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Accr. To IDC : By 2012 20% of the businesses will own no IT assets.
During the coming 10 years, data stored in various storage systems will increase by 44 times, with the current rate of growth. But it won’t be possible for enterprises to scale up their IT budgets and infrastructures at the same speed.
Saving in time : No planning and cost estimates for hardware required.
Almost 3 cents/hour for electricity alone not taking into account: labor, server hardware amortization, data-storage costs (replacing a failed disk), cooling costs, ISP costs, security costs (routers, firewalls, etc.), power backup costs (a UPS) and so on. Mark notes that he could have probably bought a newer more energy efficient server – but the required investment would not justify the savings.
The shocking part is that the recent price competition of cloud infrastructure (IaaS) and platform ( PaaS ) vendors took the current cloud servers costs to roughly the same order of costs. Here’s a quick survey of a few major cloud players:
Microsoft is rolling out their 5 cent/hour option (with additional further discounts if you pre-pay for reserved use – e.g. say you have a bunch of instances which you have running all the time and you are willing to pre-pay for the next few months).
Same thing with Amazon : minimal price (although for a slightly more limited version) is already in 2 cent for Linux / 3 cent for Windows instance area, with reserved/pre-paid option getting as low as 0.7 cents/Linux & 1.3 cents/Windows .
Rackspace pricing starts at 1.5 cents/hour for Linux , and 8 cents/hour for Windows .