Respondents to Flexera’s 2020 State of the Cloud Report estimated that 30% of their cloud spend is waste. Because respondents historically underestimate things like waste the reality is that waste probably represents as much as 35% or more of all cloud expenditures. Can you imagine that? If you knew that your dripping faucet was 30-35% of your water bill you’d call a plumber, right? That’s a rhetorical question, because, you would. Plumbers don’t fix issues with cloud spend, but there are people that do.
By my way of thinking this estimated waste is akin to good ole fashioned shelf-ware, it just isn’t visible, collecting dust on the shelf; it’s “virtual shelf ware”. Sadly, the financial losses are anything but virtual.
The cloud has a basic promise: you will only pay for what you use. That statement is only half the story because you will also pay for everything you use, whether you made good use of it or not. Say that again, “whether you made good use of it or not…” This is the balance you seek in the art of cost-optimization: are you purchasing the right things, the right amount of those things and are you using all the things you’re buying. The cloud is “the future” and as it becomes “the present” it is of utmost importance to continue getting better at reviewing and understanding your cloud bill. Maybe you need help from an expert, maybe you need to become an expert. You can start the journey by backtracking to my pro-tip in a series on cost management strategy here. https://www.linkedin.com/feed/update/urn:li:activity:6681656207289171968