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this post was submitted on 08 Aug 2024
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Cloud computing CAN be cheaper but it can also be way more expensive. It is not a panacea.
It’s cheaper for companies that have unpredictable traffic/capacity. It lets you scale up/down without having build out physically.
For businesses with steady, predictable traffic it can be far more expensive. You buy the servers, you own them. They can run for years.
Cloud can get pricey veeeery quickly.
If it was cheaper large companies would not all have moved to cloud, especially since it costs a very large upfront cost to migrate all that over if you already have a full setup
Netflix used to have one of the best homegrown infrastructure and even they moved everything off to AWS
I've worked at a place that mostly just served videos and had 100M users (no idea what the DAU/MAU was). The AWS bill was ~800k a year
Just buying the land and building all the data centers across multiple continents would probably bankrupt the entire company, forget about building all that software and setting up the hardware and configs by themselves
It's only cheaper for tiny companies, but even then, no company ever has the goal of staying small
Hosting video is exactly elastic demand and a perfect use case for cloud computing. But not every business hosts video.
I’ve worked with companies that are moving at least some of their infrastructure back on premises.
https://www.infoworld.com/article/2336102/why-companies-are-leaving-the-cloud.html
There’s tons of good reasons to use IAAS, but there’s also a reason folks joke about the cost of aws.