Cloud-based Authentication vs. On-site Authentication

October 25, 2021

Cloud-based Authentication vs. On-site Authentication

As more and more businesses transition their operations to the cloud, the need to secure their data becomes increasingly important. One of the most critical components of data security is authentication. In this post, we'll compare cloud-based authentication and on-site authentication and see which one is better for cloud infrastructures.

Cloud-based Authentication

Cloud-based authentication, also known as cloud Identity, allows users to authenticate through a cloud provider or a third party. This type of authentication can require users to enter their credentials once, and then they can log in to multiple cloud services with a single sign-on (SSO). Additionally, the user's authentication data is stored in the cloud and can be accessed by multiple devices & applications.

Pros :

  • Reduced overhead: since the authentication is managed by a cloud provider, businesses don't have to worry about purchasing, maintaining, and updating authentication software.
  • Increased security: most cloud providers offer multi-factor authentication and other advanced security features to protect user data.
  • Improved user experience: a single sign-on (SSO) decreases friction for the users, providing them with easier access to the services they need.

Cons:

  • Dependency on provider: reliance on a third-party provider increases the likelihood of downtime or other issues.
  • Cost: the pricing model for cloud authentication can be confusing, and it can add up quickly.

On-site Authentication

On-site authentication is hosted on company servers and is managed by IT personnel. This type of authentication can involve the use of passwords, biometrics, or physical tokens to verify user identity. Additionally, the authentication data is stored in-house, offering an additional layer of security.

Pros:

  • Control: managing authentication on-site offers businesses more control over user data, user rights, and access policies.
  • Cost: authentication installed on-site doesn't require recurring subscription fees & can save businesses money in the long run.
  • Freedom to customize: businesses have the freedom to adjust authentication protocols as per their requirements.

Cons:

  • Maintenance & Upgrades: since the authentication solution is maintained by the IT department, they have to worry about regular maintenance and updating of the software.
  • Security vulnerabilities: if authentication servers are hosted on-site, then there is a potential vulnerability for hackers to exploit.

Conclusion

Both cloud-based authentication and on-site authentication have their pros and cons. Cloud-based authentication offers reduced overheads, increased security, and improved user experience. It is highly useful for businesses that use multiple cloud services. On the other hand, on-site authentication offers more control, lower costs, and the freedom to customize authentication protocols. It is highly recommended for businesses with highly classified information that cannot be accessed via the internet.

References:

  1. Stratecast/Frost & Sullivan. (2016). Cloud-Based Authentication: A Competitive Comparison. White paper.
  2. Anderson, T., & O'Malley, S. (2016). On-Premises vs. Cloud-Based Identity Management. Gartner Research, 15.

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