Every company is faced with the struggle of how to reduce and control its IT infrastructure investments. Recently, when cost models began to evolve and become simpler, organizations started considering the establishment of data centers in the cloud, and found themselves comparing between this maneuver and maintaining hardware investments on-premises. Instead of spending effort on maintaining data centers, keeping up to date with the latest hardware, managing cooling systems, developing electricity-saving mechanisms and so forth, the new cloud model lets us focus on the “bread and butter” of our enterprise while leveraging the unique capabilities of public cloud such as usage control, compute on demand, auto-scaling, 3rd party eco-system and more. Furthermore, in recent years, some of the cloud-based models became very attractive from a financial perspective.
Amazon and Emind welcome you to join the Enterprise Grade Cloud conference focusing on customers’ stories. The sessions will dive deep into best practices including security, compliancy, high availability, capacity , TCO and ROI planning. In addition, Emind and AWS experts will be available to answer any strategic and technical questions that arise. Register Here
As changes in technology naturally bring about changes in ROI and our methods of calculation, it is necessary to constantly reevaluate a company’s best options for investment. CIOs should be honest and admit that calculating an accurate ROI or TCO for an on-premises investment is usually impossible. This is due to the complex and ever-changing expenses related to the structure of the data center, such as electricity, security, rent and especially infrastructure. On the whole, the elimination of traditional investment risks along with the flexibility that the cloud presents make a very strong case for migration to the cloud infrastructure.
In the battle between on-premises and cloud infrastructures, there is one final, scale-tipping factor to be added to the equation that eases the decision making: Amazon, Google and Azure platforms, all fair infrastructure alternatives, are dropping their prices to allow for significant company accommodation in price.
Following the latest Google price drop (between ~53% to ~82%) that was soon followed by Azure and Amazon (with Amazon reducing all product prices by an average of ~35%), there is no doubt that cloud companies and prospective organizations have the most to gain from rethinking their IT strategies by leveraging the cloud’s capabilities and lowering costs.
Of course, from an operational perspective, the cloud still requires a great deal of maintenance and day-to-day managing. As a global strategy, however, I am more than confident that with step-by-step implementations of infrastructure, learning to control your price and expenses, and learning how to work with the cloud effectively, your organization can slowly grow into an increasingly robust and cost effective cloud environment. The competition between cloud vendors will continue, driving the prices lower while increasing performance, stability, security and capacity.
Join me to learn more at our next conference – The Enterprise Grade Cloud: Customers Stories by Amazon and Emind. The conference sessions will dive deep into best practices including security, compliancy, high availability, capacity , TCO and ROI planning. In addition, Emind and AWS experts will be available to answer any strategic and technical questions that arise. Learn more and register here
About the Author
Teich Oren, Emind COO
Oren’s previous position was head of IT at Comverse, a worldwide enterprise that develops services and applications for global Telcom providers. Before that he worked as CIO of Retalix, a software developing company that serves millions of customers in the retail world.