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Cloud-Native vs. Cloud-Based Application : Which Is Best for Business Growth in 2026?

Summary: Choosing between cloud-based and cloud-native apps depends on the specific requirements. Both have their pros and cons, but they also offer significant benefits. In this blog, we’re going to examine both cloud-based and cloud-native approaches from different perspectives, discussing the core points.

Over countless espresso-fueled brainstorming sessions, our development team often debates: “Cloud-Native vs. Cloud-Based — which delivers better performance and business value?” The cloud today is far more than a remote server. It’s the engine driving digital transformation, scalable application development, and business innovation. In this article, we examine how both cloud-native and cloud-based strategies are redefining the way enterprises build, deploy, and grow in 2026.

According to Flexera’s 2025 State of the Cloud Report, enterprises are leveraging cloud to scale effectively while managing cost. Another study by Fortinet claims that 78% organizations are opting for multi and hybrid-cloud strategies.

But the question remains there- “Cloud Native vs Cloud-Based?” Which one to choose?

These two terms often confuse users, leaving them feeling stuck during the most critical hours. Likewise, if you’re also facing this situation, this blog will be your entry ticket to the knowledge trove of cloud-native and cloud-based applications.

By the end of this blog, you will have the answer to this: “Cloud Native vs Cloud-Based— which one is best for my business?”

What is a Cloud Native Application?

According to IBM, cloud-native applications are homegrown, developed from scratch to meet specific requirements. These applications are developed to be scalable, flexible, and resilient, which makes them ideal for modern SaaS development.

Mainly designed to take the full advantage of the intricate characteristics of cloud technology and the cloud native apps that are developed using the microservices architecture. This makes the change procedure easy for specific modules without affecting performance or causing application downtime.

Cloud-native application examples: Include the Renowned streaming platform Netflix and the global app-based cab-hailing service Uber, which are implementing cloud-native services. The architectural system allows them to grow rapidly, while instantly updating the small areas of live complex applications.

What is a Cloud-Based Application?

Cloud-based applications, or cloud apps, are software programs that operate on remote servers. These apps can be accessed over the internet and leverage cloud computing services, such as computing power and storage, to provide services.

The key characteristics of cloud-based apps are as follows-

• Scalability – Based on demand, it can scale resources up or down.
• Accessibility – Cloud-based apps can be accessed from anywhere with an internet connection.
• Maintenance – A cloud service provider manages and updates the application regularly.
• Cost Efficiency – You can use these services through a pay-as-you-go model.

Key Differences: Cloud-Based Vs. Cloud Native Applications

After reading the meaning of Cloud-Based and Cloud Native Applications, you may wonder what really sets them apart. Well, we’ve got you covered. Let’s dive into the core distinctions that you use to develop your cloud application:

1. Architecture

Cloud-based applications are used for legacy applications that depend on tightly coupled systems. If you want to modify a single component, you should make changes across a broad section of code. This slows the work process and overall innovation.

On the contrary, cloud-native applications are designed to run smoothly across various cloud environments. These separate functionalities into independent services that assist in bridging the communication gap via APIs. Therefore, the innovation cycles are faster.

2. Scalability

Cloud-based applications scale vertically. As a result, various performance hindrances and inefficiencies can be witnessed.

On the other hand, cloud-native applications scale horizontally by automatically spinning up new instances across cloud resources. This approach delivers limitless elasticity.

3. Resilience

Cloud-based technology depends on centralized servers and may require manual recovery. Also, the failures may compromise uptime.

On the contrary, cloud-native based apps are resilient. They distribute workload across nodes, containers, and other cloud providers. Also, there is no chance of failure, as orchestration tools like Kubernetes can replace it.

According to National CIO Review, 90% of companies will adopt cloud-native networking by 2027 due to its multiple benefits.

4. Security

Cloud-based systems rely on manual configurations, while security measures focus on network parameters, which may be insufficient for modern-day, distributed, API-driven environments.

On the other hand, cloud native applications can be integrated directly into the SDLC. This ensures automated patching, continuous monitoring, and real-time threat detection.

5. Performance

Cloud-based systems depend on traditional monitoring scripts. On that note, scaling decisions may be made reactively once bottlenecks appear.

Conversely, cloud-native technologies continuously monitor performance, automatically adjust, and distribute workloads. Therefore, the developers gain visibility through meaningful orchestration that ensures optimal usage.

6. Storage

Cloud-based applications depend on older relational databases that are simply hosted in the cloud. These architectures may struggle to support real-time analytics or AI workloads.

On the other hand, cloud-native applications can use distributed data storage systems such as Google Cloud Storage, AWS S3, or Azure Blob Storage. These services can replicate data automatically, while enabling portability across multiple providers.

7. Disaster Recovery

Cloud-based systems rely on manual restore processes and backup snapshots. This may be risky and slow.

Conversely, cloud native apps automate repetitive work through distributed replication. Recovery point objectives and recovery time objectives are minimized.

Cloud-Based Vs. Cloud Native Applications: Quick Comparison

Time to see the difference at a glance — here’s a quick comparison between Cloud-Native and Cloud-Based applications

Cloud-Native vs. Cloud-Based: The Core Technologies You Need to Know in 2026

Multiple technologies are used in Cloud-based and Cloud Native environments to ensure a seamless app experience for end users. In the following paragraphs, we will discuss various technologies used for both Cloud Native and Cloud-based Applications.

Cloud Native Technology Stack

This unique software development method is used to maximize the benefits of cloud computing. The blend of software development ideas with DevOps techniques makes this a unique process. A microservice architecture is used to create applications and deploy them on platforms with dynamic orchestration. This enables the creation of business applications.

Applications developed using cloud native application architecture are reliable. It delivers scale and performance, allowing brands to get to market faster.

1. Microservices

These are discrete, tiny pieces of independent software that work together to develop complete cloud-native applications. Microservices interact with each other as they’re loosely connected. At Technource, we work on individual microservices, which allow our developers to modify the code. Therefore, the applications run smoothly even if the microservice stops working.

2. Containers

These are the most minor compute units in cloud-native systems, as they’re software components that bundle microservice code. Cloud Native apps can run independently by containerizing microservices.

Software developers deploy cloud-native applications on-premises or in hybrid clouds. Developers use containers to package microservices with all the scripts, libraries, and resource files that the main application needs to function correctly.

3. Continuous Delivery

Suppose you’re developing a mobile application for one of your clients that supports cloud-native architecture. This is known as CD or continuous delivery. Development teams ensure that microservices are always ready for cloud deployment and then deploy them using CD.

Let’s take the example of Netflix. Since its inception, Netflix has been expanding its streaming services every day. However, this renowned brand faced the challenge of scaling its streaming services. The development team has tested traditional software delivery methods, but those have not been working.

Netflix adopted a microservice-based cloud-native architecture in tandem with DevOps practices. They performed the key initiatives, including-

• CD or Continuous Delivery – Automated CD pipelines enable rapid code deployments.
• Real-Time Monitoring – By using internal observability platforms, the development team ensured real-time monitoring.
• System Resilience Test – The team introduces multiple tools to cause failures within the system. This enables them to check system resilience.

The results are satisfactory-

• Achieved better uptime for streaming services.
• The deployment time got reduced from days to minutes.
• Improved system scalability and reliability.

4. Continuous Integration

Integrating changes into a shared codebase is now easier with the software development method known as continuous integration (CI). Quicker assessment and problem resolution make development more effective. It gives development teams greater confidence when introducing new features, as it automatically evaluates code.

5. DevOps

This helps in operations and development to work together effectively. It complies with the design philosophy that supports cloud-native architecture. For example, if you’re developing a SaaS application, you can shorten the development lifecycle by using DevOps principles.

Cloud-Based Technology Stack

To develop a cloud-based application, multiple cloud technologies must be adopted to ensure a seamless app browsing experience.

• Google Cloud Platform – This is known for robust data analytics, artificial intelligence capabilities, and machine learning. GCP offers cloud computing, including networking, storage, and big data solutions to support efficient application development.
• AWS – This offers various services from storage to advanced technologies like AI and ML. AWS enables businesses of all sizes to access enterprise-grade resources. The global infrastructure ensures quick availability with low latency.
• IBM Cloud – This combines the quality of traditional architecture with the efficiency and flexibility of cloud computing. IBM Cloud offers robust services, including blockchain, AI, and quantum computing, making it a powerful platform for enterprises that want to drive innovation.
• Salesforce Cloud – This specializes in CRM or customer relationship management solutions, offering cloud-based software that enables businesses to manage sales, marketing, customer service, etc.
• Microsoft Azure – This is one of the renowned cloud technologies that provides a thorough solution for developing, testing, and managing applications through Microsoft-managed data centers. Azure supports seamless integration with other Microsoft products.

Use Cases of Cloud Native & Cloud-Based Applications

Both cloud-native and cloud-based solutions cater to multiple industries based on the given scenarios. From healthcare to retail, sectors are booming with the adoption of cloud-native and cloud-based applications.

Use Cases of Cloud Native Applications

Cloud-native applications are used across multiple sectors, including e-commerce, financial services, and healthcare.

• e-Commerce – Cloud native applications enable platforms to scale automatically to handle traffic during peak shopping events. This ensures a smooth customer experience.
• Healthcare – Cloud native based applications enable secure access and better coordination of patient data, while facilitating the development of data-intensive medical imaging apps.
• Financial Services – Banks apply cloud native architectures for real-time fraud detection, while securely managing sensitive data.

Use Cases of Cloud-Based Applications

Cloud-based applications are mainly used for backup, data storage, and disaster recovery. This enables remote access and data protection.

• Data Management – Store large chunks of data, pictures, and videos remotely in a cost-effective and scalable environment.
• Software and Development – Host applications and websites, which handle millions of users by easily scaling resources.
• AI & ML – Cloud platforms provide high-performance computing power and GPU-based environments ideal for training complex AI and ML models.
• IoT – The cloud serves as the backbone for IoT ecosystems by connecting, monitoring, and managing thousands of smart devices in real time. From smart homes to industrial automation, cloud-based IoT development solutions ensure seamless communication, data synchronization, and analytics across devices—enabling smarter, more connected operations worldwide.

Cloud-Native vs. Cloud-Based: Pros and Cons Explained

Both sets of advantages of cloud-based, cloud-native applications enable organizations to deliver effectively to clients. However, the disadvantages include creating a bottleneck and slowing development progress. We’re going to share the pros and cons based on our experience that we gained during the development procedure:

Cloud-Native Benefits: Smarter, Faster, Scalable

Organizations gain operational benefits once they start leveraging cloud-native software applications. Here’s how-

1. Enhanced Efficiency

Cloud-native development includes continuous delivery and agile practices, such as DevOps. Developers use cloud services, automated tools, and a modern design culture to build scalable applications rapidly.

2. Scalable Application Development

Cloud native technology enables companies to develop resilient applications. Besides, feature updates don’t cause downtime, and brands can also scale up the resources during the peak seasons. This ensures a positive customer experience.

3. Cost Reduction

Once companies adopt a cloud-native approach, they don’t need to invest in costly physical maintenance infrastructure. Therefore, the results are evident in long-term savings. Not only from the company side, but the cost savings can also benefit the client’s side.

Cloud Native Limitations You Should Know

Well, you may think that there are only benefits that can scale your business. However, the disadvantages can also be hindrances. Here you go-

1. Technical Risk

If the cloud storage settings aren’t changed, it can lead to potential data loss, security breaches, and service outages.

2. Incomplete Data Encryption

Encrypting data is pivotal in cloud-native applications to protect sensitive information. If you rely on outdated data algorithms, it may lead to incomplete data encryption. Moving forward, the data will be prone to risk.

3. Container Tool Misconfiguration

Container orchestration tools play a critical role in container deployment and scaling. However, these tools have their own set of risks, including misconfiguration and communication issues.

4. Need Extra Tool Sets

Traditional monitoring structures need to be replaced in cloud-native applications with additional tool sets. Besides, DevOps pipelines are required to control microservice architecture.

5. Facilities Rapid Development

As cloud-native applications facilitate rapid development, some organizations may struggle to keep up.

The Power of Cloud-Based Applications: Key Benefits

There are multiple valid reasons why organizations are choosing cloud-based applications. Here is why-

1. Data Insights

You cannot undermine the importance of data. Most businesses generate a large volume of data daily, unlocking significant scalability opportunities. However, many enterprises may not be able to leverage complex analytical insights. On that note, cloud-based applications are the better option with limitless storage. Also, these apps can provide analytical capabilities to support data-driven decision-making.

2. Scalability

Irrespective of the business size, the cloud-based apps offer businesses unparalleled scalability. This allows the business to scale up or down based on the requirement. Without investing heavily in software, hardware, or licensing, cloud-based apps can help an organization become more agile.

3. Seamless Collaboration

Consider the cloud as a boon when it’s time for collaboration. Sharing and accessing critical information across teams can be possible in real time. Therefore, driving efficiency is no longer difficult! Besides, the number of errors has been reduced, and the decision-making process fosters productivity.

4. Cost-Effective

Irrespective of the cloud services deployment type, there is always a chance of having resources. Therefore, it reduces complexity and allows board members to make data-driven decisions when needed.

5. Enhanced DevOps

The primary benefit of DevOps is to increase the pace and quality of innovative solution deployments. Also, the ability to add new functionality while maintaining stability is a core reason organizations are moving to the DevOps model.

Challenges You May Face with Cloud-Based Applications

Like cloud-native applications, cloud-based ones also have their own set of cons. Here you go-

1. Internet Reliability

Users save crucial files offline so that they can access them later. In cloud-based systems, it’s not possible, as users have to be online to access the files.

2. Control Limitation

Once the user moves data to the cloud, the vendor can easily access it. This indicates that users should rely on vendors to maintain their services safely and securely. This limits the data influence, and all the dependencies are left on the storage vendor.

3. Cost

Although cloud-based applications are cost-effective, they may not be available for short-term projects. For example, if a user needs an application for 6 months, he/she may not be able to afford the cost of extending it for that long.

4. Data Management

Despite having its own organizational systems, managing data may cause a nightmare. A system used by a cloud vendor may not work for the store manager.

Cloud-Native vs. Cloud-Based: Surprising Facts You Didn’t Know Yet

From initial configurations to codebase, there are a few things you’re not familiar with to develop robust and scalable applications. Here you go-

Key Factors Driving Cloud-Native Application Development

If you want to develop cloud native apps that fit perfectly with cloud development, you must consider the following factors-

1. Configurations

These are the application credentials, which should be accurate to ensure a seamless deployment. These credentials are stored independently of the application source code, enabling developers to external and multiple deployments.

2. Codebase

This is a source code repository and can be tracked in the version control platform. However, it should be shared for multiple deployments to eliminate the need to develop similar functionalities.

3. Processes

Native-based applications should run without any data connectivity. Also, the processes vary depending on the case. Additionally, it helps distribute the load among multiple processes, simplifying load balancing.

4. Admin Processes

This factor suggests that not putting the same tasks, such as cache rest, database updates, and more, within the microservices. Instead, these tasks must run separately using third-party tools.

Therefore, the microservices can focus on their primary job to make the same easier. Also, it makes the cloud application more trustworthy.

5. Logs

This factor emphasizes the factor that your application must not handle storage, routing, or analytics of its output. This is because the rapid scaling of cloud-native applications makes manual log tracking difficult. Therefore, leaving it to the cloud provider will help you focus on simplifying your application code.

6. Concurrency

Microservices must handle scalability based on workload. This eliminates the dependency on manual efforts and adds resources to a single process. Moving forward, it shared the load among multiple smaller clusters, enabling streamlined load balancing.

7. Port-Binding

This enables an application to be self-contained while using the ports provided by the cloud environment rather than having team members write the code.

Cloud-Based App Development: Key Factors You Need to Know

Before you embark on the journey of cloud-based development, there are certain factors you must consider. Understanding the foundational elements will help you to develop robust cloud-based applications.

1. Application Architecture

Hands-on knowledge of application architecture is vital to designing scalable applications in the cloud. Concepts of serverless architecture, microservices, and containerization play a pivotal role in cloud app development.

2. Database Management

A cloud-based application depends on databases to manage data. Having a solid grasp of relational and NoSQL database types and the ability to work with them through queries are essential.

3. Networking Concept

Cloud-based applications interact with multiple services and components over the internet. Having a nuanced approach to networking concepts such as load balancing and DNS will help optimize application performance.

4. DevOps Tools

These tools are valuable for the streamlined development and deployment process. You can use tools like Docker and Jenkins for efficient collaboration.

From Idea to Deployment: How to Develop Cloud-Native and Cloud-Based Applications

As of now, you don’t have a proper idea of the applications. Let’s take this journey forward by describing how to develop the application without missing any step:

Cloud Native Application Deployment: Step-By-Step Guide

Here at Technource, we continuously develop cloud native applications. In the following section, we will discuss the steps that we follow. This will make your task easier when developing a cloud-native application. Here you go-

Step 1- Define Your Requirements

First and foremost, define the purpose of development. Also, you must accumulate the essential details about the target audience.

Also, it’s crucial to assess scalability, performance, and compliance requirements. Furthermore, you must have a clear goal that reflects your application design and aligns with the primary objective of application development.

Step 2 – Choose a Microservices Architecture

Adopting a microservices architecture enables your development team to break down the entire application into independent services. As a result, the development team enables the team to code, deploy, and scale various parts of the application independently. This improves fault tolerance and flexibility.

Step 3 – Pick an Ideal Containerization Platform

This ensures continuous app deployment across various environments. Generally, we use Docker to package applications and their dependencies. You can use it, too, to let the containers be portable. Therefore, the team can easily move the workloads between development and production.

Step 4 – Leverage Kubernetes

Next, leverage Kubernetes, a tool for managing deployments and load balancing. Also, it helps in task automation, such as resource allocation and failure recovery. This ensures seamless application performance.

Step 5 – Use CI/CD Pipelines

Integrate CI/CD pipelines to smooth your development workflow. Tools such as GitLab, CircleCI, Jenkins, etc. can automate the building process, testing, and code change implementation. This minimizes the team effort and enhances delivery cycle speed.

Step 6 – Integrate Monitoring Tools

Integrate monitoring tools to assess application performance. You can also incorporate additional security solutions to safeguard against various vulnerabilities. This ensures compliance with data privacy for automating alerts and audits to enhance security.

Step 7- Test & Optimize Continuously

To ensure maximum performance and stability, test the apps regularly. Implement automated unit and load testing. Also, analyze the metrics to understand hindrances. Solve those with team effort that ensures optimized performance.

Cloud-Based Application Deployment: Step-By-Step Approach

The goal of cloud-based application development must include a cloud-based platform to simplify architectural decision-making. Like cloud-native application development, our team follows a dedicated step-by-step guide to achieve results.

We’re sharing this with you so you can develop cloud-based applications that deliver seamless performance:

Step 1- Define Your Objectives

Initially, outline the project scope and the application’s purpose. Determine what things you want to achieve. It may include automating workflows, developing centralized data centers, or enhancing data exchange. Based on the issues you want to address and resolve through the application, outline your next steps.

Step 2- Select the Right Cloud Service Model

Now, you have a vision of how your application will perform. Based on that, choose the right cloud service model. You can choose from the following options-

• Platform as a Service (PaaS) – You can develop your app without managing infrastructure, as this option provides an entire development environment.
• Infrastructure as a Service (IaaS) – With this model, you can access virtualized computing resources via the internet.
• Software as a Service (SaaS) – You can directly use this as it’s ready-to-use software. Simply subscribe and use it through a web browser. Tools like Salesforce, HubSpot, and Google Workspace fall under this category.

Step 3- Choose the Right Cloud Provider

With the cloud development service provider, the development phase becomes easier. As the cloud app development is an ongoing process, your business may want to add or remove features based on the requirements.

Step 4- Choose the Right Architecture

Opting for the exemplary architecture will improve application performance by maximizing data storage and processing efficiency.

Step 5- Select the Right Methodology

Most cloud applications follow Scrum and Agile development methodologies. It’s based on choosing the features you want to prioritize and the level of collaboration to deliver the maximum business value.

Step 6- Develop, Test and Integrate

It’s time to begin the application development. Follow agile development methods to bifurcate the work into manageable parts. This approach enables the team to stay focused while working faster and deliver new updates.

Set up CI/CD pipelines to automate testing and deployment of your application. Use tools like GitLab, GitHub, and Bitbucket for version control. This augments the development process while reducing mistakes.

Step 7- Deploy and Monitor Consistently

It’s the prime time! Launch your application and ensure it performs well. Initially, deploy the application using Docker to create containers that contain the nitty-gritties of your application.

After deployment, it’s essential to monitor your application’s health and performance.

Step 8- Enable Auto Scaling

You’ve reached to final step! Enable auto-scaling so your application automatically adjusts to available resources, ensuring seamless performance and cost-effective operations.

Which is Right for Your Business: Cloud-Based or Cloud Native Applications?

Choosing the correct type of cloud application for your business relies on your business needs and other technical expertise. However, several important considerations should be kept in mind when making an informed decision between cloud-based and cloud-native apps.

• Cloud-Based Applications – Businesses having simpler needs can go with cloud-based applications. However, this app offers stability but lacks flexibility and automatic scaling.
• Cloud Native Applications – Good for businesses that need flexibility, scalability and rapid deployment. These applications are ideal for fast-growing brands that need consistent innovation.

Cloud Native vs Cloud-Based Applications: Shape Up Your Brand Growth with Technource!

Woo, you just learned the key differences between cloud-based applications and cloud native applications and their benefits, too! It’s only the start. You can continue your learning journey by gaining insights into Kotlin vs Java or Java vs JavaScript. The Choice is Yours!

In case you’re not getting the ultimate goal and need expert help to help you choose between these clouds, native and cloud-based, our DevOps consulting services’ members are ready to provide you detailed guide. What else do you need to ensure that your cloud strategy fits your goals? Give us a try!

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