Cloud Storage vs Cloud Backup: What's the Difference?

People use “cloud storage” and “cloud backup” interchangeably. But they’re not the same thing.

Cloud storage = Dropbox, Google Drive, iCloud. For accessing files from anywhere.

Cloud backup = Backblaze, Carbonite. For recovering your entire hard drive when it dies.

Confusing them is like thinking a parking lot and car insurance are the same because they both involve your car. Let’s fix that.

What’s “The Cloud” Anyway?

“The cloud” just means someone else’s computer. That’s it. When you save files to Google Drive, Dropbox, or iCloud, you’re uploading them to servers owned by Google, Dropbox, or Apple.

The term “cloud” sounds mystical and futuristic. It’s marketing. Your files are sitting in a data center somewhere, probably in Oregon or Virginia, on hard drives that look exactly like the one in your computer.

Three types of cloud services:

Public clouds - Google Drive, Dropbox, iCloud. Anyone can sign up.
Private clouds - Big companies run their own data centers for security.
Hybrid clouds - Mix of both, usually for enterprises.

For normal people, you’re using public clouds. Now let’s talk about the two main types: storage and backup.

Cloud Storage: For Accessing Files Anywhere

What it is: A folder on the internet. You put files in, access them from any device, share them with others.

Examples: Dropbox, Google Drive, iCloud, OneDrive, pCloud

Use case: You’re working on a presentation. Save it to Dropbox. Open it on your laptop at home, edit it on your phone during your commute, present it from your work computer. Same file, everywhere.

Cloud storage is a supplement to your hard drive. It’s not a replacement, it’s extra space you can access from anywhere.

How Cloud Storage Works

Install the app (Dropbox, Google Drive, etc.)
Drag files into the folder
Files upload to the company’s servers
Access them from any device with the app installed
Share links with others for collaboration

The key feature: Selective sync. You choose which files to upload. You can share specific files with specific people. You can collaborate in real-time (Google Docs, for example).

Businesses love this because teams can work on the same documents without emailing versions back and forth like savages.

Why Use Cloud Storage?

1. Access files from anywhere - Phone, laptop, tablet, friend’s computer. As long as you have internet.

2. Collaboration - Share a Google Doc, multiple people edit simultaneously. No more “final_v2_ACTUAL_FINAL.docx” bullshit.

3. Scalable - Need more space? Upgrade your plan. Need less? Downgrade. Physical hard drives are fixed capacity.

4. Cheaper than you think - Google gives 15GB free. pCloud’s lifetime plan is $199 for 2TB (vs Apple’s $120/year forever for the same amount).

Cloud Storage Pricing (2025)

Google One:

15GB free
100GB - $1.99/month ($24/year)
200GB - $2.99/month ($36/year)
2TB - $9.99/month ($120/year)

Apple iCloud:

5GB free (laughably small)
50GB - $0.99/month ($12/year)
200GB - $2.99/month ($36/year)
2TB - $9.99/month ($120/year)

pCloud (Lifetime - Pay Once):

500GB - $199 lifetime
2TB - $399 lifetime
10TB - $1,190 lifetime

Get pCloud Lifetime (Stop Paying Monthly)

Security warning: Cloud storage is designed for convenience, not security. Files are encrypted on the server, but the provider has the keys. If they get hacked (or subpoenaed), your files are accessible. For actual privacy, you need zero-knowledge encryption (Sync.com, pCloud Crypto add-on).

Cloud Backup: For When Your Hard Drive Dies

What it is: Automatic, continuous copying of your entire hard drive to the cloud.

Examples: Backblaze, Carbonite, iDrive, Acronis

Use case: Your laptop gets stolen. Your hard drive fails. Ransomware encrypts everything. You get a new computer, install the backup software, and restore everything exactly as it was. Every file, every folder, every setting.

Cloud backup is insurance. You’re not accessing these files daily. You’re hoping you never need them. But when disaster strikes (and it will), you’ll be glad you have it.

Key difference from storage: Backup is automatic and complete. You don’t choose what to back up, it backs up everything. You don’t share files from your backup. It’s a mirror of your hard drive, updated continuously.

How Cloud Backup Works

Install backup software (Backblaze, Carbonite, etc.)
It scans your entire hard drive
Uploads everything to their servers (initial backup takes hours/days)
After that, it runs continuously in the background
Every time you create/modify a file, it’s backed up automatically
If disaster strikes, you download the backup software on a new computer and restore everything

Key features of good backup:

Automated - Runs without you thinking about it
Continuous - Backs up changes in real-time or near-real-time
Versioning - Keeps multiple versions of files (recover yesterday’s version if you screw up today)
Complete - Backs up your entire system, not just selected folders
Encrypted - Files are encrypted during transfer and storage
Easy restoration - When you need it, it better work fast

Why Use Cloud Backup?

1. Automatic = You won’t forget - Manual backups fail because humans are lazy. Set it once, forget it exists.

2. Disaster recovery - House fire, theft, ransomware, hard drive failure. Your data survives.

3. File versioning - Accidentally deleted something last week? Restore it. Overwrote a file? Get the old version back.

4. Better security than storage - Backup services encrypt files twice (during transfer and at rest). They’re designed for security, not sharing.

Cloud Backup Pricing (2025)

Backblaze:

Unlimited backup - $9/month or $99/year (one computer)
Simple, reliable, been around since 2007

Try Backblaze (Unlimited Backup for $9/month)

Carbonite:

Basic (unlimited) - $6/month (first year promo, then $72/year)
Plus (includes external drives) - $9/month

iDrive:

5TB - $79.50/year (first year), then $99.50/year
10TB - $99.50/year (first year)

The math: For $99/year, Backblaze backs up unlimited data from one computer. If your hard drive dies and you lose years of photos, documents, and work, $99 is nothing. It’s insurance.

Cloud Storage vs Backup: Side-by-Side

Feature	Cloud Storage	Cloud Backup
Purpose	Access files anywhere, share with others	Disaster recovery, complete system restore
What’s backed up	Files you choose	Everything on your hard drive
Automation	Manual (you drag files in)	Automatic (runs continuously)
Sharing	Yes, that’s the point	No
Collaboration	Yes (Google Docs, etc.)	No
File versioning	Limited	Extensive (30+ days of versions)
Security	Encrypted on server (provider has keys)	Encrypted twice (transfer + storage)
Use case	Working on files from multiple devices	Recovering from hard drive failure
Examples	Dropbox, Google Drive, iCloud, pCloud	Backblaze, Carbonite, iDrive
Cost	$10-120/year for 2TB	$99/year for unlimited

Simple rule:

Need to access files from your phone/laptop/tablet? Cloud storage.
Need insurance against losing everything? Cloud backup.
Want both? Get both. They serve different purposes.

Which One Do You Need?

You probably need both. They’re not competing services, they’re complementary.

Get cloud storage if:

You work from multiple devices
You collaborate with others on documents
You want to access files from your phone
You’re running out of hard drive space

Get cloud backup if:

You have important files you can’t afford to lose
You don’t want to manually back up to external drives
You want protection against ransomware/theft/fire
You value peace of mind

Real-world setup:

Cloud storage - pCloud lifetime ($199 for 2TB) or Google Drive (15GB free)
Cloud backup - Backblaze ($99/year unlimited)
Total cost - $199 upfront + $99/year ongoing

That’s less than Apple charges for 2TB iCloud storage annually ($120), and you get both storage AND backup.

FAQ

Can I use cloud storage as backup?

Technically yes, practically no. Cloud storage isn’t automatic, you have to manually upload files. You’ll forget. You’ll skip it when you’re busy. And when your hard drive dies, you’ll realize you haven’t backed up in 6 months.

Also, cloud storage is more expensive for full backups. Backblaze charges $99/year for unlimited. Google Drive charges $120/year for 2TB. If you have more than 2TB, backup wins.

Does iCloud count as backup or storage?

Both, sort of. iCloud backs up your iPhone/iPad automatically. But it’s not a true computer backup, it’s selective. And with only 5GB free, it fills up instantly. For actual backup, use Backblaze. For storage, use pCloud or Sync.com.

What’s the best setup for Android users?

Storage: Google Drive (15GB free, integrates with everything Android) or pCloud for lifetime plans Backup: Backblaze or iDrive (works on any OS)

If you want privacy, use Sync.com for storage (zero-knowledge encryption). Google scans everything.

Do I need backup if I use cloud storage?

Yes. Cloud storage is selective, you only upload certain files. Cloud backup is comprehensive - everything. If your hard drive dies, cloud storage won’t save you unless you manually uploaded everything (you didn’t).

Bottom Line

Cloud storage = Dropbox, Google Drive, pCloud. For accessing files from multiple devices and collaborating.

Cloud backup = Backblaze, Carbonite. For recovering everything when disaster strikes.

You need both. They solve different problems.

Storage - $0-120/year depending on provider and capacity
Backup - $99/year for unlimited (Backblaze)
Total - ~$100-220/year for complete protection

That’s less than one data recovery attempt at a computer shop ($300-1,500 with no guarantee of success).

Don’t wait until your hard drive dies to figure this out. Set it up now, forget about it, and sleep better knowing your data is safe.

Sources

What is cloud storage? - IBM
Cloud backup best practices - Backblaze
iCloud backup vs iCloud Drive - Apple Support