Private Cloud vs IaaS: Difference and Comparison

With cloud computing, organizations and cloud service providers can easily provision a shared pool of reconfigurable computing resources on demand, such as servers, storage, networks, software, and hardware. Infrastructure as a Service (IaaS) is one of the cloud computing models for cloud services supplied in a private cloud that allows you to access computing resources as a service. But are an IaaS and a private cloud the same thing?

Key Takeaways

  1. Private cloud refers to a dedicated cloud infrastructure for a single organization. In contrast, IaaS (Infrastructure as a Service) is a cloud computing model that provides virtualized computing resources over the Internet.
  2. Private cloud offers more control and customization than IaaS, allowing organizations to tailor their environment to specific needs.
  3. IaaS provides a more flexible and scalable solution, enabling businesses to adapt to changing needs quickly and only pay for resources used.
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Private Cloud vs IaaS

A private cloud is a type of cloud environment that is dedicated to a single organization and is not shared with other organizations. Infrastructure-as-a-Service (IaaS) is a cloud computing model where a third-party provider offers virtualized computing resources over the Internet.

IaaS is a hybrid cloud computing service in which the service provider provides users with internet-based on-demand access to critical computing, storage, and networking resources.

Comparison Table

Parameters of ComparisonPrivate CloudIaaS
DefinitionCorporate cloud is dedicated only to the userService for cloud computing 
ExistenceBoth on and off-premises permittedAlternatives to on-premises infrastructure based on the cloud
MeaningSingle-tenant cloud environmentMulti-tenant cloud enviroment
Features Better control over resourcesHigh control level on a pay as you go model
HostHosts exclusively on the hardware Hosts infrastructure on the public cloud

What is Private Cloud?

The term “private cloud,” also referred to as “corporate cloud” or “internal cloud,” refers to a cloud computing environment that is exclusively devoted to one end user, a single company or service. Since only a few users have access to the network, the entire cloud infrastructure, including all hardware and software resources, is hosted privately. It combines the advantages of an entirely cloud-based infrastructure with the adaptability, security, and management of on-premise IT infrastructure. Because of this, many businesses prefer private clouds to public clouds.

A private cloud is a single-tenant setting where you control the infrastructure, and the service provider manages the cloud on your behalf. You use the cloud environment as though it were a resource that belongs to you when they set up the automation and the portal. Hardware and software resources are completely under your control, and you are free to change them however you like. Having a private cloud has many advantages, one of which is that you are in charge of everything, including server management. The Private Cloud is hosted exclusively on the hardware owned by the company or enterprise creating the cloud.

The main purpose of creating a Private Cloud is to solve the basic tasks of internal personnel and ensure that all the data used is protected.

private cloud

What is IaaS?

The cloud computing concept known as IaaS, or infrastructure as a service, allows businesses to rent or lease computing resources from the cloud. The IaaS provider gives users access to computing resources, and it is the customer’s responsibility to install and manage the systems, which they can do online. In the IaaS model, the cloud provider owns and manages the hardware and software and owns or leases the data centre. With an IaaS solution, you lease resources, such as computing or storage, access the necessary resources as needed, and pay only for the resources your organization uses.

IaaS provides critical cloud storage, virtual servers, and on-demand access to data centre resources. It offers a customer access to its own physical assets. IaaS might be compared to a smaller data centre housed inside a larger one. The service provider splits the cost of staff, power, air conditioning, and fire protection among many clients. IaaS enables customers to pay only for the resources they use, just like other cloud computing services. IaaS offers businesses a low-cost means of opening a data centre or colocation facility.

IaaS includes

  1. Virtual servers on which you can install various programs. Sometimes the provider offers servers with operating systems so that you can deploy the required applications more quickly.
  2. Network settings, which ensure the connection of virtual servers to each other, to external servers belonging to the client company, and to the Internet
  3. Manage user access. For example, you can restrict access to individual virtual machines or allow data to be viewed but not changed.
  4. Cloud storage for storing files, data, or backups. They differ from the usual cloud drives that individual users deal with by offering almost unlimited storage capacity and fast access speeds to data.
  5. Backup and disaster recovery services that ensure your infrastructure against crashes and data loss when individual nodes fail.

When you lease an IaaS infrastructure, you get virtual servers, network settings, and cloud storage for which the provider is responsible. You have access to the virtual server operating system and a great deal of freedom in configuring and installing applications.

Main Differences Between Private Cloud and IaaS

Private Cloud

  1. Reducing the cost of ensuring the operation of IT services in use.
  2. A single-tenant private cloud infrastructure that mimics cloud computing functions like virtualization is known as a private cloud.
  3. High scaling speed of used hardware resources.
  4. Effective load balancing between physical Data Centers.
  5. Also, the creation of a private cloud allows you to improve the mechanism for budgeting needed to support and scale the involved resources between users of such a cloud.


  1. IaaS eliminates the costs and complexities associated with purchasing and administering physical servers and data centre infrastructure.
  2. IaaS provides the entire infrastructure to support web applications, including storage, web and application servers, and network resources.
  3. IaaS allows for global scaling to accommodate peak periods of resource demand.
  4. With IaaS, there is no need to maintain and update software and hardware or troubleshoot equipment. 
  5. You get full administrative rights inside the leased virtual servers.
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Last Updated : 28 July, 2023

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