Earlier quoted context omitted.
> 625 16TB drives is $400000 how much is the real estate cost of 625 drives and associated machinery to run it? At a guess, AWS has an operating margin of about 30%, so you can approximate their cost of hardware, bandwidth, and other fixed costs as 70% of their sticker price. As a start up, can you actually get this price to be lower? I actually dont think you can, unless your operation is very small and can be done…
Their margin on bandwidth is literally over 1000%. Quick google says that S3 costs 320% more than Backblaze (which, presumably, isn't running at a loss). > At a guess The comments in this discussion that try to provide actual numbers show a fairly lopsided argument against S3. The comments that are advocating for S3 aren't as detailed. You can look at this at the macro level, as on comment did, and see that one 1.2PB…
An empty 4U server with 96+ bays looks like it will set you back ~$7k minimum. At $500 per drive (I have no idea what volume discounts are like) filling it with drives would be in the range of ~$50k. You'd still need RAM. And (as you noted) space and power.
I have no idea how the math ends up working out, but a 1PB appliance in working order is nowhere near as cheap as $11k.