Dedicated Servers in 2025: Why Businesses Are Moving Back

Not long ago, it seemed like every workload was headed for the public cloud. Fast forward to 2025, and dedicated servers and bare metal are making a strong return — not because of nostalgia, but because businesses are finding they solve real problems.

Rising cloud costs, stricter data regulations, and the growing demand for AI workloads are pushing companies to take another look at dedicated hosting. The scope is clear: consistent performance, better control over compliance, and predictable costs.

In this article, we’ll look at what’s driving this repatriation*, when dedicated infrastructure is the smarter choice, and how to weigh the trade-offs with today’s data in mind.

* In the hosting / cloud industry, “repatriation” means moving workloads, data, or applications out of the public cloud and back to dedicated servers, bare metal or colocation. It’s the opposite of cloud migration.

Surveys & Facts: What the data says

A recent survey by TechRadar of 1,000+ IT professionals found 86% of organizations still use dedicated servers; 42% reported moving some workloads from public cloud back to dedicated infrastructure in the last 12 months.