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Is the Cloud Recession-Proof?

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Re: Is the Cloud Recession-Proof?

#61
post #51
post #45

Earlier quoted context omitted.

Pretty sure a typo and the million wanted to be a kilo? $120m/year for apparently unnecessary IT capacity would be hard to hide even in government contracts...

$120m is not ridiculous for a medium to large enterprise. For an engineering team of ~1000, just the build servers will cost about $1-5m a month (depending on what's being done there).

$1000+/month/per engineer sounds way too high.

Re: Is the Cloud Recession-Proof?

#62
post #33
post #23

Earlier quoted context omitted.

The guy is lying, obviously.

Maybe, maybe not. But I think I agree with you- 10m/m is a comically large number(I wonder how many companies spend even 1/100th of that a month on cloud compute?) and I have no reason to believe this person so why would I?

I think it would be easy to hit especially if you were spending on cloud SAAS offerings + actually have a lot of users. I know I've managed to spend a few $10K/month on a project before - and it was actually celebrated because it was less than half the cost of what it was replacing.

Re: Is the Cloud Recession-Proof?

#63
post #51

Earlier quoted context omitted.

$120m is not ridiculous for a medium to large enterprise. For an engineering team of ~1000, just the build servers will cost about $1-5m a month (depending on what's being done there).

$1000+/month/per engineer sounds way too high.

seriously, that's a very beefy server per engineer, just in cloud resources. not including what they use to do their day to day work. NFW would I allocate such a spends per engineer--maybe for beefy projects/groups, but not for the org as a whole.

Re: Is the Cloud Recession-Proof?

#64
post #33

Earlier quoted context omitted.

Maybe, maybe not. But I think I agree with you- 10m/m is a comically large number(I wonder how many companies spend even 1/100th of that a month on cloud compute?) and I have no reason to believe this person so why would I?

I think it would be easy to hit especially if you were spending on cloud SAAS offerings + actually have a lot of users. I know I've managed to spend a few $10K/month on a project before - and it was actually celebrated because it was less than half the cost of what it was replacing.

Yeah but that’s almost my point; 20k/m is an order of magnitude less than 10 million/month.

Re: Is the Cloud Recession-Proof?

#66
post #51

Earlier quoted context omitted.

$120m is not ridiculous for a medium to large enterprise. For an engineering team of ~1000, just the build servers will cost about $1-5m a month (depending on what's being done there).

$1000+/month/per engineer sounds way too high.

Depends on how many engineers you have.

Re: Is the Cloud Recession-Proof?

#67
post #45
post #2

Definitely not. My company has been drastically scaling back our AWS spend and I mean about a $10m+ a month reduction. I guarantee we're not alone. All the gee-whiz resume-driven-development type project infrastructure was the first to go lol.

Pretty sure a typo and the million wanted to be a kilo? $120m/year for apparently unnecessary IT capacity would be hard to hide even in government contracts...

I’ve seen a big bank spin up a dev environment in a cloud for a lending platform at a cost north of $36M a year before they finished the requirements for the project.

Not impossible at all to believe they could cut $10M/month from could spend at a big enough company just by trying.

Re: Is the Cloud Recession-Proof?

#68
post #30

Earlier quoted context omitted.

For the big 3 cloud providers, even if their cloud did contract significantly, they are all poised to earn more on the other parts of their business to make up for it.

Amazon as a retailer, sure, but why would this be true for Microsoft (software licenses) or Google (ads)?

Microsoft is heavily invested in software that helps with remote work like office 360 and Microsoft teams.

Google is getting more traffic than ever I'm sure with people stuck at home and looking to buy or do things online. All of which are advertising their services in Google.

Re: Is the Cloud Recession-Proof?

#69
post #2

Definitely not. My company has been drastically scaling back our AWS spend and I mean about a $10m+ a month reduction. I guarantee we're not alone. All the gee-whiz resume-driven-development type project infrastructure was the first to go lol.

At the same time, many entertainment companies are scaling like crazy, spending magnitudes more on clouds.

Re: Is the Cloud Recession-Proof?

#70
post #51

Earlier quoted context omitted.

$120m is not ridiculous for a medium to large enterprise. For an engineering team of ~1000, just the build servers will cost about $1-5m a month (depending on what's being done there).

$1000+/month/per engineer sounds way too high.

It’s not just costs incurred by engineers, it’s costs incurred by users. If you’re providing file storage as part of your app, then for every engineer with a dev environment in the cloud, 1000 users could be uploading gigabyte files into your S3 bucket.
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