needs of a particular organisation. The resources are generally owned by a third party. They are managed at a hardware level by the hosting party but the client has control over the operating and application components of the system. 

Being a "single tenant" architecture, private cloud offers many benefits to organisations which require a greater sovereignty over their systems, than is offered by public cloud, but prefer not to have server equipment on premises. Often this requirement stems from legislative or compliance demands. Because the hosting data centre is located in Australia, the client is not subjected to the vagaries of overseas legislation which may expose data to government access. 

Private cloud usually involves a longer term lease of vendor supplied infrastructure. The vendor assumes responsibility for the hardware, including maintenance, power and repair. Hardware is typically housed in ISO compliant facilities which include high levels of physical security, high capacity redundant Internet connections, an air-conditioned environment, backup power, fire suppression, 24/7 monitoring and redundancy capability. While the systems are accessible by the client, the hardware is not. 


Infrastructure level software, such as operating systems, email, enterprise database and office productivity suites can also be leased on a monthly basis, reducing exposure to costs and risks associated with version changes and licence volume numbers. 

As with public cloud, performance related resources can be modified to cater for short or long term changes in demand. This may be beneficial for businesses which experience seasonal variation in activity and, consequently, processing demand. It is also useful for project and development activity which may require a short term allocation of computing power. When the extra capacity is no longer required, it can be shutdown and removed. 

Access to private cloud systems is achieved via high capacity private network connections or secure channels across the public Internet. 

Private cloud suits a business with a fairly constant or static demand for computing resources, requires confidence in the security surrounding their systems and prefers to outsource the cost and risk associated with maintaining systems on premises. A business with ten or more physical or virtual servers can find significant financial and operational benefit by moving to private cloud. 

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