The path from cloud-first to self-hosted is common. Self-hosted options often enable enterprise deals that were previously impossible due to compliance requirements. However, the development overhead is significant. The key question is whether your addressable market size justifies the additional complexity.

The self-hosted pricing omes with a significant premium (often 2-3x cloud pricing) plus professional services revenue for implementation and support. Many companies find the professional services component becomes unexpectedly lucrative but resource-intensive.