The cost implications of migrating to cloud computing
It is inevitable, that the cloud has become instrumental in contemporary business applications and operations. For years now, the cloud has been delivering tangible advantages and benefits, many of which improve agility and flexibility both at home and at the workplace. If your business is in the midst of a migration plan or is yet to enforce one, you should be aware that
Migration from a traditional model into the cloud could imply added costs, some of which are impossible to plan for. While the unforeseen costs will not prevent your business from realizing the benefits and the value of cloud computing today, it is still important to understand the cost implications expected so that you can effectively assess the overall cost and benefits of cloud services. These are some of the cost implications of cloud computing:
Moving data and storing it
The process of moving data and storing it can cost thousands of dollars each year, especially if the data in question is in large volumes. Additionally, it also costs money to have your data stored for extended durations. Part of the reason the moving process is so expensive has to do with Network bandwidth; cloud providers tend to charge a lot for uploads and downloads. Furthermore, as your business grows, so too will your data, which means internal labor costs to handle and manage the workload; just as you would hire a professional to manage your servers.
Before migrating to the cloud, most businesses find that they have to test the various options in the market, which could result in unforeseen expenses. If you run a large business operation, the process of finding the right vendor for your needs can be costly. Additionally, stabilizing your system within the cloud can prove challenging- to untangle the mystery of how your operating systems and databases will work within a cloud may force you to spend money. In some cases, the solution to such problems may require changing a portion of the code, which can be difficult if you are not a professional.
Rent and utilities
Moving systems to the cloud may mean dealing with the unexpected cost of paying for expenses that would normally not be your responsibility. Infrastructure charges such as power and rent are typically lumped into the overall cost, which means that you may end up paying for rent and utilities that were not included in your IT budget. In order for the new model to work for your business, changes to budgeting practices are required.