Cloud computing offers a new avenue for companies to cut costs and save on their IT expenditures, but choosing the wrong service provider can result in a serious hit to the company wallet. To avoid “sticker shock" in the cloud, read on for tips for reducing your cloud computing costs.
3 Tips for Reducing Cloud Costs
1. Eliminate Redundancy
Keeping with the old model of purchasing IT software and deploying strategies can cause companies to pay up to 50 percent more for services than they should be. Since the cloud offers products, support and software for a much different price than traditional IT infrastructure, a new model of buying and deploying must be realized.
Check with your service provider to see what is included in your current contract and be sure to avoid redundant packages that include consulting or support options you may already have access to.
2. Keep Up on Usage
According to Companion Data Services, the cloud is perfectly aligned for simple billing and metering; measuring system usage can be done by the company and analysts can track how many resources are used, all the way down to the consumption of specific applications.
However, data usage and system requirements can add up, especially when you are subscribing to a pay-per-use cloud cost model. Assign your CIO or company IT point person to keep track of your company’s resource consumption and adjust your services as business needs change over time.
3. Consolidate and Negotiate
Choosing a cloud service provider isn’t easy; there are many vendors with a wide variety of offerings to pick from. To reduce cloud costs, make sure you aren’t executing several contracts with different vendors at the same time as this can increase your costs and raise the potential of redundant services. Negotiate your contracts with providers to ensure you are only paying for what you need.
For more help with defraying the costs of cloud computing, contact our experienced team of IT professionals; we are with you every step of the way to ensure your businesses gets the services it needs with a price tag that’s realistic.