Viability of cloud hosting solutions : distinctions between different hosting solutions

Abstract

This thesis examines the viability of different hosting infrastructures, on-premise, cloud-based, and hybrid, by evaluating their technical, economic, and regulatory implications across various business scales. Through a comparative analysis, it identifies key advantages and limitations inherent to each model, including cost structures, scalability, maintenance requirements, and security responsibilities. Real-world case studies, such as those of Target, UniSuper, and GitLab, provide critical insights into infrastructure vulnerabilities and best practices. Additionally, the work incorporates European regulatory frameworks like GDPR and the NIS 2 Directive to assess their impact on infrastructure decisions. A practical case study simulates ERP software deployment across small, medium, and large enterprises, offering cost projections and performance considerations over a 10-year horizon. The findings highlight that no single model is universally optimal; rather, the suitability of a hosting solution depends on organizational size, growth expectations, compliance requirements, and operational flexibility. Hybrid infrastructures emerge as a balanced alternative, combining control and scalability while mitigating key risks associated with fully cloud or fully on-premise approaches.