Customer can increase or decrease their hardware resource allocation and spend as they require.
Initial investment for hardware is extremely high in case of an on-premise infrastructure. By using cloud infrastructure, customer will not have to spend huge amounts of money on purchasing and maintaining hardware.
Substantial savings in terms of internal IT resources to manage the on-prem hardware.
The cloud belongs to a single client. Hence, the infrastructure and systems can be configured to provide high levels of security.
Compliance is achieved easily in private clouds.