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> If Amazon 'jacks up it's prices', Netflix will simply move to another provider. Like hell they will. The switching cost for Netflix, and really most heavy AW
by knorby 11y ago
> If Amazon 'jacks up it's prices', Netflix will simply move to another provider.
Like hell they will. The switching cost for Netflix, and really most heavy AWS users, would be extreme at this point. A good portion of the engineering org would pretty much have to dedicate themselves to the task of switching. That isn't to say other organizations can't be nimble between providers, but it would be hard for Netflix at this point.
AWS is already engaging in a commodity hardware market in order to run the DCs running. AWS fears becoming a pure extension of the same thing, and they have a decent bit of lock-in designed to their services for that reason.
- hvidgaard 11y agoConsidering how many millions Netflix pays Amazon every single month, a team of highly skilled engineers is a drop in the bucket, and if switching means they can save enough, they'll do it.
- adrianbg 11y ago"The closing of Netflix’s last data center has been seven years in the making." Does that sound like a drop in the bucket?
- hvidgaard 11y agoCompared to the running cost of their streaming service, yes. Besides, I like to believe (yes believe, because non of us outside of Netflix would be able to verify) that they've spend that much time such that they're far less dependent on the underlying architecture.
- pfg 11y agoI remember seeing a talk by a Netflix engineer (can't find it unfortunately) where he talked about multi-cloud strategies and how they aimed towards decoupling some of the components of his project from implementation details specific to AWS. So it's quite possible they're already slowly paving the way towards becoming a cloud-agnostic or multi-cloud platform. Not to say that it wouldn't still be a huge undertaking, but I don't think this never crossed their minds before.