UCaaS Vs On-Premises: What Should You Opt for Modern Businesses?

In today’s world, businesses require a robust solution when it comes to collaboration and communication with their customers. Therefore, it’s evident that modern businesses need much more than just a telephone system. It is why the majority of businesses are adapting to unified communications due to its number of advantages.

However, there are multiple solutions available in unified communication platforms and not all of them offer the same advantages. Some of these communication platforms are on-site while others are cloud-based. Comparing this unified communication platform as a service versus the on-site platform, there are significant differences related to these.

To know the differences between the UCaaS and on-premises and to understand which works best for a modern business, keep on reading.

What is UCaaS?

UCaaS is a platform containing multiple advanced tools for collaboration and communication. All these applications reside in cloud-based technology. As a result, it provides the same level of access and user experience regardless of where the team is located.

Some of the common solutions provided by the best UCaaS providers include cloud-based phone systems, chat, file management, video conferencing, and screen sharing. Integration across multiple capabilities exists only in one hub which allows it to deliver a great host of benefits. Moreover, it’s a convenient solution for remote employees.

What is On-Premises?

On-premises is another choice available for unified communications. In this platform, the software is hosted at an individual’s site. It means maintaining and monitoring as well as building the infrastructure of the site becomes the responsibility of the individual who’s hosting the site.

In this communication model, the communication solution is an operating cost versus a capital expense. In addition to building and maintaining everything, people have to self-manage their system’s hardware as well. In the majority of the cases, the only benefit of this solution is access to the software which remains available on-site.

Advantages & Disadvantages of UCaaS Vs On-Premises

There’s a wide range of benefits of Unified Communications but it all depends on the platform where it’s hosted. To truly understand the pros and cons of UCaaS and on-premises, it’s important to dive deep into their features.

The advantages and disadvantages of UCaaS and On-premises are as follows:


Control Over Configuration

When it comes to on-premises unified communication, people who host it, own the system. It means they will have the entire control over their configurations. It can be appealing to a lot of people but it requires a professional’s assistance to play the role of IT in order to maintain the software, hardware updates, and overall infrastructure.

UCaaS is an application that is owned and maintained by a professional provider. Since they’re hosting the platform, everything comes under their prime responsibility in terms of maintaining the system upgrades. Speaking of its control over configuration, businesses will have a certain level of control with the admin panel.


When it comes to pricing of the unified communications, UCaaS wins. Since it’s a cloud-based technology, it doesn’t require the cost of hardware like servers. People will only pay a monthly subscription fee based on the features and the number of users they choose. It’s attractive for small business owners as the investment remains minimal.

Alternatively, in on-premise platforms, it requires an initial expense to purchase the hardware. On top of that, it requires IT support to be on the payroll to maintain the system upgrade and the infrastructure. The overall monthly cost will depend on the type of maintenance required for the servers.


In terms of scalability, the features of UCaaS are more flexible than the features of on-premises. In on-premises platforms, it’s pretty difficult to add on new users and it requires an expert’s knowledge and effort to do these simple tasks. In case anyone needs to ramp up fast, they will find several roadblocks in the on-premises system.

However, scaling with UCaaS is the most simple task. It doesn’t require the knowledge of IT to conduct simple procedures. As everything is hosted in the cloud, admins can easily add new users in a matter of a few minutes.


UCaaS has no limitations in terms of accessing its features. This is why a lot of businesses have shifted to UCaaS from on-premises especially after the remote work started due to the global pandemic. All users can easily log into the UCaaS platform using their smartphones or desktop regardless of where they’re located.

Nevertheless, on-premises have some restrictions in terms of accessibility. People need to be physically present in the location in order to access the features. At the most, they can only forward the calls but this doesn’t provide the optimal solution to remote workers.

UCaaS Vs On-Premises: Which One is a Clear Winner?

In terms of flexibility, scalability, pricing, security, and accessibility UCaaS clearly wins the race. It would be a smart move for your business to migrate to UCaaS in order to grow it to the fullest.

Still, it can be confusing to choose the best UCaaS service provider as not all of them will offer the same benefits. You can consider reading the in-depth analysis by UCaaS Review to know the pros and cons of different service providers. It’ll help you make the best decision.