The Lighter Side Of The Cloud – Easter Egg Hunt
The Lighter Side Of The Cloud – Fathers Day
The Lighter Side Of The Cloud – Cloud Theory

How to Determine How Much Your Cloud Costs

How to Determine How Much Your Cloud Costs

Because I am a long term supporter of cloud computing, and I try to spread the idea that moving to the cloud will help any company lower costs and better leverage resources, I am often asked, how much the cloud actually costs. People fear that the initial investment and their ongoing expenses will be difficult to be amortized in time and are wondering overall if the cloud investment is worth it.

From my own experience, I would say it is a definite yes.

I believe that in order to determine the costs of implementing and using cloud computing, you should divide your efforts into 2 main categories: setup/ migration costs and the ongoing costs.

During the first phase, you need to determine which applications and business units you will be moving to the cloud, which systems consume the most demands. If then it is time to go cloud shopping! When choosing the provider you need to choose one that fits your requirements, (attention: not the cheapest one), and test all of their services. After migration, ongoing expenses should not be difficult to calculate.

In the migration phase, the most obvious advantage is that there is no cost for hardware. Therefore, you are saving capital equipment expenses. You do need to take into consideration the loss of value of the hardware you will be moving away from. If the hardware needed to be replaced, then there is no loss.

In terms of the ongoing expenses, the most common ways to pay for cloud computing services are for CPU time, GB of Ram and TB of Storage. These approaches have the great advantage of billing only for what is used, making the payment utility based.

Therefore, the key for a successful and profitable cloud computing implementation lays in picking up the right provider, careful planning of the migration and attentive testing – perhaps starting with a pilot project, and then moving more the infrastructure to the cloud. Obviously, there is also the element of some risk required whenever deciding to try something new, such as implementing a new technology in your company. If you decide to go this route, take your time and you will be on your way to reaping the benefits of cloud computing.

By Rick Blaisdell / RicksCloud

Follow Us!

CloudTweaks

Established in 2009, CloudTweaks.com is recognized as one of the leading authorities in cloud computing information. Most of the excellent CloudTweaks articles are provided by our own paid writers, with a small percentage provided by guest authors from around the globe, including CEOs, CIOs, Technology bloggers and Cloud enthusiasts. Our goal is to continue to build a growing community offering the best in-depth articles, interviews, event listings, whitepapers, infographics and much more...
Follow Us!

Sorry, comments are closed for this post.

Popular

Forrester Releases Its “15 Emerging Technologies To Watch Before 2020” Report

Forrester Releases Its “15 Emerging Technologies To Watch Before 2020” Report

15 Emerging Technologies To Watch Before 2020 The cloud, big data, the internet of things, and wearable technology have all featured heavily in Forrester’s latest list of fifteen technologies to watch before 2020. It is becoming a reality for businesses that they need to adapt and change to an increasingly technologically-minded customer base. Traditional marketing…

5 Ways The Internet of Things Will Drive Cloud Growth

5 Ways The Internet of Things Will Drive Cloud Growth

5 Ways The Internet of Things Will Drive Cloud Growth The Internet of Things is the latest term to describe the interconnectivity of all our devices and home appliances. The goal of the internet of things is to create universal applications that are connected to all of the lights, TVs, door locks, air conditioning, and…

Cloud Infographic – The Future Of Big Data

Cloud Infographic – The Future Of Big Data

The Future Of Big Data Big Data is BIG business and will continue to be one of the more predominant areas of focus in the coming years from small startups to large scale corporations. We’ve already covered on CloudTweaks how Big Data can be utilized in a number of interesting ways from preventing world hunger to helping teams win…

Public vs. Private vs. Hybrid: Which Cloud Is Right for Your Business?

Public vs. Private vs. Hybrid: Which Cloud Is Right for Your Business?

Public vs. Private vs. Hybrid The debate surrounding the deliverability of cloud computing is coming to a close. Businesses have begun to rapidly adopt the use of cloud services, courtesy the ROI this disruptive technology brings to the table. They have finally realized they cannot afford to ignore the cloud. A Forrester study found that…

Using Big Data To Make Cities Smarter

Using Big Data To Make Cities Smarter

Using Big Data To Make Cities Smarter The city of the future is impeccably documented. Sensors are used to measure air quality, traffic patterns, and crowd movement. Emerging neighborhoods are quickly recognized, public safety threats are found via social networks, and emergencies are dealt with quicklier. Crowdsourcing reduces commuting times, provides people with better transportation…

Recent

Cloud Infographic: Backing Up And Storing Your Data Is No Joke

Cloud Infographic: Backing Up And Storing Your Data Is No Joke

Backing Up And Storing Your Data Is No Joke When was the last time you backed up any of your precious documents on your hard drive? March 31st was the annual “World Backup Day” which helps create awareness of the importance of backing up your files.  Tech professionals and consumers alike can benefit from backing up.…

The Many Hats Of Today’s IT Managers

The Many Hats Of Today’s IT Managers

The Many Hats of IT Managers In years past, the IT department of most large organizations was much like a version of Middle Earth: a mysterious nether world where people who seemed infinitely smarter than the rest of us bustled around, speaking and typing languages that appeared indecipherable, yet, which made our world work. They…

Savvy Businesses Leverage Enterprise Cloud PaaS

Savvy Businesses Leverage Enterprise Cloud PaaS

Savvy Businesses Leverage Enterprise Cloud PaaS Imagine a workshop full of tools: hammers, wrenches and screwdrivers. These simple tools can be used on a variety of materials: wood, brick, polymer and so on. But are these basic tools the best and enough for all materials and all projects? No, some projects require more specialized tools.…

Sponsored Posts

Moving From Email Into The Cloud

Moving From Email Into The Cloud

Mobile Collaboration In The Cloud Imagine that you, as a manager, are told by the powers that be that you have to find “efficiencies” within your department that will result in one million dollars of savings annually. You struggle with this. You send an email to everyone on your senior team. “Where can we save…

Cloud Logo Sponsors

hp Logo CityCloud-PoweredByOpenstack-Bluesquare_logo_100x100-01
cisco_logo_100x100 vmware citrix100
Site 24x7


Contributor Spotlight

Established in 2009, CloudTweaks is recognized as one of the leading influencers in cloud computing, big data and internet of things (IoT) information. Our goal is to continue to build our growing information portal, by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

Branded Content Programs

Advertising