Private cloud is the phrase used to describe a cloud computing platform that is implemented inside the corporate firewall, under the control of the IT department. As with other cloud models, private clouds will provide computing power as a service within a virtualized environment using an underlying pool of physical computing resource. However, under the private cloud model, the cloud (the pool of resource) is only accessible by a single organization providing that organization with greater control and privacy.
The benefits of the private cloud are clear - you get added flexibility and easy access to resources, while still maintaining full control of compliance and security.
Businesses all over the world are implementing private clouds to amplify the benefits of virtualization and increase agility. Automating repetitive tasks lets you reduce errors and increase speed. The additional security offered by the cloud model is ideal for any organization, including enterprise, which needs to store and process private data or carry out sensitive tasks.
For example, a private cloud service could be used by a financial company that is required by regulation to store sensitive data internally and who will still want to benefit from some of the advantages of cloud computing within their business infrastructure, such as on demand resource allocation.