In CDP, an environment is a logical subset of your cloud provider account including a specific virtual network. You can register as many environments as you require.
In the on premise world, your clusters run on machines in your data center and are accessible on your corporate network. In contrast, when you launch clusters in the cloud, your cloud provider, such as AWS, provides all the infrastructure including private networks and VMs. You provision a private network in a selected region, configure access settings, and then provision resources into that private network. All these resources are accessible as part of your AWS account and can be shared by users within your organization.
The “environment” concept of CDP is closely related to the private network in your cloud provider account. Registering an environment provides CDP with access to your cloud provider account and identifies the resources in your cloud provider account that CDP services can access or provision. Once you’ve registered an environment in CDP, you can start provisioning CDP resources such as clusters, which run on the physical infrastructure in an AWS data center.
You may want to register multiple environments corresponding to different regions that your organization would like to use.
For more information about environments, refer to cloud provider specific documentation linked below.