How Cloud Platforms Outperform Traditional VM Solutions

In today’s rapidly evolving digital landscape, businesses face critical decisions about their IT infrastructure that can make or break their operational efficiency and competitive edge. As organisations grapple with increasing data demands, remote work requirements, and the need for scalable solutions, the choice between traditional virtual machine (VM) environments and modern cloud platforms has become more significant than ever. But how do cloud platforms outperform traditional VM solutions?

The main difference between cloud computing and virtual machines (VMs) is that VMs run on fixed on-premise hardware, while cloud platforms offer scalable, pay-as-you-go resources over the internet. Cloud solutions deliver greater flexibility, cost-savings, security, and global accessibility.

This article explores the journey from traditional VM solutions to cloud computing, examining how cloud platforms are revolutionising business operations and offering compelling advantages over conventional virtualisation approaches.

In this article:

• What is the Difference Between Cloud and Virtual Machines?
• What is the Advantage of Using Cloud Computing Compared to a VM Setup?
• Why is Cloud Computing More Secure than Traditional IT Systems?
• Limitations of virtual machines
• Summary

What is the Difference Between Cloud and Virtual Machines?

Virtual machines (VMs) are software-based emulations of physical computers, traditionally hosted in on-premise servers. They allow multiple operating systems to run on one physical server, improving resource efficiency.

Cloud computing, on the other hand, builds on virtualisation but delivers IT resources – such as servers, storage, databases, software, and networking. Instead of being tied to physical infrastructure, this is delivered over the internet, which gives organisations access to a flexible, on-demand platform managed by cloud providers like AWS, Microsoft Azure, and Google Cloud.

What is the Advantage of Using Cloud Computing Compared to a VM Setup?

A wise man once said, ‘if it ain’t broke, don’t fix it’. This is certainly the case for IT systems, but the trick is spotting the point of failure before it arrives. That’s probably the subject for another article, but here we’ll help you make the case for your business to migrate to the cloud. As an aside, I’d direct you to another popular blog post, Embark on your Cloud Journey.

While both VMs and cloud computing rely on virtualisation, cloud platforms introduce several transformative advantages:

1. Scalability and flexibility
   Businesses are often faced with the need to flex, change direction and scale (both up and down) in response to market demands, and cloud computing makes this flexibility and scalability possible. Unlike traditional on-premises infrastructure, which requires significant time and investment to scale, cloud platforms allow businesses to quickly adjust their resources. This elasticity ensures that companies can handle sudden spikes in traffic or workload without compromising performance. For example, services like AWS Auto Scaling and Azure’s Virtual Machine Scale Sets enable automatic adjustments to compute capacity, ensuring optimal performance and cost-efficiency.
2. Cost savings
   We mentioned earlier the financial uncertainties that exist in the world today, so one of the most compelling reasons to migrate to cloud computing is the potential for significant cost savings. Traditional IT infrastructure requires substantial capital expenditure on hardware, software, and maintenance. In contrast, cloud computing operates on a pay-as-you-go model, where businesses only pay for the resources they use. This shift from capital expenditure (CapEx) to operational expenditure (OpeEx) can free up financial resources for other strategic initiatives. Additionally, by outsourcing infrastructure management to cloud providers, companies can reduce the burden on their IT staff and focus on innovation and growth.
3. Reliability and uptime
   Reliance on on-premise infrastructure can be like putting all your eggs in one basket. One small slip can lead to unwanted downtime, and a big headache for your IT team. With cloud computing you benefit from robust solutions to ensure stable infrastructure. Cloud providers design their infrastructure with redundancy and high availability in mind, often exceeding the capabilities of traditional on-premises setups. Moreover, cloud services come with built-in failover and disaster recovery capabilities which replicates workloads to secondary locations.
4. Management and maintenance
   As IT systems become more complex, more is expected from in-house teams to solve problems, maintain systems and keep things operational. The adoption of cloud computing moves the onus away from the in-house teams allowing them to concentrate on more strategic and high-value work, while management and maintenance of the core infrastructure is offloaded to the cloud provider. They also take care of automatic software updates, security patches, and routine maintenance, which are handled seamlessly in the background. The aim is not to cause redundancy in your IT roles, but to get more value out of their time, while making their job more interesting. For example, Google Cloud’s managed services ensure that your systems are always up to date without manual intervention. This not only reduces the workload on your IT staff but also minimises the risk of security vulnerabilities and system downtime.
5. Global accessibility
   The need for a remote workforce was, in some ways, forced on us by the Covid-19 pandemic, although some businesses were already moving towards hybrid working arrangements. As mentioned above, the pandemic led to a significant increase in the demand for cloud capabilities, and while this enabled people to work remotely when it was a legal requirement, it has also made global accessibility the norm. Tapping into distributed networks of data centres around the world, businesses can connect their resources from any location with an internet connection, facilitating remote work and collaboration across different geographies. For forward-thinking companies, they are even able to employ talent from anywhere in the world. Additionally, cloud providers like AWS and Azure offer global regions and edge locations, allowing businesses to distribute workloads closer to their users, reducing latency and improving performance.

Why is Cloud Computing More Secure than Traditional IT Systems?

Security is often a top concern in IT strategy. Surprisingly to some, cloud computing generally offers stronger protections than traditional VM setups:

• Enterprise-Level Security Tools: Cloud providers use cutting-edge firewalls, intrusion detection systems, and encryption technologies.
• Automatic Updates & Patches: Security updates are deployed at scale, reducing vulnerabilities that can arise from delayed patching in on-premise VM environments.
• Data Redundancy: Cloud systems replicate data across multiple secure regions to protect against hardware failures and data loss.
• Compliance & Governance: Leading providers (AWS, Azure, Google Cloud) adhere to international security and compliance standards (ISO, GDPR, HIPAA), which gives businesses confidence in regulatory compliance.

By contrast, VMs depend heavily on in-house teams to manage all hardware security, patch systems, and handle disaster recovery – leaving much more room for error and risk.

Limitations of Virtual Machines

Virtual machines continue to play a vital role in business and will continue to do so for many years to come. I repeat, if it ain’t broke, don’t fix it. But there are some limitations that businesses should be aware of.

1. Hardware dependency
   Virtual machines rely heavily on on-premise hardware, and this dependency can represent a significant drawback when it comes to upkeep. It is incumbent on a business’s IT team to keep this hardware maintained and up-to-date. The hardware itself will need to be repaired, replaced and expanded if the business chooses to upscale. VMs are limited, but their capacity and this lack of flexibility can hinder a company’s ability to respond quickly to changing demands or unexpected spikes in workload. Conversely, cloud computing offers elastic resources which can be scaled up or down as needed.
2. Capital investment
   While virtualisation does allow businesses to run several VMs on a single server, it does require substantial upfront capital investment. There is a need to purchase and maintain VMware licenses, and licences aren’t getting any cheaper. You then have servers, storage solutions, and a need to also upskill technical staff to implement and maintain the hardware. These expenses are often a barrier for smaller companies or startups that may not have the financial resources to invest heavily in IT infrastructure. Additionally, the ongoing costs of maintaining and upgrading this hardware can add up over time, making it a less cost-effective solution compared to the pay-as-you-go model of cloud computing.
3. Complexity of administration
   Implementing and managing a VM environment can be complex and require specialist skills, so unless you already have the skills in-house, substantial training or specialist recruitment may be needed. For example, the VMware stack requires expertise in virtualisation technologies, networking and storage management. And once the technology is in place, maintenance and the process of applying software updates and patches is often time-consuming and can lead to downtime, impacting business operations.
4. Disaster recovery
   When new systems are implemented, businesses need to have a plan for effective disaster recovery solutions, ensuring adequate redundancy and failover capabilities. This planning can be complicated and resource-intensive and could require significant investment in additional hardware and software. Even having put all these things in place, the risk of data loss or downtime remains higher compared to cloud-based solutions, which often come with built-in disaster recovery and failover mechanisms. This increased risk can be a critical concern for businesses that rely on continuous availability and data integrity.

The Cloud Advantage: Putting It All Together

The shift from VM-based infrastructure to cloud computing is more than a trend – it’s a strategic move towards agility, security, and long-term cost efficiency.

• VMs remain useful for specific workloads, legacy applications, or organisations not yet ready to modernise.
• Cloud computing offers elastic scaling, global accessibility, and future-ready innovation opportunities such as AI and machine learning – all without the burden of hardware upkeep.

For businesses planning their cloud adoption journey, the real advantage lies in building an IT environment that grows with your organisation, reduces operational risk, and empowers the team to innovate.

At DeeperThanBlue, we specialise in complex migrations and hybrid strategies tailored to your business needs. Get in touch with our experts today and start building an infrastructure that’s secure, scalable, and future-proof. Get in touch today to find out how we can help.

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