With growing concerns over U.S.-based cloud hyperscalers—including political instability, tariff uncertainty, and cross-border data transfers—many organizations are reconsidering their reliance on foreign cloud providers. Canadians are turning towards hybrid cloud, multi-cloud strategies, and sovereign Canadian solutions like Edwin, R2i’s 100% Canadian cloud infrastructure.

From On-Prem to the Cloud: Understanding IT Infrastructure

Not long ago businesses ran all their workloads on physical servers that they housed either in their own offices or in data centers. But as companies grew and technology evolved, so did the complexity and cost of maintaining on-premise infrastructure, including electricity, cooling, floor space, and a team of full-time administrators. 

Worse, on-prem infrastructure slowed companies’ growth. Adding a new server to expand capabilities could take weeks or months.

Cloud computing revolutionized this model. Thanks to virtualization, companies could now request customized virtual machines in minutes, without investing in costly hardware or waiting weeks for installation. This gave rise to several cloud infrastructure models, including:

• Private Cloud (on-prem or hosted): Infrastructure dedicated to one organization, offering control and customization.
  
• Public Cloud: Infrastructure shared across clients, managed by third-party providers like AWS, Azure, or Google Cloud.
  
• Hybrid Cloud: A blend of both, allowing businesses to keep critical services in private cloud while using public cloud for scalability.
  
• Multi-Cloud: Using multiple public (and sometimes private) cloud providers to avoid vendor lock-in and increase resilience.

Comparing Hybrid Cloud, Multi-Cloud, and More

What does this mean for you? To choose the best cloud infrastructure strategy for your business, let’s go over what each of these options entails.

Hybrid Cloud

Hybrid cloud combines private infrastructure (either on-premise or hosted) with public cloud services. For example, a manufacturer may keep production data in a private cloud for speed and security, while using the public cloud to manage online sales.

Benefits:

• Optimized performance for different workloads
  
• Lower infrastructure costs through shared public services
  
• Greater flexibility and scalability

Challenges:

• Requires thoughtful architecture and integration
  
• Can introduce complexity in monitoring and security
  
• Still depends (at least partially) on U.S.-based hyperscalers for public cloud services

Multi-Cloud

A multi-cloud approach spreads workloads across two or more cloud providers. For instance, you might use Azure for SaaS applications, AWS for compute resources, and a local Canadian provider for backup and disaster recovery.

Benefits:

• Avoids reliance on a single vendor
  
• Enables cost optimization by selecting the best-priced services
  
• Reduces risk of downtime or outages from one provider

Challenges:

• Managing multiple platforms is complex
  
• Features may differ between providers, limiting portability
  
• Data transfers between clouds (egress fees) can be costly
  
• Staff must be trained across multiple platforms

Making the Right Cloud Decision: A Strategic Move, Not Just a Technical One

Choosing between hybrid cloud, multi-cloud, or another model isn’t just about infrastructure—it’s about aligning your IT strategy with your long-term business goals.

Think of cloud infrastructure like insurance. You pay for insurance regularly even though you only use it when disaster strikes. Similarly, you may not use every cloud resource every day, but when you do need it—whether it’s a burst of compute power for a seasonal spike or emergency backup after a failure—it’s there. This built-in elasticity gives you peace of mind and operational continuity without overprovisioning hardware you might never fully use.

Cloud infrastructure also gives your team access to advanced technologies, like AI, without needing to invest in ultra-expensive, specialized servers. Need to run a complex AI model for a product recommendation engine or demand forecasting? The right public cloud service can spin up a high-performance machine in minutes, no up-front infrastructure investment required.

And it’s not just about cutting infrastructure costs. Cloud computing reduces the burden on your internal IT team. With managed services and automation, your administrators spend less time maintaining servers or chasing uptime and more time on strategic, high-value projects. Whether it’s driving innovation, optimizing processes, or improving user experience, your talent is better used where it matters most.

In short, cloud is no longer just a place to run your applications—it’s an enabler of innovation, agility, and growth, and one that your business can’t afford to ignore.

That all makes choosing the right cloud infrastructure more important than ever. With the wrong strategic decision, you could end up paying more for less flexibility and power.

Regaining Control in a Shifting Cloud Landscape

The cloud conversation has changed. It’s no longer just a question of public versus private, but of sovereignty, stability, and strategic alignment. Hybrid and multi-cloud infrastructures offer powerful flexibility, but they require thoughtful design and a partner you can trust.

For Canadian businesses facing unpredictable costs and growing concerns about foreign data control, local options are becoming increasingly attractive. Cloud solutions like Edwin, a 100% Canadian infrastructure, provide the performance, resilience, and peace of mind that businesses need—without compromising on control or compliance.

To discuss your unique cloud strategy further, contact the R2i team.