Infrastructure located at the enterprise's own facility, owned and operated by the enterprise.
On-premise is a model in which an enterprise purchases equipment, locates it at its own office or server room, and operates it independently.
When comparing to infrastructure rental, do not compare equipment price to monthly rental price alone. Total cost of ownership also includes: electricity and cooling, redundant links, on-call personnel, replacement equipment, software licenses, and hardware replacement costs after three to five years.
Conversely, on-premise has clear advantages when workload is highly stable over many years, when you already have a compliant server room, or when regulations require data to reside within the organization's facilities.
