On-premises AI
The application, model, index, and approved documents run at a customer-controlled site. Remote support, if allowed, crosses a separately approved access path.
Private AI deployment boundary guide
On-premises and dedicated private hosting are not the same boundary.
Both can isolate a workload from ordinary shared public-AI services. The difference is where the system runs, when data leaves your premises, who controls physical access, and how support and exit are handled.
Physical location stated Data path documented Exit plan recorded
Reviewed August 10, 2026 · Educational comparison, not a compliance determination
Boundary in one sentence
Ask where the approved documents are processed.
Dedicated private hosting
The workload runs in a single-customer, off-site physical environment. Approved data reaches it over an encrypted and authorized route. It is private hosting, not customer on-premises.
Decision matrix
Compare the operating boundary before comparing hardware.
| Question | On-premises | Dedicated private hosting |
|---|---|---|
| Physical location | Customer-controlled site | Approved off-site facility |
| Document movement | Can remain within the customer site boundary | Travels to the hosted environment over an approved encrypted route |
| Physical access | Customer policy and site controls | Hosting operator and facility controls defined by agreement |
| Power, cooling, and uptime | Customer-owned operating responsibility unless separately supported | Hosting operating responsibility defined in the service boundary |
| Remote administration | Optional and customer-approved | Required hosting administration, with named access and logging controls |
| Ownership and exit | Usually customer-controlled equipment and local data | Contract must define data export, erasure, software portability, hardware ownership, and termination |
What both paths still need
“Private” is a design claim that needs a written boundary.
Dedicated hardware alone does not settle identity, data handling, support, backup, incident response, or regulatory questions.
- Named data owner and approved document collection
- User, administrator, service, and temporary-support access
- Encryption in transit and at rest, with key ownership recorded
- Logs, backups, restore tests, retention, and deletion
- Internet exposure, external model calls, and integration endpoints
- Incident escalation, change approval, support hours, and exit procedure
Frequently asked questions
Keep the language precise.
Is dedicated private hosting the same as on-premises AI?
No. On-premises means the system runs at a customer-controlled site. Dedicated private hosting means a single-customer physical environment runs off-site under an approved hosting and network boundary. Data leaves the customer site when the hosted system is used.
Does dedicated hardware automatically make a system secure or compliant?
No. Dedicated hardware changes isolation and ownership characteristics, but access, encryption, identity, logging, backups, incident response, contracts, and customer-specific regulatory obligations still require review.
Which path is usually faster to pilot?
It depends on site readiness, approved connectivity, available hardware, document readiness, and procurement. The free fit review compares both paths before a deployment promise or hardware purchase is made.
Can a pilot move from hosted to on-premises later?
Potentially. Portability depends on the selected model, software licenses, data stores, integrations, hardware capacity, and a documented export and handoff plan. It should be designed and priced before the pilot begins.
Choose from one real workflow
Turn the boundary question into a written deployment recommendation.
The free fit review compares the document set, users, site constraints, approved connectivity, hardware assumptions, support model, and exit path before a pilot is sold.