Public clouds services can implement a certain level of security but private clouds - using methods such as distinct pools of resources with access restricted to connections made from behind one organization’s firewall, dedicated leased lines and/or on-site internal hosting - can ensure that operations are kept out of the reach of prying eyes.

As a private cloud is only accessible by a single organization, that organization will have the ability to configure and manage it inline with their needs to accomplish a tailored network solution. However, this level of control removes somes the economics of the public clouds by having centralized management of the hardware.

Implementing a private cloud model can improve the allocation of resources within an organization by ensuring that the accessibility of resources to individual departments/business functions can directly and flexibly respond to their demand. Although they are not as cost effective as a public cloud services due to smaller economies of scale and increased management costs, they do make more efficient use of the computing resource than traditional LANs as they minimize the investment into unused capacity.

Even where resources (servers, networks etc.) are hosted internally, the making of virtualized operating environments means that the network is more robust to individual failures across the physical infrastructure. Virtual partitions can, for example, pull their resource from the remaining unaffected servers. In addition, where the cloud is hosted with a third party, the organization can still benefit from the physical security afforded to infrastructure hosted within data centers.