When it comes to the public cloud, it's easy to scale up and down according to business needs. The downside to this flexibility is that it's easy for changes in cloud usage to sneakily add up in costs. Especially in times when businesses do not have any choice other than to ramp up, it's critical that enterprises manage their cloud spend accordingly.
As of now, public cloud services are utilized most in industries that are closely linked with software and technology, followed by discrete manufacturing. That being said, 33.3% of all IT budgets for enterprises are allocated to cloud services. This is only estimated to grow. World wide cloud spend is said to increase from $229 billion USD in 2019 to $500 billion USD in 2023. The Compound Annual Growth Rate (CAGR) is estimated to be 22.3% during this time period.
Your business shouldn't be paying for any services that they do not need. Instead, you should be finding ways to control your public cloud spend through appropriate research and analysis. We're here to break down 4 ways you can better control your public cloud spend and save those resources for other areas of your business. Keep reading to learn more.
1.Understand The Basics Of Public Cloud Spend
It's been said that you shouldn't run before learning how to walk. One of the most effective ways of controlling your public cloud spend is to better understand your usage. Monitor your daily and hourly costs based on data from your trusted cloud provider. You can even set alerts for when you hit certain critical budget thresholds. It pays to take the time to understand your monthly bill, suss out hidden costs and understand what fees mean what.
2. Figure Out The Spikes and Anomalies
Now that you have taken the time to understand the basics of your monthly public cloud spend it is time to take a look at any spikes or anomalies that may have occurred during the month. Did you notice higher than average costs? Was there a decline in spending? Certainly, it's now time to determine if any of these additional costs are avoidable. The important thing is to identify anomalies that came by surprise. Moreover, if you're expecting spikes due to surges in use then you're able to budget accordingly. The problems arise from unexpected costs.
3.Examine Storage Costs
Taking the time to analyze the usage profile of data that you're storing in the cloud is a best practice that should not be overlooked. Your business should be able to monitor whether stored data is accessed to see if the data is actually needed or not. Perhaps data was leftover from an outdated project, or maybe the information is stored in multiple places unnecessarily. Furthermore, no matter where the unused data may have originated, if it's taking up space in your public cloud you're paying for it. Determine whether or not it's still necessary and you could be saving on your cloud spend.
4. Consider Cost Variances
From provider to provider there can be varied rates for the same service in different regions. The factors of why can be complex and range from labor costs, market fluctuations and the costs of operating in a particular region. Certainly, it's worth taking the time to compare different offerings from multiple providers. Moreover, sometimes taking the leap to switch workloads can also save your business significant amounts of money.
If you're looking to take control of your public cloud spend then consult the experts at VEXXHOST. Our team of experts is here to help you better understand your public cloud spend and grow your business with an OpenStack powered cloud. Curious to learn more? Contact us today!