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Calculating the ROI on Cloud: The Cost of Cloud – Part 3

by cloudtweaks on December 2, 2011

in Business, Cloud Computing, Companies, Computing, Contributors, IT, Security, Storage, Technology, Virtualization

Continued from Part 2 The Cost of Cloud Clearly, there is great return potential associated with Cloud-based model. However, transition to Cloud-based model from an on-premise model is not without cost. Direct Ongoing Cloud Costs While the cost savings associated with a cloud-based model over an on-premises model are clearly substantial, there are two areas where an IT organization will face new costs associated with Cloud: those associated with the Cloud platform (~5%) and those associated with Cloud databases (~4%). However, these are operational expenditures – pay-as-you-go costs, that depend entirely on the business’ demand. On-time Migration Costs In addition

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