---
title: What is a public cloud?
url: https://www.vmware.com/topics/public-cloud
description: "Learn about public cloud: computing resources owned and operated by a provider, shared across multiple tenants via the Internet."
---

# What is a public cloud?

A public cloud is an IT deployment model where a third-party provider owns and operates computing resources, sharing them across multiple organizations via the internet. These providers offer on-demand computing services and infrastructure, such as [Infrastructure as a Service (IaaS)](https://www.vmware.com/topics/iaas), Platform as a Service (PaaS), or Software as a Service (SaaS). Users can access these services for a monthly or pay-per-use fee, eliminating the need to host them in their own data centers.

Cloud service providers use groups of data centers that are partitioned into virtual machines and shared by tenants. Tenants may simply rent the use of those virtual machines, or they may pay for additional cloud-based services such as software applications, application development tools, or storage. Companies often use public cloud services for less-sensitive applications that have unpredictable spikes in usage or for storing data that does not require frequent access.

Public cloud makes computing resources available to anyone for purchase. Multiple users typically share the use of a public cloud. In contrast, private cloud involves cloud-based services that are hosted within an organization’s own private servers.

## Why use a public cloud

Many enterprise businesses look to the public cloud as a way to scale existing IT resources on demand without committing to expanding their physical IT infrastructure. For instance, instead of purchasing a physical desktop machine, a company can purchase a virtual desktop license. The virtual desktop can be spun up or deactivated in minutes and can be located anywhere, instantly.

The public cloud is also a popular solution for storage needs since data stored on a public cloud is backed up and accessible from anywhere. There are many different types of storage plans, and data that does not need to be accessed frequently can often be stored in the public cloud very cheaply.

For companies that host an application with periods of peak usage, the public cloud makes perfect sense because the extra computing power is only needed for a short time.

Using the public cloud can save businesses money in a couple of different ways:

- **Lower equipment purchase costs:** Because employees can access and pay for cloud-based resources only when they need them, using public cloud–based desktops and applications is often less expensive than purchasing physical IT equipment or software packages that may or may not be used and will need to be maintained.
- **Lower equipment maintenance costs:** Public cloud services shift IT equipment maintenance costs to the provider. While small businesses find public cloud migration easier, enterprises with legacy infrastructure are increasingly adopting it as part of a hybrid IT strategy, combining public cloud benefits with those of on-premises and private cloud solutions.

## How a public cloud works

A public cloud relies on a virtualized environment to provide an extension of a company’s IT infrastructure, allowing that company to host certain aspects of its infrastructure and services on virtual servers that are off-site and owned by a third party. Public cloud service providers have distinct strengths, offering a diverse range of services and pricing models. Companies that are considering a migration to public cloud need to carefully consider their options when it comes to choosing a provider, especially if they will be locked into a long-term contract. Careful planning can help to keep costs down on monthly cloud services bills, but organizations with unpredictable public cloud usage may find it hard to avoid spending a lot of money on public cloud services when usage suddenly surges.

Because servers in the public cloud share data from multiple companies, security in the public cloud is another issue that IT managers will want to weigh. Encrypting data is a good way to ensure stronger security, but if you are using a combination of public and private cloud (also known as a hybrid cloud), not all encryption platforms work across both public and private clouds. There is also an inherent security risk whenever data is moved between a private data center or private cloud and a public cloud.

One last consideration is the location of your public cloud service provider. Data privacy laws in many countries require certain types of data to be stored in-country. These laws change frequently, so it’s a good idea to choose a cloud service provider that is located in your country and can confirm that the servers where your data will be stored are local and in compliance with regional laws. Latency is another concern: data hosted on a different continent may result in slower access times compared to data stored locally.

## Public cloud vs. private cloud vs. hybrid cloud

Organizations have three main options for cloud computing services: public, private, or a hybrid of both. Public clouds are hosted by a provider and shared among multiple users, while private clouds are self-hosted by a single company. A hybrid cloud combines elements of both public and private cloud services.

Public cloud offers easy scalability. While a private cloud is less expensive after the initial infrastructure investment, it can sometimes be difficult to scale. Expanding a private cloud can necessitate purchasing additional equipment, and if usage decreases, resources and equipment may become underutilized.

For organizations weighing the benefits of public versus private cloud, a hybrid cloud solution offers an excellent compromise. A hybrid cloud environment, which combines both private and public cloud platforms, allows organizations to leverage the advantages of each, selecting the most suitable cloud for their specific data requirements.

## How VMware can help

[VMware Cloud Foundation (VCF)](https://www.vmware.com/products/cloud-infrastructure/vmware-cloud-foundation) license portability provides the flexibility to run your private cloud in the locations best matching your needs. Get the same VCF experience on any certified hardware or cloud. License portability protects your VCF investment and adds IT agility.

## Recommended for You

- [Cloud](https://www.vmware.com/topics/cloud)
- [Hybrid Cloud](https://www.vmware.com/topics/hybrid-cloud)
- [Private Cloud](https://www.vmware.com/topics/private-cloud)
- [Cloud Cost Management](https://www.vmware.com/topics/cloud-cost-management)

## Related Solutions and Products

- [Partner-Managed Services](https://www.vmware.com/solutions/partner-managed-services)
- [VMware Cloud Foundation](https://www.vmware.com/products/cloud-infrastructure/vmware-cloud-foundation)

## Also of Interest

- [What is Platform Engineering?](https://www.vmware.com/topics/platform-engineering)
- [What is a Hybrid Cloud?](https://www.vmware.com/topics/hybrid-cloud)
- [What is private cloud?](https://www.vmware.com/topics/private-cloud)
