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I see the cloud mostly for startup-ish companies hoping to grow rapidly but which want to avoid large upfront expenses to be ready for said growth. A stable co
by HardlyCurious 3y ago
I see the cloud mostly for startup-ish companies hoping to grow rapidly but which want to avoid large upfront expenses to be ready for said growth.
A stable company where growth as a percentage isn't likely to be significant can run things cheaper on their own in most cases. At least if you consider the cost of the inevitable departure from the cloud provider either to switch another or to go on-prem. And if you aren't willing to make that exit, you can guarantee your cloud provider won't stop cranking up the fees until the threat of you leaving surfaces.
- scarmig 3y agoI think this is a pretty key point. If a business is going through any kind of rapid change, cloud providers offer a lot of off-the-shelf help for that, be it ability to scale, hosted infrastructure, or PoPs in new geographies. If the company is relatively static with easily predictable future requirements, you can get a lot more bang-for-your-buck by handling things on your own and developing your own in-house expertise.
- icefo 3y agoThere is also a third approach that is the best if you have a predictible base load with surges sometimes imo: hybrid cloud You basically run the base load in your own data center and the surges go to the cloud. My university is evaluating this because sometimes you have multiple labs that need a lot of compute resources at the same time and local compute cluster has finite capacity.
- mlyle 3y agoTime to market and avoiding NRE is great. Margin doesn't matter in the beginning. But hopefully you don't get trapped in the cloud and can claw the margin back.