Single-Cloud vs Multi-Cloud Strategies: Which to Use in 2024

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Key Takeaways: Single-Cloud vs Multi-Cloud Strategies

When choosing cloud services, a business can opt for a single-cloud strategy or a multi-cloud strategy. Single-cloud benefits can include lower costs, ease of use and simplified services. Cons include limited scaling options and enhanced risk. The benefits of a multi-cloud strategy include scalability, risk mitigation and data recovery. Cons include more complex IT management and potential security or compliance issues. Businesses in the market for a cloud service have to choose between a single-cloud and a multi-cloud solution. Both strategies have pros and cons, and choosing either one cloud service or more isn’t easy. We compare and contrast multi-cloud vs single-cloud in the following sections to help you decide on the best fit for your business. With a single-cloud strategy, businesses can better plan their monthly budgets and maintain a streamlined IT process by working with one provider. Multi-cloud adopters can better scale their operations and diversify their risk. We go over these considerations and more in the following sections.

Defining Multi-Cloud vs Single-Cloud Strategies

The difference between a multi-cloud and a single-cloud strategy boils down to whether a business relies on a single cloud service or a variety of cloud services to cover its needs. Cloud services include Software as a Service (SaaS), Infrastructure as a Service (IaaS), Platform as a Service (PaaS) and cloud computing. There are many varieties of cloud solutions.

What Is a Single-Cloud Strategy?

A single-cloud strategy is when a business uses one provider to meet its cloud service needs. For example, if a company chooses one of the best cloud storage solutions. All external cloud services are centralized with one provider. Sometimes, on-premise IT solutions like servers provide local cloud services.

Pros of Single-Cloud Strategy:

Simplicity: Businesses deal with only one service provider and can quickly become familiar with its offerings.
Budget-friendly: It is easier to budget costs when the negotiated amount is consistent with a single service provider.
Streamlined IT: IT managers don’t have to juggle multiple infrastructures and services, making it easier to streamline systems and resources.
Seamless integration: Working in one ecosystem helps to integrate among different services or applications, improving productivity.

Cons of Single-Cloud Strategy:

Less flexibility: Businesses don’t have the option to switch between services if a certain offering doesn’t meet their needs or requirements.
Vendor lock-in: Staying with one vendor for an extended period makes it hard to switch providers should the need arise.
Scaling: Businesses run the risk of outgrowing a cloud service provider if it can’t scale with increased needs or demands.
Enhanced risk: If a network outage, data breach or other catastrophic event occurs, businesses could be cut off from their data, access or connectivity.

What Is a Multi-Cloud Strategy?

A multi-cloud strategy uses more than one cloud service to meet a business’s needs or requirements; for example, using multiple business cloud storage services for different functions. Companies can compare and negotiate the best prices to leverage IT services and solutions. A multi-cloud strategy involves multiple cloud solutions.

Pros of Multi-Cloud Strategy:

Flexibility: Businesses can choose the cloud solution offering the best services or products, depending on the use case.
Data recovery: In the event of a disaster with one cloud service, a business that spreads its data among multiple cloud providers minimizes any potential impact.
Cost-effectiveness: Businesses can negotiate for the best contract, terms or service-level agreement that fits within their budget constraints.
Scalability: Multi-cloud environments let companies scale their operations as their business grows and IT needs change.
Risk avoidance: By diversifying services and infrastructure across multiple cloud providers, companies mitigate the risk of service impacts.

Cons of Multi-Cloud Strategy:

Data management: Depending on capacity and personnel, businesses have to allocate resources to manage multiple platforms and services.
Onboarding and training: Training staff on more than one platform can be time-consuming.
Overly complex: IT staff could face data compatibility, customization or application interaction challenges when dealing with multiple cloud platforms.
Security/compliance issues: Meeting internal security and compliance policies can be challenging when using multiple cloud services, as each platform has different policies and practices.

Comparing Multi-Cloud and Single-Cloud on Key Factors

Businesses have many factors to consider when choosing between a single cloud provider and a multi-cloud strategy. However, a few important elements rise to the top.

1. Cost Considerations: Multiple Cloud Providers vs a Single Cloud Provider

There’s an argument on both sides. A single-cloud approach often makes it easier to budget monthly or annual costs, as only one bill comes from one vendor. However, even bundling services may not be as cost-effective as a multi-cloud strategy. However, procuring services from multiple providers generally costs more. Though there is typically a higher overall cost for multiple cloud providers compared to a single-cloud solution, companies can find the right service for the best price and negotiate better contracts.

2. Flexibility and Scalability Comparison

One of the main drawbacks of a single-cloud solution is the potential for a business to outgrow the provider’s cloud capabilities. Moving to another cloud service can be a significant and costly challenge. Businesses using multiple clouds are better equipped to handle growth and scale their cloud services to meet increased demands.

3. Data Security & Compliance

Cloud providers have different privacy policies, security protocols and compliance adherence. Some or all of these elements may be at odds with a business’s internal data security and compliance requirements. With a single-cloud solution, the data security and compliance measures may not align perfectly between the business and the provider. However, finding a provider that checks as many boxes as possible can be easier than trying to ensure alignment across multiple cloud providers.

4. Ease of Management and Operations

With a single cloud provider, IT managers and administrators don’t have to stress over fixing issues with multiple infrastructures. Additionally, a single-cloud solution may require fewer employees to keep things running smoothly. Management and operations with a multi-cloud approach are inherently more complex, with IT managers and administrators dealing with acceptance and compatibility issues and juggling multiple infrastructures.

When Should You Use a Single-Cloud vs a Multi-Cloud Environment?

This section will examine when companies should consider either solution.

Use Cases Better Suited for Single-Cloud

Businesses that opt for a single cloud provider may operate on a tight budget or have technical and business requirements that are not overly demanding.

Who would benefit from a single-cloud solution:

Start-ups
Small businesses
Freelancers

Scenarios Where Multi-Cloud Excels

Businesses that want to diversify their cloud providers would benefit from using multiple clouds.

Who would benefit from a multi-cloud strategy:

Large enterprises and organizations
Multinational corporations
Companies with a global customer and client base

Hybrid Cloud Strategies: The Best of Both Worlds

Businesses can also choose to use a hybrid cloud strategy, especially if there is some uncertainty about deciding between a single-cloud and a multi-cloud strategy. A hybrid cloud strategy employs a public cloud for some infrastructure needs or app deployments, while also keeping on-premise IT hardware or software.

How to Choose the Right Cloud Strategy

Choosing between a single- and a multi-cloud strategy can be a challenging but important decision. We’ve listed several considerations to help businesses arrive at the best option.