Why cloud over on-premises in AWS - Visual Breakdown

Process Flow - Why cloud over on-premises

Start: Need IT resources

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Decision: On-Premises or Cloud?

↓

On-Premises

↓

Buy hardware

↓

Setup & maintain

↓

Fixed capacity

↓

Higher upfront cost

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Long setup time

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You manage all

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End

This flow shows the choice between on-premises and cloud, highlighting differences in setup, cost, scaling, and management.

Execution Sample

AWS

Decision: Choose IT resource type
If On-Premises:
  Buy hardware
  Setup & maintain
  Fixed capacity
Else if Cloud:
  Use provider hardware
  Pay as you go
  Scale easily

This pseudo-code shows the decision steps and actions for choosing on-premises or cloud resources.

Process Table

Step	Decision Point	Action Taken	Resulting State
1	Need IT resources	Evaluate options	Ready to choose
2	Choose On-Premises	Buy hardware	Hardware owned, upfront cost
3	On-Premises setup	Setup & maintain	You manage infrastructure
4	On-Premises capacity	Fixed capacity	Scaling limited, slower
5	End	Use resources	Stable but less flexible
6	Choose Cloud	Use provider hardware	No upfront hardware cost
7	Cloud setup	Fast deployment	Ready quickly
8	Cloud payment	Pay as you go	Costs match usage
9	Cloud scaling	Scale up/down easily	Flexible capacity
10	End	Use resources	Managed by provider, flexible

💡 Decision ends after choosing and setting up either on-premises or cloud resources.

Status Tracker

Variable	Start	After On-Premises	After Cloud
Cost	0	High upfront	Low upfront, pay per use
Setup Time	0	Long	Short
Management	None	You manage	Provider manages
Capacity	0	Fixed	Flexible

Key Moments - 3 Insights

Why does cloud have lower upfront cost compared to on-premises?

Because in the cloud you use provider hardware and pay as you go, so you don't buy expensive hardware upfront (see execution_table steps 2 and 6).

How does scaling differ between on-premises and cloud?

On-premises has fixed capacity because you own hardware, so scaling is slower (step 4). Cloud allows easy scaling up or down since resources are virtual and managed by the provider (step 9).

Who manages the infrastructure in cloud vs on-premises?

In on-premises, you manage all hardware and software (step 3). In cloud, the provider manages infrastructure, reducing your management burden (step 10).

Visual Quiz - 3 Questions

Look at the execution_table, what is the cost state after choosing cloud?

A Low upfront, pay per use

B High upfront cost

C No cost at all

D Fixed monthly fee

💡 Hint

Check variable_tracker row 'Cost' after 'After Cloud' column and execution_table step 6.

At which step does the cloud option allow fast deployment?

A Step 3

B Step 4

C Step 7

D Step 2

💡 Hint

Look at execution_table step 7 under 'Cloud setup'.

If you want to manage your own hardware, which step in the table shows this?

A Step 10

B Step 3

C Step 6

D Step 9

💡 Hint

Refer to execution_table step 3 about management.

Concept Snapshot

Why choose cloud over on-premises?
- Cloud uses provider hardware, no upfront buy
- Pay as you go, costs match usage
- Fast setup and easy scaling
- Provider manages infrastructure
- On-premises requires buying and managing hardware
- Fixed capacity and higher upfront cost

Full Transcript

This visual execution shows the decision process between on-premises and cloud IT resources. Starting with the need for resources, you decide either on-premises or cloud. On-premises means buying hardware, setting it up yourself, fixed capacity, and higher upfront cost. Cloud means using provider hardware, paying as you go, fast deployment, flexible scaling, and provider management. Variables like cost, setup time, management, and capacity change accordingly. Key moments clarify why cloud is cheaper upfront, how scaling differs, and who manages infrastructure. The quiz tests understanding of cost, deployment speed, and management roles.