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Singapore software vendor says own hardware in colo costs $400M less than cloud

theregister.com

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Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#81

These articles are usually pretty honest and non-controversial but bring out all the AWS brainwashed "Cloud Transformation" consultants. They cling to a set of vendor principles drummed into them and can't seem to view other angles. Good 'ole Enterprise IT.

This comment is very ironic in context, especially with the makeup of comments on the article.

There are passionate people on both sides and usually pretty good reasons for both.

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#82
post #13
post #6

This is kinda obvious, isn't it. Companies have made this observation for years: cloud is very expensive compared to self-hosting. However, * you do not have to spend a large amount of money upfront * cloud's provisioning time is very short * cloud's automated management requires way less man-power to operate

> * cloud's automated management requires way less man-power to operate My experience here is the opposite. I did contracting in the devops space for years, and those of my clients who spent the most on ops were consistently those using cloud providers.

Chicken and egg, maybe? If ops are more important to me I will not be owning my own infra.

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#83
post #78

Earlier quoted context omitted.

Something which sometimes gets lost from a US centric perspective is that cloud lets you get servers much closer to the end user without having to establish relationships with hosting companies and colo facilities on another continent. Shaving 100ms off of each request can be useful in a lot of circumstances.

In that circumstance a CDN would likely deliver the same performance.

if you're serving static assets

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#84
post #20

My goodness is it Monday already and time for yet another of these articles? At a given scale and software maturity, it is cheaper to buy your own hardware and pay for your own team to operate it. Generally, this is when you start thinking of your hardware needs in terms of fractions of an entire data center, but in simple cases may be smaller. This almost is not ever true for software startups, who get more value fr…

> This almost is not ever true for software startups, who get more value from speed, flexibility, and not needing to pay a team to manage hardware.

Exactly. I cringe every time I look at the AWS/Azure running total, but at the same time I realize that paying a separate team would be even more ludicrous at our current scale.

Right now, I can single-handedly administer 100% of our IT infrastructure as barely a side-concern because nearly everything is inside the Azure/AWS bubble. Delegating IT management tasks to non-wizards is actually feasible too.

The moment you start racking servers on-prem, you need a very specialized workforce to keep them alive. I suppose you could vendor parts of this out too, but then you are really splitting hairs regarding why you brought crap on-site in the first place.

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#85
Does anybody have experience with hybrid cloud?

It seems to me that having colo machines for your base loads would be the cheapest, having cloud machines available for flexibility would alleviate scalability / business continunity concerns, and then having them all on cloud networking would allow integration of the managed data services, etc.

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#86

Why don't companies just use hosting services such as Hetzner? way cheaper expecially for bandwidth, you don't have to pay the hardware costs, and you can scale

I love Hetzner and keep a couple of machines running for prototypes and running scripts. But I can't use it for production or as my primary remote development environment because for someone in India the latency is way too high. I really wish they had Indian datacenter or any similar alternative. The ones in the country are at least 4x priced with still worse specs and much worse reliability and service. If anyone knows any good option in India, I would start using them for me and clients in a heartbeat. Until then, I am stuck with AWS.

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#87
post #85

Does anybody have experience with hybrid cloud? It seems to me that having colo machines for your base loads would be the cheapest, having cloud machines available for flexibility would alleviate scalability / business continunity concerns, and then having them all on cloud networking would allow integration of the managed data services, etc.

I think everybody that has bare metal does this. It's cheaper to use DO or whoever for the small stuff than to manage your own VM hosting stack.

The integrated network stuff imho is just for people who can't implement proper transport and application layer security.

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#88
post #80

Earlier quoted context omitted.

Cloud is cheap when starting. Saves time

Try to run LLaMA in cloud...

VPNs and hybrid architectures exist for a reason. If 99% of your IT infra is boring crap but you have this one special unicorn machine, maybe throw it on an employee's fiber connection and set up a point-to-site VPN for that machine.

Does it make sense to abandon the entire cloud because of 1 use case?

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#89
post #20

My goodness is it Monday already and time for yet another of these articles? At a given scale and software maturity, it is cheaper to buy your own hardware and pay for your own team to operate it. Generally, this is when you start thinking of your hardware needs in terms of fractions of an entire data center, but in simple cases may be smaller. This almost is not ever true for software startups, who get more value fr…

Right. I pay under 2k for server costs. And combined with all the different platforms I use and the convenience features and not having to hire my own devops person, I assure you I am saving A LOT.

There are few companies that operate at the scale at where it is cheaper to run your own servers. Once you hit that, it is a great problem to have.

Re: Singapore software vendor says own hardware in colo costs $400M less than cloud

#90
post #13

Earlier quoted context omitted.

> * cloud's automated management requires way less man-power to operate My experience here is the opposite. I did contracting in the devops space for years, and those of my clients who spent the most on ops were consistently those using cloud providers.

Chicken and egg, maybe? If ops are more important to me I will not be owning my own infra.

My experience is the opposite: Those who see it as important and core to their business are more likely to own. The rest tend to see cloud services as a way to reduce capex. Never mind that you can rent or lease managed servers and still save.

It was almost uniquely down to complexity and e.g working around lack of flexibility (fitting workloads to cloud services and instance sizes rather than fitting the environment to the services).

We'd always run everything under an orchestrator, whether on prem, in colos or in clouds anyway, and with the same monitoring and same redundancy.

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