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Is a billion dollars worth of server lying on the ground?

cerebralab.com

11–20 of 338 posts

Re: Is a billion dollars worth of server lying on the ground?

#11
I love OVH, and have several servers there.

But it's not AWS. They don't have the same ecosystem of services. Consider, IAM, for example. Premium pricing for a server that has access to that seems normal to me.

On the other hand, he didn't include egress charges. That makes the gap even wider for many use cases.

Re: Is a billion dollars worth of server lying on the ground?

#12
One big thing not mentioned here: the massive collection of managed services AWS gives you at no cost.

The biggest example is probably IAM, which makes it easy to control which servers can take what actions on which other services. And can also be integrated directly into external tools like Vault.

Want to use service discovery? No need to set up Consul/Istio/etc., just use the managed service. Same with load balancers, and VPCs, and SSM, and route53, etc.

Sure, in 2020 none of those services are that hard to replicate pieces of, and open source tools abound. But setting up those tools all takes time.

Only other nit is that the article makes it sound like Terraform and IaC is meant to abstract away AWS vs GCP such that one terraform module _could_ be deployed to either just by changing some string value from "AWS" to "GCP". I don't believe any serious (and good) efforts are being made in that space, and you won't find any popular modules like that on https://registry.terraform.io/.

Re: Is a billion dollars worth of server lying on the ground?

#13
With the price of pro fiber (redundant with SLA) I recently moved some apps back to our own servers in house. This did cut the price down dramatically. I would not recommend it for super critical apps (except if you have your own state of the art data center, but I am not speaking about that), but having 5-10 servers in a secure cabinet will give you infinite flexibility for little cost. We pay around 5000$/y to keep running about 50k$ worth of hardware. It's 10-20 times less that what we would pay on AWS. Of course this approach has limits, but it can work in some scenarios and should not be "de facto" dismissed.

Re: Is a billion dollars worth of server lying on the ground?

#14
post #3

With respect to varying EBS performance, I remember somebody once mentioning that they always provisioned 10 EBS volumes at once, wrote garbage to them all for 24h or so to warm them up, then benchmarked them and deprovisioned all but the fastest one. How useful this is in practice isn't something I've tried to measure myself, but given the performance variance people report it might not be a bad idea to try for your…

Historically EBS volumes were not initialised. The space was allocated, but until you touched the right blocks the first access time was terrible. This is not the case anymore with modern classes.

Also neighbours will change over time so testing for 24h and committing to a volume long-term doesn't sound optional.

Re: Is a billion dollars worth of server lying on the ground?

#15
We tried running things on AWS and digital ocean. Yes, AWS offers a lot of extra value with all the other services. But at the same time, we had a relatively simple application. We ended up managing our own sets of dedicated servers for a fraction of the cost. Peformance is way higher. In the end, the cost difference was just too big to justify it when we were trying to be scrappy. We also realized that all the extra features offered weren’t being utilized as our infrastructure requirements were simple.

Re: Is a billion dollars worth of server lying on the ground?

#16
Few large organizations pay the on-demand price that this article uses for comparison.

By reserving the instance, or using spot, the costs of these instances come way, way down, usually 50-80%.

I’m not trying to defend AWS here, but for an accurate comparison, it’s best to use the numbers that people are actually paying in practice.

Re: Is a billion dollars worth of server lying on the ground?

#18

He kind of touches on this in point IV, but never mentioned specifically: the cost comparison is not AWS vs ovh. It's fragment-of-EC2 vs ovh. If you need a predefined small number of VMs and no other functionality, it would be silly to go with AWS. But on the other hand, if you want a set of servers of a given class spawning on demand, with traffic coming in via load balancers, with integrated certificate and DNS man…

Many people use AWS because everyone uses AWS. Many of my clients have no need for AWS but still use it, at least until the VC money runs out. Usually then I have to go first, then servers are moving to somewhere cheaper when a new CFO comes in.

Re: Is a billion dollars worth of server lying on the ground?

#19
post #7

I think the main reason they can afford pricing their services that high is because of peer pressure - probably itself the result of clever marketing, or that would be a really happy coincidence. I've worked in many startups now, several of them where I was the first (and for a while, only) developer and had to decide on the infrastructure. Each time I was going with OVH, and each time the CEO was trying to push for…

CEO changes his opinion when money runs out and a new CFO comes in to fix the costs - at least from my experience.

Re: Is a billion dollars worth of server lying on the ground?

#20
post #9

Are there tens of regions around the world? Are there multiple AZs within a region that are single-digit milliseconds apart? Can I autoscale? Is there a managed load balancer? Do I have to manage my own database instances and availability? Do I have access to hundreds of other services for things that I don't want to spend time managing myself? Aren't we years beyond the 1:1 cost comparison for a single server argume…

The question is wether that is worth the lock in.
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