Cloud remains a top priority for I&O professionals in 2016, but many question whether the savings are real. Public cloud platforms, software-as-a-service (SaaS) and managed cloud services can be cheaper than on-premises infrastructure for some apps and workloads today, but do your homework, as the economics change frequently.
You can’t easily make apples-to-apples cost comparisons between running apps on-premises and on a cloud platform, as a SaaS subscription, or with a managed cloud service provider. Your business case must include not only capital infrastructure savings but also operational cost benefits such as developer productivity and faster time-to-market.
Dynamics of the business case will vary across infrastructure-as-a-service (IaaS) and SaaS. The scalability afforded by IaaS isn’t a primary selling point for SaaS, yet both models enhance corporate agility. Your business case must accommodate these differences. This report outlines costs, benefits, and risks for all three major cloud options.