Chopping away Cloud bills

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Although cost saving is one of the key drivers for the trending success of cloud computing, cloud deployments do not always and necessarily mean saving costs; nor does the cloud mean that a company can perpetually go on saving with it.

According to Sanchit Vir Gogia, CEO and Founder, Greyhound Research, “A cost-analysis tool has nothing special to do with cloud services alone. In today’s economic environment, organizations are facing decreased IT budgets. They have to do a cost analysis impact before going for any important IT investment. During any cloud migration you need data points to justify the migration. Thus, these tools provide decision makers to make an informed decision.” Thus, the concept of a cost-analysis tool is nothing new, but needs to be dug into deeper by organizations looking to optimize their cloud services to the fullest. Thus, such tool should ideally be a starting point of any IT project. These tools especially now matter much more with budget issues and CFOs asking hard questions.


SLA is a major factor that determines a lot. As per Gogia of Greyhound Research, “Organizations need to calculate what cost they are paying for what SLA. Not all user workloads require the same SLA. Tight SLAs will attract higher cost. Also, organizations might already own some licenses. They need to check whether the vendor is ready to buy it out.” Thus, when investing in these tools organizations need to get a clear understanding of their infrastructure and need to understand that faster turnaround means higher cost. It is imperative to understand different users and their needs and accordingly the kind of SLAs they need.

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