- A
Public cloud
Why wrong: Public cloud means all workloads run in the provider's infrastructure. This company still maintains on-premises infrastructure for its core banking system.
- B
Hybrid cloud
Hybrid cloud integrates on-premises or private cloud infrastructure with public cloud resources. Running core systems on-premises while using AWS for analytics, connected via Direct Connect, is textbook hybrid cloud.
- C
Private cloud
Why wrong: Private cloud means all resources are managed privately with no public cloud involvement. This company actively uses AWS, so it is not purely private cloud.
- D
Multi-cloud
Why wrong: Multi-cloud means using multiple public cloud providers. This company uses one public cloud provider (AWS) combined with on-premises — that is hybrid, not multi-cloud.
CLF-C02 Cloud Concepts Practice Question
This CLF-C02 practice question tests your understanding of cloud concepts. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
A financial institution runs its core banking application on-premises due to regulatory requirements. It has connected its data centre to AWS using AWS Direct Connect and runs analytics workloads on AWS that access data from the on-premises systems. Which cloud deployment model does this describe?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
Hybrid cloud
This scenario describes a hybrid cloud deployment because the financial institution maintains its core banking application on an on-premises data center (private infrastructure) while also running analytics workloads on AWS (public cloud). The two environments are connected via AWS Direct Connect, a dedicated network link that enables secure, low-latency data transfer between the on-premises systems and AWS, allowing the analytics workloads to access on-premises data. Hybrid cloud specifically refers to the integration of on-premises private infrastructure with public cloud services, which matches this setup.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Public cloud
Why it's wrong here
Public cloud means all workloads run in the provider's infrastructure. This company still maintains on-premises infrastructure for its core banking system.
- ✓
Hybrid cloud
Why this is correct
Hybrid cloud integrates on-premises or private cloud infrastructure with public cloud resources. Running core systems on-premises while using AWS for analytics, connected via Direct Connect, is textbook hybrid cloud.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
Private cloud
Why it's wrong here
Private cloud means all resources are managed privately with no public cloud involvement. This company actively uses AWS, so it is not purely private cloud.
- ✗
Multi-cloud
Why it's wrong here
Multi-cloud means using multiple public cloud providers. This company uses one public cloud provider (AWS) combined with on-premises — that is hybrid, not multi-cloud.
Common exam traps
Common exam trap: answer the scenario, not the keyword
The trap here is that candidates may confuse hybrid cloud with multi-cloud, mistakenly thinking that using any cloud alongside on-premises is multi-cloud, but multi-cloud specifically requires the use of multiple distinct public cloud providers, not a mix of on-premises and a single public cloud.
Detailed technical explanation
How to think about this question
AWS Direct Connect establishes a dedicated, private network connection from an on-premises data center to AWS, bypassing the public internet and providing consistent network performance. In a hybrid cloud setup, this connection often uses Virtual Private Network (VPN) or Direct Connect to extend the on-premises network into a Virtual Private Cloud (VPC) on AWS, enabling seamless data access for analytics workloads while keeping sensitive core banking data on-premises for regulatory compliance. A real-world example is a bank using AWS for big data analytics with Amazon EMR or Redshift, querying data from on-premises databases via Direct Connect without moving the primary database to the cloud.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
TExam Day Tips
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A company's IT admin needs to give a contractor read-only access to production logs without sharing account credentials. Using role-based access control (RBAC) and temporary scoped permissions — not a permanent shared password — is the correct pattern. Questions like this test whether you can apply least-privilege access across cloud identity services.
What to study next
Got this wrong? Here's your next step.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
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Cloud Concepts — study guide chapter
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FAQ
Questions learners often ask
What does this CLF-C02 question test?
Cloud Concepts — This question tests Cloud Concepts — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Hybrid cloud — This scenario describes a hybrid cloud deployment because the financial institution maintains its core banking application on an on-premises data center (private infrastructure) while also running analytics workloads on AWS (public cloud). The two environments are connected via AWS Direct Connect, a dedicated network link that enables secure, low-latency data transfer between the on-premises systems and AWS, allowing the analytics workloads to access on-premises data. Hybrid cloud specifically refers to the integration of on-premises private infrastructure with public cloud services, which matches this setup.
What should I do if I get this CLF-C02 question wrong?
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
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Last reviewed: Jun 11, 2026
This CLF-C02 practice question is part of Courseiva's free Amazon Web Services certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CLF-C02 exam.
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