Why Enterprises Are Building In-House Software Testing Labs | Benefits & Strategy

 

These days, every release cycle feels heavier than the last. You’re delivering across more devices, platforms, and environments than ever. Mobile apps, web apps, IoT devices, and compliance checks on top—each adds another layer of testing that your team has to get right.

At the same time, cloud setups aren’t always cost-effective. Enterprises say nearly a quarter of their spend goes to waste, and eight in ten are now running hybrid models.

More complexity, higher costs, and shifting infrastructure all point to the same reality: the way you manage testing has to evolve. Many teams eventually reach a stage where upgrading their processes means moving beyond scattered setups and exploring a User Experience Lab designed for real-world product behavior. So, instead of relying on external device farms or patchwork setups, is it time to build your own lab?

In this blog post, we’ll explore why opting for the BYOL model is best, what steps to follow to set up your lab, and how to decide if it is the right step for you. Curious what a dedicated testing lab could look like for you? Learn more about TestGrid’s BYOL infrastructure.

Why Shift to the Build Your Own Lab (BYOL) Model?

1. Cost pressures

Cloud testing looks economical at first. But costs rise quickly as usage scales. Enterprises frequently pay for unused cloud resources or get stuck in queues that extend test cycles—58% of them agree that their cloud costs are too high. A private lab brings predictability: once devices are set up, you control utilization and long-term spend.

2. Control and governance

When testing happens on shared cloud infrastructure, you’re limited to whatever devices and environments the vendor offers. The lack of control can slow down operations. On the other hand, you set the rules in a private lab.

It’s up to you to decide which devices to keep, what environments to support, and who gets access. It gives your QA, DevOps, and product teams the confidence that testing reflects the reality of your customers and compliance requirements.

3. Security and compliance

If your product stores sensitive user data, such as health or financial information, a shared cloud lab might require external audits or third-party reviews every time you change a device or test environment. Such InfoSec approvals increase the risks associated with testing.

With a private lab inside your own network, you can keep devices, environments, and data flow under your own oversight so you meet compliance standards faster and more predictably.

Key Stat: The global average cost of a data breach in 2023 was USD $4.45 million. In 2024, that number rose to USD $4.88 million.

4. Flexibility and scalability

Testing demand isn’t steady. It spikes before product launches, during regulatory audits, or when new devices hit the market. Shared cloud labs can’t always keep pace. You may face queues or wait for the vendor to add new devices.

With your own lab, scaling happens on your terms. If tomorrow’s release doubles your testing needs overnight, you can instantly add devices and expand test coverage.

The Shift	Old Reality (Shared/Cloud Labs)	New Reality (BYOL)
From cost sprawl → Predictable spend	Cloud looks cheap, but costs balloon with scale — enterprises waste ~24% of cloud budgets.	One-time setup, then you control utilization and long-term spend.
From vendor limits → Complete control	Device lists, OS versions, and access rules are dictated by the vendor.	You decide what to test, how, and who gets in.
From audit headaches → In-house compliance	Sensitive data triggers external reviews for every environment change.	Keep tests in your own network and meet standards faster.
From waiting in line → Scaling on demand	Queues form before launches, audits, or new device rollouts.	Add devices overnight and test when builds are ready.

So, How Do You Know It’s Time to Build Your Own Lab?

When:

• You’re testing apps that carry sensitive logic or data
• Each test request needs another security review or an exception
• CI/CD runs stumble on firewalls, VPN tunnels, or latency rather than on actual product issues
• Monthly test infrastructure costs jump unpredictably, making it hard to forecast spend efficiently
• Your team schedules testing around open slots in the vendor’s queue instead of when builds are ready

What Does It Take to Build Your Lab (BYOL)?

1. Define your testing needs

First things first: identify the devices, OS versions, and environments that matter most for your products. A good thumb rule is to prioritize based on what your customers use and any regulatory requirements you must absolutely meet.

For example, if most of your customers are on mid-range Android devices, testing only on the latest iPhone won’t give you meaningful results.

Pro Tip:  Don’t rely on guesswork here. Pull data from analytics or market share reports to map the devices and OS versions your users run.

2. Secure the right devices

Once your priorities are clear, gather the necessary devices, whether mobile, desktop, or IoT. Think ahead about refresh cycles, too. Many teams update mobile devices every 12-18 months, so the lab always reflects what’s in customers’ hands.

For example, if your app depends on NFC payments, you’ll want to include devices with hardware variations in that feature.

Pro Tip: Always buy at least two units of your top devices. One can be dedicated to automated test runs, while the other can be made available for manual QA, debugging, or as a backup if hardware fails mid-cycle. This arrangement will help your team work in parallel.

3. Set up infrastructure and network

Determine the location of the device lab. Some teams use a server room; others designate a controlled lab space. Either way, plan for essentials, like power, cooling, and secure network access. The goal is a stable environment that mirrors production as closely as possible.

For example, suppose your app integrates with pre-release versions of backend APIs. In that case, placing the lab on the same internal network eliminates the need for tunneling workarounds and provides a more stable test environment.

Pro Tip: Tag every device in your lab with a unique ID and log it into an asset management system from day one. This helps you track usage patterns, spot underutilized devices, and plan refresh cycles with real data.

4. Integrate with your workflows

Your lab plugs directly into your CI/CD pipelines, test frameworks, and monitoring tools. Avoid workarounds like VPN tunnels or external routing as they increase latency or friction.

For example, if your pipeline runs a nightly build, tests should kick off automatically on your devices without waiting for VPN approvals or manual scheduling.

Pro Tip: Use containerized environments (like Docker or Kubernetes namespaces) to run tests against your lab devices. Each test run gets its own isolated environment, which is cleaned up automatically after execution. This prevents leftover configs from polluting future runs and keeps your lab devices consistent.

5. Plan for scalability and governance

Plan for the future from day one. Document policies for who can access which devices and outline how you’ll scale when new platforms or device types enter the mix. Transparent governance keeps the lab efficient as your testing footprint grows.

For example, if your organization is preparing for an IoT rollout, predefine how those devices will connect to your lab network and how firmware updates will be validated.

Pro Tip: Map roles to actions before you launch the lab. For example, engineers get install/update rights, testers get run/debug access, and business users get read-only dashboards. Having such prevents overlap and keeps devices safe from accidental changes.

Cloud Labs vs. Build Your Own Lab (BYOL): Key Differences

Feature	Cloud Lab	Build Your Own Lab (BYOL)
Performance	Shared devices, potential latency issues	Dedicated devices, faster and more consistent runs
Security	Data flows through vendor infrastructure	100% on-prem, fully under your control
Device availability	Queues and shared access can delay testing	Guaranteed access, always available to your team
Costs over time	Escalates as usage scales	Predictable spend, easier to budget
Integration	Workarounds for firewalls, VPNs, and routing	Seamless fit with your CI/CD pipelines and tools

Stop Renting. Start Owning With TestGrid’s BYOL Infrastructure

Every enterprise reaches a point where testing in the cloud alone no longer delivers the control, security, or speed you need. That’s when building your own device lab becomes ideal. The good news is you don’t have to take on the heavy lifting yourself.

With TestGrid’s BYOL infrastructure, your devices become part of a secure, integrated lab that’s customized to your workflows. You get to focus on achieving product quality and delivery while the infrastructure works quietly in the background.

Getting started with us is simple. You simply provide the devices you want in your lab, and TestGrid sets up and configures the environment. Your team can begin running secure, high-performance tests right away.

Whether you need server flexibility, support for IoT devices, or integration with pre-release environments, the TestGrid BYOL is designed for real-world scenarios.

It’s entirely up to you to decide when to refresh devices, how to manage access, and how to expand coverage as new platforms emerge.

The best part? With BYOL, your testing performance improves immediately. With dedicated devices, you eliminate queues and reduce latency in cloud routing. Releases move faster, tests run more reliably, and your team is confident that the infrastructure won’t hold them back.

Spin up, swap, or scale devices on your schedule. Benefit from complete control and zero vendor lock-ins. Ready to turn your devices into a dedicated testing powerhouse?

This blog is originally published at Testgrid