Administrators are increasingly questioning the value of cloud services, with over a third of organizations feeling their transition to the cloud has not met cost-effectiveness promises, and more than half reporting increased bills. A report from Civo highlights rising costs across major platforms like Microsoft Azure, Google, and AWS, contradicting the expectation of stable or decreasing prices. Analysts suggest that while cost pressures from rising electricity and IT staff expenses contribute to these increases, a retreat from cloud services is unlikely, as CIOs continue to rely on cloud solutions despite the diminished enthusiasm.
Why do we care?
Cloud cost management is the reason to care less than a move away from the cloud. This creates a direct business opportunity for service providers to step in with tools, strategies, and expertise in optimizing cloud costs. Services like cloud cost auditing, resource allocation, and rightsizing workloads will become essential as companies look for ways to control and reduce their cloud expenditures. Assisting customers with managing cloud costs is going to be an ever increasing need. That’s before you even consider AI, which has considerable costs associated with it.
