On-Premise vs. Cloud-Based LMS

Different learning management system (LMS) options have their strengths and weaknesses. Some are a good fit for large companies planning to grow and expand quickly, while others suit startups wanting better control and cost-savviness.

Key differences between the two are:

  • On-premise LMS: More control, usually requires more maintenance, higher upfront costs
  • Cloud-based LMS: Less maintenance, scalable, subscription-based pricing

Being well-informed about these differences helps you choose the right product for your needs. Another crucial factor to consider is whether to buy a ready-made solution or have one custom-built for you by a professional educational software development company like Keenethics – https://keenethics.com/services-education-software-development. When making the decision, it is important to remember that commercial solutions – while more affordable and easier to get – cannot match the level of customization and convenience of tailored LMS products.

On-premise LMS vs. Cloud-Based Solutions

Both on-premise and cloud systems can boost workplace learning, but they have differences. To choose the right one, consider these factors:

Customization options

Tailoring your LMS to meet your organization’s unique needs can be easier with an on-premise solution, while cloud-based systems may offer limited customization and flexibility in this respect. Think about how much control you wish to have over the features and appearance of your LMS.

Differences in security levels

Both offer robust security features; however, on-premise solutions often provide greater control over data security, which makes them a strong choice for companies with strict security requirements. The only downside is that on-premises systems may require more dedicated resources and expertise to maintain and keep up-to-date.

Cost models

On-premise solutions require a larger upfront investment but could be more cost-effective in the long run, while cloud-based options come with lower initial costs but involve subscription and maintenance fees.


Unlike on-premise LMS, which are great for in-house training, cloud LMS solutions can be accessed from anywhere and at any time with an Internet connection, promoting flexibility and remote learning.


Your LMS capabilities must match your expected user load. Cloud-based systems are easier to scale when facing an increased number of users and do not require hardware upgrades for better performance.

Disaster recovery

Cloud-based LMS often include built-in backup and recovery features, while on-premise solutions may require a lot of time-consuming manual work to perform the necessary backup procedures.


Cloud-based systems are quicker to implement because there is no need for hardware setup and configuration required by on-premise solutions.


If your organization is likely to grow, scalability is crucial. Cloud-based LMS solutions can often scale more easily and accommodate increasing user numbers without the need for additional hardware.


With cloud-based systems, you pay the LMS provider to handle updates and maintenance, while on-premise solutions require you to manage platform support and fix any issues yourself.

On-Premise vs. Cloud: Which One Is Better?

At the end of the day, it all comes down to picking a solution that best correlates with your organization’s goals, needs, talent, and online training budget. Whether you go for an on-premise system or trust the cloud with your eLearning needs, make sure that your chosen LMS offers an intuitive and user-friendly experience that perfectly meets the needs of your learners and educators.

the authorABHIYAN
Abhiyan Chhetri is a cybersecurity journalist with a passion for covering latest happenings in cyber security and tech world. In addition to being the founder of this website, Abhiyan is also into gaming, reading and investigative journalism.