Cloud computing has quickly become a standard part of modern business IT. Put simply, instead of storing data or running software on a single physical computer or server, cloud computing lets you do it all online.
That might mean using applications over the internet, backing up files to secure remote servers, or accessing powerful computing resources without needing your own hardware.
But while the cloud opens up big opportunities, the way you use it matters. There’s no single “right” cloud setup. Businesses have different needs depending on their size, industry, systems, and growth plans.
Two of the most common approaches are multi-cloud and hybrid cloud. At first glance they can sound similar, but they solve very different problems. In this guide, we’ll break down the difference between the two and help you understand which might suit your business best.
At DMS Group, we support UK businesses in making confident decisions about cloud adoption. From strategy and setup to ongoing support, we make cloud services clear, secure, and cost-effective.
What Is the Cloud?
Think of the cloud as a network of high-powered servers that you can access over the internet. Instead of running everything from your office computer or keeping physical files on-site, the cloud lets you store data, run software, and manage operations remotely, with added speed, security, and flexibility.
There are three main types of cloud setups:
Public cloud, where you access services provided by large companies like Microsoft, Google, or Amazon.
Private cloud, which offers dedicated infrastructure tailored to your business.
Hybrid cloud, which combines both public and private elements.
In practice, using the cloud might look like backing up your company files off-site, hosting a website using scalable resources, or running your accounting system through an online subscription service. It gives you room to grow without the hassle of maintaining hardware.
What Is Hybrid Cloud?
A hybrid cloud setup brings together both private and public cloud systems into a single environment. The two parts are connected and designed to work together, giving your business more flexibility while still retaining control where it matters.
For example, you might store sensitive customer data in a secure private cloud while using public cloud tools for handling temporary spikes in demand, like processing high website traffic or running seasonal promotions.
The benefit of this approach is balance. You get the reassurance of dedicated infrastructure for everyday operations, with the added power of public cloud resources when you need them. It’s particularly useful for businesses with specific compliance requirements, or those that are gradually moving from traditional on-premise systems.
The drawback is that hybrid cloud solutions need to be planned carefully to ensure smooth integration. Without the right setup, you might run into performance inconsistencies or extra management overhead.
What Is Multi-Cloud?
Multi-cloud means using two or more different cloud service providers to run separate parts of your IT setup. For example, you might use AWS for data storage, Microsoft Azure for business apps, and Google Cloud for machine learning tools, each chosen for their strengths.
Unlike hybrid cloud, the different services in a multi-cloud model don’t necessarily need to work together in one joined-up system. The idea is to avoid relying too heavily on a single provider, and to take advantage of the best tools available from each one.
The benefit of a multi-cloud approach is flexibility. You’re not locked into one ecosystem and can tailor your cloud setup to the exact needs of different departments or projects.
The challenge is complexity. Managing multiple vendors, contracts, and platforms can quickly become time-consuming without the right support. It also increases the risk of miscommunication, security gaps, or duplicated costs if not handled properly.
Key Differences Between Hybrid Cloud and Multi-Cloud
Architecture and Setup
The biggest difference between hybrid cloud and multi-cloud lies in how they’re structured.
A hybrid cloud is a tightly integrated setup where public and private cloud environments are designed to work together. There’s communication between them, and data or workloads can move back and forth depending on your needs. This setup typically involves a private cloud or on-premises infrastructure working in sync with public cloud services.
In contrast, a multi-cloud approach involves using two or more different public cloud providers, each for separate tasks or departments. These services often run independently and don’t necessarily need to interact with each other. For example, a business might use Microsoft Azure for office productivity tools and AWS for data analytics.
Use Cases and Business Goals
A hybrid cloud model is a strong fit for businesses that:
Work in regulated industries where data needs to stay within certain environments.
Still rely on legacy systems that can’t be fully moved to the cloud yet.
Need to gradually modernise without committing to a full-scale migration from day one.
Multi-cloud, on the other hand, is often used by businesses that:
Want to avoid relying too heavily on a single provider.
Need high performance or specialised services across different departments.
Operate globally and want to reduce latency by using providers closer to specific regions.
The right choice depends on what you want to achieve, and what your current setup looks like.
Management Complexity
Hybrid environments tend to require deeper integration. Systems must talk to each other, and the movement of data between private and public clouds needs to be well coordinated. This can add complexity but also gives you a joined-up environment where everything is designed to work as one.
Multi-cloud setups bring a different kind of complexity. Each platform comes with its own dashboard, billing system, security settings, and support structure. Without a clear management strategy, you risk duplication, wasted spend, or inconsistent experiences across services.
Security and Compliance
If data privacy or regulatory compliance is a concern, hybrid cloud often provides greater control. Sensitive information can stay in the private cloud or on-premises, while less critical workloads make use of the public cloud’s flexibility.
In a multi-cloud setup, you’ll need to apply consistent security and compliance policies across different vendors, which isn’t always straightforward. Different providers may have different interpretations of GDPR rules or data hosting standards. Managing this effectively takes careful planning and ongoing monitoring, especially if you're handling personal or sensitive data.
Benefits and Challenges of Hybrid Cloud
Benefits
Hybrid cloud offers a practical middle ground for many businesses. It allows you to run essential day-to-day operations in a secure, private environment, while still taking advantage of public cloud services when needed.
This setup is ideal for phased migrations, where you want to test and move workloads gradually rather than all at once. It also gives you more control over your IT while keeping costs down by offloading short-term or intensive tasks to the public cloud.
You’ll also benefit from having a tailored, personal approach to support if you're using a private cloud provider like DMS Group, rather than relying solely on global tech giants.
Challenges
The flexibility of hybrid cloud comes with the need for careful planning. You’ll need to make sure systems are properly integrated and that data can move seamlessly between environments.
Without the right setup, there’s a risk of inconsistent performance or duplicated infrastructure. Monitoring and managing both private and public resources can also be tricky if you don’t have a clear strategy in place.
Benefits and Challenges of Multi-Cloud
Benefits
A multi-cloud strategy gives you the freedom to pick the best provider for each job. That might mean choosing one platform for its security features, another for scalability, and a third for cost efficiency.
It’s a great way to avoid vendor lock-in and negotiate better pricing or performance. If one provider experiences downtime or a service issue, you’ve got options. It also helps you stay competitive by adopting new tools or platforms as they become available.
Challenges
Managing multiple providers means juggling different systems, contracts, and interfaces. Without strong oversight, it’s easy to lose visibility or end up with data silos where teams aren’t on the same page.
Security is another key challenge. Each provider will have their own standards, and if those aren’t aligned across your setup, you might face risks around compliance, access control, or data loss.
How to Choose Between Hybrid and Multi-Cloud
Assessing Your Current IT Setup
The best starting point is understanding what you already have in place. If your business is still using legacy systems or you’ve already invested in some private cloud infrastructure, a hybrid cloud model may offer the smoothest transition. It allows you to retain control over core systems while introducing new cloud capabilities gradually.
On the other hand, if your business already relies heavily on SaaS platforms or operates across multiple departments with different needs, a multi-cloud setup could provide the flexibility and performance you’re looking for. It’s a good way to avoid bottlenecks and assign the right provider for each task.
Business Priorities and Risk Tolerance
When deciding between the two, it helps to ask: what matters most to your business?
If control, compliance, and stability are at the top of your list, hybrid cloud gives you a more structured, integrated environment with tighter oversight.
If flexibility and speed are bigger priorities, multi-cloud allows you to test and scale with fewer long-term commitments. However, this often comes with more complexity and requires a higher tolerance for managing change.
Scalability, Cost, and Long-Term Goals
Think about your growth plans. Do you expect regular spikes in demand that require large amounts of processing power for short periods? A hybrid setup might let you handle the everyday in-house while outsourcing the surges to a public cloud provider.
If predictable monthly costs and access to cutting-edge tools are your focus, multi-cloud can help spread spend across providers while offering access to new features and services as they emerge.
Ultimately, the right decision depends on a mix of current infrastructure, business priorities, and your appetite for flexibility versus control.
How DMS Group Supports Hybrid and Multi-Cloud Strategies
Tailored Cloud Solutions for UK Businesses
At DMS Group, we specialise in delivering cloud services that match your business, not the other way around. Whether you're exploring public cloud, private cloud, or a hybrid setup, we help you identify the right blend for your needs.
We work closely with UK SMEs and enterprises to understand compliance requirements, industry-specific pressures, and long-term goals. Our cloud services are never off-the-shelf, they're designed to support real-world operations with simplicity and clarity.
Full Visibility, One Point of Contact
With DMS, there’s no need to juggle multiple vendors, platforms, or support desks. We act as your single point of contact, handling infrastructure, updates, security, and support under one roof.
You’ll benefit from centralised visibility, making it easier to track usage, manage spend, and scale resources when needed, all without the confusion of multiple dashboards and service contracts.
Support for Cloud Migrations and SaaS Deployments
If you’re thinking about moving to the cloud or switching providers, we’ve got you covered. Our team provides end-to-end migration support, from initial scoping and planning to hands-on deployment and post-migration care.
For businesses using or exploring SaaS tools, we can also help with selection, configuration, and integration, ensuring your software is aligned with your workflows and your cloud setup.
You can also streamline your setup with DMS One, our monthly bundled solution that brings together hardware, software, and services in one cost-effective package.
Multi-Cloud vs Hybrid Cloud FAQs
What’s the main difference between hybrid cloud and multi-cloud?
Hybrid cloud combines private and public cloud environments that work together as one system. Multi-cloud uses several separate cloud providers, often for different tasks, without necessarily integrating them.
Can a business use both hybrid and multi-cloud together?
Yes. Some businesses combine a hybrid setup for core operations with additional public cloud services from multiple vendors. This approach is more complex but offers flexibility across departments or regions.
Is one option more secure than the other?
Both models can be secure if set up and managed properly. Hybrid cloud may offer more direct control over sensitive data, while multi-cloud requires strong governance to maintain consistent policies across providers.
What’s better for a growing SME, hybrid or multi-cloud?
It depends on your goals. Hybrid cloud suits SMEs that want to modernise gradually or keep tight control over operations. Multi-cloud is often chosen by SMEs with fast growth plans, multiple services, or a desire to avoid vendor lock-in.
How does DMS Group help businesses choose the right cloud setup?
We start by understanding your current infrastructure, operational needs, and compliance requirements. From there, we recommend the best mix of services and handle everything from planning to support, so you can focus on running your business.
