The choice between an on-premise (local) and a cloud deployment is one of the first decisions facing any organization that buys a Mobile Device Management (MDM) system. Each model has its strengths and weaknesses, and the option you choose should be closely tied to the individual needs, capabilities, and regulatory requirements of your particular company. Before we turn to the comparison, it is worth looking at the broader market context.

On-premise and cloud market trends: what are companies choosing today?

The IT solutions market has been shifting toward the cloud for years, although this does not mean the local model is disappearing. According to Gartner, global public cloud spending is set to reach almost USD 1.48 trillion by 2029. Eurostat, in turn, reports that in 2025 some 53% of enterprises in the European Union purchased cloud services, with large organizations (85%) drawing on them far more often than the SME sector (52%).

The growing importance of the cloud is accompanied by interest in the hybrid model. Gartner forecasts that by 2027, 90% of organizations will combine the public cloud with on-premise infrastructure or a private cloud. There is also movement in the opposite direction, namely so-called cloud repatriation: according to the IDC European Cloud Survey, around 14% of companies are moving some of their resources back to local environments, citing cost (42%) and regulatory compliance (38%) as the main reasons. The direction for the coming years is therefore not ‘cloud instead of on-premise,’ but a deliberate combination of both models.

Similar tendencies can be observed in the MDM market, with one caveat: publicly available sources do not provide a precise numerical breakdown of MDM deployments into cloud and local. Independent analyst firms (Grand View Research, IMARC) nevertheless agree that the cloud model accounts for the largest share of the market. The on-premise segment, meanwhile, is not only holding steady but is expected to grow, driven by security, compliance and data privacy requirements.

On-premise MDM – full control within your own infrastructure

An on-premise MDM deployment involves running the system in the company’s local IT environment: on its own servers, within its network, and under its sole control. The organization invests in its own infrastructure but, in return, can configure and optimize it freely for security, gaining privacy and independence from vendors and third parties. It is also responsible for managing, servicing, and securing the hardware and software itself.

Advantages of an on-premise MDM deployment

Full control over device data

In the local model, the entire body of fleet information gathered by the MDM (including the register of devices and users, security policies, location data, the list of installed applications, and audit logs) remains on the organization’s servers, within its network. Physical control over this data rests with the administrator.

Integration with internal IT infrastructure

An MDM server operating within your own network connects more securely to local systems without exposing them externally. The company also decides on the update schedule itself. For organizations working in closed networks (in defense or critical infrastructure), a local MDM is sometimes the only permissible option, because cloud solutions are inherently unable to operate in full isolation.

Independence from the provider and business continuity

In the on-premise model, the availability of the MDM server and console does not depend on the condition of an external service provider or on unilateral changes to the terms of service. When problems arise on the cloud provider’s side – an outage, a service interruption, a contractual dispute, or restrictions resulting from sanctions or geopolitical tensions – the administrator of a local MDM retains full access to the system and the ability to manage the fleet.

Predictable cost with a large fleet

The local model is based on a one-time investment in infrastructure and an MDM license rather than on a recurring per-device subscription. With large, stable fleets, the total cost of ownership (TCO) over the long term can be lower than the sum of monthly subscriptions. Leasing or colocating servers can further reduce the cost of maintaining your own server room.

Limitations of an on-premise MDM deployment

The need to maintain and secure the infrastructure

A local MDM requires its own servers, database, and the skills to run them. Full control also means full responsibility: updates, patching vulnerabilities, and monitoring the server all rest with the organization.

Longer deployment time

Before an administrator can start managing devices, they must prepare the environment, install and configure the software, and secure the server. This takes more time than launching a service in the cloud.

Limited scalability

An on-premise MDM requires infrastructure matched to the company’s needs. As the organization grows, the existing environment may prove insufficient and require expansion – a costly and time-consuming process that can sometimes become a barrier to further growth.

Cloud MDM – a fast start and flexibility

Cloud MDM is based on external, virtual resources made available as an online service. The organization does not incur one-time outlays on building its own environment, operating it, or expanding its IT team, and it can scale resources according to current needs. In practice, many cloud MDM systems run in the SaaS (Software as a Service) model, in which the provider maintains both the software and the infrastructure, and the company uses the console through a browser.

Advantages of a cloud MDM deployment

Low initial cost

The cloud version of MDM is a good solution for new companies that do not yet have their own IT infrastructure, do not process critical data, and for which building a data center would be disproportionate to their needs at this stage. Per-device subscription billing removes the investment in hardware and ties the cost to the actual size of the fleet. This is particularly beneficial for smaller organizations and startups with a limited budget and an uncertain growth trajectory.

Instant deployment and no maintenance

A cloud MDM allows the environment to be launched far faster than an on-premise solution. The organization does not have to track the release cycles of system vendors – the provider updates the platform itself and keeps it compliant with the annual changes in iOS and Android, while also ensuring the availability of the service.

Flexible fleet scalability

Expanding fleet management comes down to purchasing additional licenses. Resources can be scaled up just as easily as they can be scaled down, which makes the cloud a natural environment for fast-growing companies or those with a fluctuating number of devices.

Management from anywhere

The console is accessible from a browser anywhere, which suits the realities of distributed and remote work and the BYOD model. The administrator enrolls, configures, and diagnoses devices without having to connect to the company network.

Limitations of a cloud MDM deployment

Vendor lock-in

Dependence on the provider, so-called vendor lock-in, is a limitation of cloud MDM. Financial difficulties, changes in service policy, or technical problems on the provider’s side can restrict access to the console and the ability to manage the fleet. Migrating to another platform usually requires re-enrolling devices and recreating policies and configurations, and exporting fleet data while preserving its structure is not always straightforward.

Rising cost at large scale

Over the long term, cloud MDM can prove more expensive than a local one. Because billing is subscription-based and charged per device, with an extensive fleet and multi-year use the total of subscription fees may exceed the one-time cost of an on-premise deployment. The larger and more stable the fleet, the more clearly the numbers begin to favor the local solution.

Cloud vs on-premise – a comparison of MDM deployment models

Criterion	On-premise MDM	Cloud MDM (SaaS)
Control over data	Full – data stays within the company network	Partial – data held by the cloud provider
Deployment time	Longer – requires infrastructure configuration	Short – ready to use once you have signed up
Initial cost	Higher (investment in infrastructure and license)	Lower (investment in license)
Long-term cost	Can be lower (no recurring fees)	Can be higher at large scale
Scalability	Limited by your own infrastructure	High and flexible

Is there a universal recommendation for every company?

There is no rule that points to the best solution for every organization – each advantage of one model tends to be a disadvantage of the other. That is why the choice of an MDM system should be preceded by a stage of analyzing your business and technological needs and your chosen direction of growth. The practice of the largest companies shows that sensible diversification works best: it is worth using the cloud, but according to a well-thought-out plan, not across all resources, and with clearly defined objectives.

What else is worth keeping in mind?

Backups. Companies that handle critical data should maintain local backups. Even with a cloud deployment, this requires a certain investment in your own infrastructure.
Real control over data. When you use the cloud, you do not own the infrastructure and have limited influence over where the data is processed and how quickly it can be restored after a failure. Contractual penalties and guaranteed SLAs reduce this risk but do not eliminate it.

Which MDM deployment model should you choose?

Choose cloud MDM if:

you want the system up and running quickly,
you do not want to invest in your own servers and their upkeep,
you prioritize the mobility of the software,
you want constant, immediate access to the latest features.

Choose on-premise MDM if:

you prioritize the highest level of data security,
you want to retain full control over the system and resources,
you want to configure the infrastructure, permissions, and availability yourself,
you do not want to burden your budget with fixed subscription fees.

What will you choose: cloud or on-premise?

Test the system

two phones side by side, view of screens with application icons

Summary

The choice between on-premise and cloud MDM is not a choice of the ‘better’ deployment model, but of the model better suited to the sensitivity of your data, your regulatory requirements, and the capabilities of your IT team. The cloud wins on speed of start-up, flexibility, and a low barrier to entry; on-premise wins on full control, data sovereignty and predictable cost at large scale.

FAQ

Does MDM work without internet access?

Not fully. Devices retain their existing policies in offline mode, but new configurations and actions such as a remote lock or wipe are carried out only once the device is online again. Regardless of the deployment model, communication with devices also relies on the Apple (APNs) and Google (FCM) notification services.

Can you later switch the deployment model from cloud to on-premise (or vice versa)?

Yes. Many organizations start with the cloud and, as they scale or as regulatory requirements change, move to on-premise. It is worth choosing a provider that offers both models and supports migration, so that the change does not mean losing the data and devices already deployed.

From what fleet size is it worth considering on-premise?

There is no fixed threshold. On-premise is most often justified by regulatory requirements, critical data, or a stable fleet, for which a one-time investment can be cheaper than a subscription.

Originally published: March 30, 2023

Updated: July 20, 2026