Next-Generation Firewalls (NGFW) vs. Traditional On-Premise Firewalls

Cyber ​​threats have grown in tandem with tech advances. For years, traditional on-premise firewalls served as the first line of defense against malicious traffic. However, with the rise of cloud adoption, remote work, and increasingly sophisticated cyberattacks, next-generation firewalls (NGFWs) and cloud-native firewalls have emerged as stronger alternatives.

This blog will take you through a comparative study between next-generation firewall vs traditional firewall, their benefits, drawbacks, and how to decide which solution best fits your organization.

What is a Next-Generation (Cloud) Firewall?

A next-generation firewall (NGFW) is an advanced form of network security that goes beyond the capabilities of traditional firewalls. While traditional firewalls mainly inspect traffic based on IP addresses, ports, and protocols, NGFWs offer deeper visibility, smarter threat detection, and more flexible control.

Today, many NGFWs are delivered as cloud-based firewalls, also called Firewall-as-a-Service (FWaaS). Unlike on-premise hardware appliances, cloud-native firewalls can secure distributed networks, SaaS applications, and remote users without requiring organizations to maintain physical equipment. This feature makes NGFWs particularly valuable in hybrid and remote-first environments.

Key Features of Next-Gen Firewalls

Beyond the traditional firewall functions, NGFWs offer several advanced security features, including:

• Application Awareness and Control: NGFWs can identify and manage applications across all ports, protocols, and IP addresses, providing detailed insight to companies.
• Intrusion Detection and Prevention (IDS/IPS): Detects and blocks suspicious activity in real time.
• SSL/TLS Inspection: Decrypts encrypted traffic to uncover threats hiding within secure channels.
• Advanced Threat Protection: Uses threat intelligence, sandboxing, and even AI-driven analysis to prevent zero-day attacks.
• Cloud Scalability: With cloud-based deployment, organizations can easily expand coverage as their user base and workload grow.
• Centralized Policy Management: Security policies can be updated and applied consistently across devices, branches, and users.

What are Some Drawbacks?

• Higher Costs: Licensing, subscriptions, and advanced features can be expensive.
• Complex Management: More capabilities mean steeper learning curves for IT teams, especially when it comes to firewall rule management.
• Performance Overhead: Deep packet inspection is one feature that can often lower performance.
• Cloud Dependency: For cloud-native firewalls, connectivity issues could impact access.

Benefits of Cloud-Native Firewalls

• Protection Anywhere: Extends security beyond the office to remote and mobile employees.
  
• Simplified Management: Centralized policies apply across users, devices, and cloud services.
  
• Scalability: Adjust capacity and features instantly without hardware investments.
  
• Integration with Cloud Services: Works seamlessly with SaaS, IaaS, and SD-WAN.
  
• Cost Flexibility: Subscription-based pricing reduces upfront capital expenses.
  

In short, cloud-based firewalls vs on-premise firewalls often come down to flexibility and scalability versus control and ownership.

What is a Traditional On-Premise Firewall?

On the other hand, a traditional on-premise firewall is a hardware-based security solution deployed within an organization’s physical network environment. It sits at the network perimeter and acts as a checkpoint, inspecting incoming and outgoing traffic based on predefined rules. Traditional firewalls typically use packet filtering and stateful inspection to decide whether traffic should be allowed or blocked.

For many years, this approach was the standard for protecting corporate networks. Even today, industries with strict compliance requirements, air-gapped systems, or limited reliance on cloud services continue to rely heavily on on-premise firewalls.

Key Features of Traditional Firewalls

Traditional on-prem firewalls focus on foundational security functions:

• Packet Filtering: Filters traffic based on IP addresses, ports, and protocols.
• Stateful Inspection: Tracks active connections and ensures that packets belong to legitimate sessions.
• Network Address Translation (NAT): Hides internal systems from direct exposure by masking internal IP addresses.
• Dedicated Hardware: Purpose-built appliances ensure predictable performance within controlled environments.

What are Some Drawbacks?

Traditional firewalls are dependable, but they have certain significant drawbacks. Here are some of them that could be problematic in today’s remote, cloud-heavy environments:

• Limited Visibility: They cannot easily inspect applications or encrypted traffic, leaving gaps in security.
• Scalability Challenges: Adding more capacity requires expensive hardware upgrades and physical installations.
• Perimeter-focused: They are less effective for cloud workloads and remote users due to their specialized design to safeguard the corporate perimeter.
• Maintenance Burden: IT departments have to take care of managing ongoing operations, hardware repairs, and manual updates.

Benefits of On-Premise Firewalls

While less flexible than cloud-native firewalls, on-premise solutions still provide key advantages:

• Full Control: Organizations maintain complete ownership and customization of firewall configurations.
  
• No Cloud Dependency: Works independently of internet connectivity, making it suitable for air-gapped or high-security environments.
  
• Regulatory Compliance: On-premise firewalls help businesses meet strict data residency and privacy requirements.
  
• Consistent Performance: Dedicated appliances deliver stable throughput without reliance on external service providers.

Next-Gen Firewalls (NGFW) vs. Traditional Firewalls: Key Differences

Both next-generation firewalls (NGFWs) and traditional on-premise firewalls play an important role in network security, but they are built for very different IT environments. Traditional firewalls are well-suited for protecting a centralized office network, while NGFWs are designed to handle today’s cloud-based applications, remote users, and advanced threats.

To help you evaluate which solution fits your needs, here are the five most important differences between cloud firewalls vs. traditional firewalls:

This next-generation firewall vs. traditional firewall comparison highlights why many businesses transitioning to hybrid or cloud-driven environments prefer NGFWs, while traditional firewalls continue to serve organizations that prioritize control, compliance, and predictable performance.

Should You Use a Cloud-Based or On-Premise Firewall?

Selecting between a cloud-based firewall and a traditional on-premise firewall depends on the individual needs of an organization. Both approaches offer strong security, but their strengths align with different priorities.

You can go for a Cloud-Based (Next-Gen) Firewall if:

• Your business has a remote or hybrid workforce that needs consistent protection outside the office perimeter.
• You rely heavily on cloud infrastructure and SaaS applications.
• You want the flexibility to scale security without buying new hardware.
• You prefer subscription-based pricing over large capital expenditures.
  

But you should go for a Traditional On-Premise Firewall when:

• Your organization operates in a highly regulated industry with strict data residency requirements.
• You manage air-gapped networks or environments with limited internet connectivity.
• You want complete ownership and control of the firewall hardware and configurations.
• Your infrastructure is largely on-site with minimal reliance on cloud services.
  

Even though many organizations prefer a hybrid approach, they use on-premise firewalls to secure sensitive systems and cloud-native firewalls for scalability, remote access, and cloud-based workloads. This balance provides both control and flexibility while ensuring comprehensive protection.

Invest in Your Security Today

The debate over next-generation firewalls vs traditional firewalls isn’t about which one is “better,” but rather which is the right fit for your business needs. Traditional firewalls have remained reliable for years for organizations that prioritize control and compliance, while cloud-native firewalls offer advanced protection for today’s remote-first, cloud-driven world.

It is now evident that cyber threats are evolving faster than ever. Thus, there is no reason to endanger your company by depending on outdated or ineffective defenses. Ineffective security not only jeopardizes the privacy of your data but also results in expensive downtime and compliance penalties. Whether you go for a cloud firewall, an on-prem firewall, or a hybrid setup, the most important thing to consider here is to invest in the right firewall strategy today.

The future of your network security depends on being proactive, not reactive. Evaluating your current environment, growth plans, and compliance needs will help you make the right decision: it protects your business not just now, but for years to come.

To continue your research, explore the firewall software category on TrustRadius. You can compare products, read verified reviews, and see which solutions best fit your needs. You may also find value in related categories, including:

• Firewall Security Management Software
• Network Security Software
• Virtual Private Network (VPN) Software
• Secure Email Gateway Software
• Secure Web Gateway Software
• Internet Security Software
• Zero Trust Security Solutions Software