Technology moves fast—and if you’re still relying on a physical server tucked away in a back closet, it might be time to rethink your setup. At Stamm Tech, we’ve helped dozens of businesses modernize their IT infrastructure, and one of the most common questions we get is:
“Should we keep our on-premise server or move to the cloud?”
Let’s break it down.
What Is an On-Premise Server?
An on-premise server is a physical device your business owns and maintains on-site. It handles things like file storage, software hosting, internal databases, and Active Directory management.
While this used to be the default option, many companies are now moving away from it in favor of cloud-based services.
Pros of On-Premise Servers
- Control: You physically own and manage the equipment.
- Compliance: For certain industries (like legal or finance), local data control may be necessary.
- Customization: You can configure the server exactly how you need it.
Cons of On-Premise Servers in 2025
- Cost: You’re on the hook for hardware, licensing, backups, and repairs.
- Maintenance: Updates, patches, monitoring, and physical upkeep are your responsibility.
- Risk: If there’s a power outage, flood, fire, or theft—your data could be compromised.
- Limited scalability: Growth often means buying more hardware.
Why Businesses Are Moving to the Cloud
In 2025, cloud-based infrastructure is faster, more secure, and more affordable than ever.
Benefits of migrating to the cloud:
- Remote access from anywhere
- Built-in backups and redundancy
- Predictable monthly costs
- Near-zero downtime
- Automatic updates and security patches
At Stamm Tech, we often recommend platforms like Egnyte, Microsoft 365, or Google Workspace depending on your business’s specific needs.
Hybrid Environments: The Best of Both Worlds
Some companies need a hybrid solution—where key systems are still on-prem, but most day-to-day operations live in the cloud. This can be a great stepping stone for businesses ready to modernize gradually.
What We Recommend
Here’s our take:
If your server is:
- More than 5 years old
- Running unsupported software
- Costing you more than a modern alternative
- Holding your team back from working efficiently
…it’s time to move on.
Real-World Example: Server Retirement Success
We recently helped Advantage Media Services move into a new office. Before they relocated, we:
- Migrated all of their on-premise data to the cloud
- Joined their devices to Entra/Azure Active Directory
- Retired their physical server entirelyThe result? A seamless move with near-zero downtime—and a simpler, more scalable setup for their future.
Let’s Talk Cloud Strategy
Still not sure if it’s time to move on from your server? Let’s talk. We’ll help you weigh the risks, costs, and benefits to make the right call for your business.
Schedule a Free IT Assessment
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