Earlier quoted context omitted.
Yeah from memory on-prem was always cheaper, it just removed a lot of logistic obstacles and made everything convenient under one bill. IIRC the wisdom of the time cloud started becoming popular was to always be on-prem and use cloud to scale up when demand spiked. But over time temporarily scaling up became permanent, and devs became reliant on instantly spawning new machines for things other than spikes in demand a…
> IIRC the wisdom of the time cloud started becoming popular was to always be on-prem and use cloud to scale up when demand spiked. I've heard that before but was never able to make sense of it. Overflowing into the cloud seems like a nightmare to manage, wouldn't overbuilding on-prem be cheaper than paying your infra team to straddle two environments?
An under-rated aspect of this is that it provides detailed data for planning the expansion of the on-prem environment, including changes in how the hardware is being used.
My experience is that this is a good model. On-prem is about 1/3 the cost of the cloud, fully burdened, in my experience but being able to transparently spill to the cloud mitigates the capacity and supply chain risks that come with on-prem.
It is effectively a cheap insurance policy.