this post was submitted on 07 Jul 2024
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Not only it can be cheaper, it is cheaper in most cases... when designed correctly. And if you compare TCO, not hardware vs IaaS.
It can also be much more expensive of course, but that's almost always a skill issue.
In most cases! Sorry, I simply don't believe it. Once you operate for 5, 10, 20 years not having capitalized anything is expensive as hell, even without the skill issue (which is not a great argument, as it is the case for almost anything).
It's almost always the case with rent vs invest.
Do you have some numbers?
I cite a couple of articles in the post, and here is a nice list of companies and orgs that run outside the Cloud (it's a bit old!) or decided to move away. Many big companies with their own DC, which is not surprising, but also smaller (Wikipedia!).
37signals also showed a huge amount of savings (it's one of the two links in the post) moving away from the cloud. Do you have any similar data that shows the opposite (like we saved X after going cloud)? I am genuinely curious
Edit: here is another one https://tech.ahrefs.com/how-ahrefs-saved-us-400m-in-3-years-by-not-going-to-the-cloud-8939dd930af8 Looking solely at the compute resources, there was an order of magnitude of difference between cloud costs and hosting costs (x11). Basically a value comparable (in reality double) to the whole revenue of the company.