When a disaster occurs, on-premise (on-prem) systems encounter unique and costly challenges. The main problem is a single point of physical failure. A natural disaster, fire, or even a local power outage —not to mention a cyberattack, ransomware, or hacking — can make the entire local infrastructure—production and backups—unusable.

Implementing a robust recovery plan for on-premises requires significant capital investment in a second, geographically separate data center for redundancy and replication. This secondary site requires duplicate hardware, cooling, maintenance, and dedicated IT staff, resulting in high ongoing operational costs and increased management complexity.

Furthermore, on-premises scaling is complicated. It requires time and money to buy, install, and set up new hardware, making it hard to respond quickly to unexpected recovery needs. Without continuous, automated cloud-level resilience, businesses face prolonged downtime and severe financial and reputational damage.