Cloud computing has allowed even small companies to challenge big players. The cloud provides a service for renting super-powerful computing systems for solving software problems of any complexity. Now you do not need to have huge funds to buy expensive equipment, it is enough to conclude an agreement with a contractor and, in addition to powerful computers, you will have a wide range of tools, platforms and software modules for developing authoring software, applications or sites.
Cloud cost optimization services require payment, which means they involve financial costs. As a result, many users have formed unreliable judgments about the optimization of these costs.
1. Optimization of costs for cloud platforms will lead to a decrease in all costs of the company.
Optimization implies a revision of the logic and cost values in order to more effectively use the financial capabilities of the company. It is only natural that any cost reduction saves money. But these measures always have a downside. Insufficient funding can lead to reduced efficiency and loss of company productivity. In many cases, cost cuts are fatal. For example, missed deadlines due to lack of funds can easily deprive the company of profits and devalue all the work performed.
The essence of optimization is the constant analysis of target costs and the development of comprehensive solutions to minimize financial losses without compromising the quality and efficiency of the company.
2. Freezing the cost of the cloud service leads to a decrease in costs.
Temporary cost reductions for targeted spending can only provide a slight delay in payments. The company is simply idle and wasting time. Ultimately, the need for the cloud cannot be replaced by the services of another service, and the company will have to return to the initial costs.
3. The savings in cloud costs will not show up right away and you can save money without any initial losses.
Optimization of costs in any case will manifest itself over time, but in the short term, you can simulate the situation in the near future and understand how the changes will affect the company’s work in real time. There are a number of business modeling tools that can clarify and predict the impact of change. In any case, reducing target costs is a very important decision that needs to be made when studying the current situation in detail and maximizing the details of all possible negative consequences.
It is customary to optimize costs in stages, taking into account the approved strategy. A balanced and competent approach will help protect the company from unwanted surprises and unreasonable risk.
4. Cost optimization includes a one-time procedure.
Optimizing the financial payout for cloud computing is not the only sticking point in the cost segment. The optimization process should be performed regularly and include a strategy and an integrated approach. Cost planning minimizes off-target costs and allows for better cost analysis.
Taking into account the growth of cloud technologies and the gradual displacement of its own fragments of the IT infrastructure, cost optimization is of particular relevance. Today, a number of companies simply cannot do without cloud platforms for a number of reasons. The increase in information flow requires a new approach, software and modern equipment. Traditional software modules simply cannot handle the layered architecture of big data. This requires heavy-duty computers and specific software.
In this situation, the cost of cloud technologies will only grow, and at the same time, different approaches are needed in the analysis and optimization of costs. As practice shows, the cloud infrastructure is more expensive in terms of costs than your own system. But at the same time, the advantages of flexibility, efficiency, and a wide range of tools allow in the end to complete tasks that “grounded” equipment simply cannot cope with.