Why businesses are shifting from cloud to on-prem amid the agent boom
Businesses are increasingly moving AI workloads from the public cloud back to on-premises infrastructure due to rising costs associated with cloud services, particularly for AI and GPU-intensive operations. The shift is driven by high recurring expenses from data transfer fees and API calls, which become significant at scale. As AI agents grow more complex and persistent, companies are adopting hybrid models to maintain control over costs and infrastructure.
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Pro Why businesses are shifting from cloud to on-prem amid the agent boom Opinion By Michael Jin published 30 April 2026 As AI becomes more embedded, it may be a cost burden for businesses When you purchase through links on our site, we may earn an affiliate commission. Here’s how it works. (Image credit: Getty Images) Copy link Facebook X Whatsapp Reddit Pinterest Flipboard Threads Email Share this article 0 Join the conversation Follow us Add us as a preferred source on Google Newsletter Subscribe to our newsletter Offering speed, flexibility, and the ability to scale without heavy upfront investment, the public cloud has for years been the model of efficiency.
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