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5 Ways to Reduce Cloud Spend

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Cloud technology makes the on-demand sharing of resources and costs among many end users possible. End users can process, manage, and store data effectively and quickly thanks to it.

Despite these advantages, many businesses are looking for ways to cut back on their cloud spending as costs rise. Where can you find cost reductions so that your cloud investments can fulfill their potential without being money wasters?

Fixed and dynamic pricing are the two popular cloud computing pricing models. The more conventional model is fixed pricing, where you purchase a set quantity of resources (such as computing, storage, and networking) and forecast their requirements over the next three to five years. This model might commit money for capacity that isn’t being used. (Server virtualization in the data center exemplifies this by highlighting resource underutilization.) With fixed pricing, whether you use the resources or not, you still must pay for them.

Dynamic pricing aims to make this more dependable and affordable, like how you buy electricity, where you only pay for what you use. Pay-as-you-go can reduce costs, but it does necessitate a precise analysis of your computer, storage, and network bandwidth usage. If you are unaware of the peaks and idle times so that you can shut down applications and services when not in use, the pendulum can swing from cost-effective to costly.

You keep services running around the clock under the fixed pricing model. Knowing when to turn off unused services is essential in a dynamic cloud-pricing model if you want to realize full cost savings.

Controlling costs is essential and should be a continuous effort, whether you use a fixed pricing model or a dynamic pricing model. Here are 5 ways to save money right away using the cloud.

Perform a Performance Analysis

Often, switching to dynamic or pay-as-you-go pricing will result in cost savings. However, to realize those savings, you must conduct a thorough performance analysis using the reporting tools provided by the cloud service provider (CSP). The end user’s experience is not measured by the CSP data, despite showing you how well the application is functioning in the cloud. Your reporting tools must be identified and set up to concentrate on the performance metrics that matter most to your users.

You are told what to measure by your client service level agreements (SLAs). Even though everything in a data center or cloud deployment is blue, the end user still thinks the performance is terrible. We have seen how much money it costs businesses to change this perception.

Establish Ongoing Surveillance

Although CSPs provide high-quality cost optimization tools, your I & O team should have the most knowledge of your environment. They need to keep an eye on what servers are being made and to what specifications. The foundation for continuous monitoring is made up of the tools and reports you set up for analysis. To ensure performance and keep costs under control, set up alerts and automated actions.

Spend Money on Automation

Use the extensive data your monitoring has collected to your advantage and make use of the auto-scaling and other automation services offered by your CSP. Make sure the automation you configure can scale both up and down.

Systems for development, for instance, are only used during the workday. To avoid paying for 60% of the time when no one uses the systems, you can automate these systems to turn them off at night and on weekends. The development environment can be automatically set up at the start of the East Coast workday and shut down when the West Coast developers finish for the day.

Minimize Extra Storage

The main cause of rising cloud costs may be storage utilization. Business practices and IT cultures can push a lot of duplicate data and produce redundancies, which will exponentially increase costs. Staff will need to be retrained on procedures to make simple changes to data copying and versioning that will result in cost savings when using cloud storage.

Monthly fees for cost-per-gigabyte of stored capacity are included in pricing models for cloud storage infrastructure. As data ages in its life cycle, cloud storage must be optimized through the various storage tiers in the cloud. Verify that any provider has clear pricing that outlines each variable and increases as usage increases.

Identify Overprovisioning

Where you have been overprovisioning resources will be revealed by the improved monitoring you have implemented to take advantage of dynamic pricing. This is particularly true if you have moved applications from dedicated physical servers to cloud-based virtual servers. In the data center, the typical physical server that supports one application is underutilized. This is demonstrated by the widespread use of server virtualization. Additionally, the data bus, memory, and CPU speeds in your cloud environment might all see improvements.

About the author

Neha Verma

Neha Verma is a content writer who has 5+ years of experience in writing content in different domains and industries. She has been working with B2B & B2C industries and has created content for presentations, the training worked on web content, and copy content. She specializes in blogging, email marketing, and digital marketing content. Currently, she lives in India.