Comparing the Costs of Replacing Physical Servers with Public Clouds

Free White Paper

TABLE OF CONTENTS

  • Executive Summary
  • Introduction
  • Classes of Cloud Computing
  • Public Infrastructure as a Service: Economic Benefits for Users
  • Price and Performance of Public IaaS vs. Physical Servers
  • Mapping Physical Server Performance onto Public IaaS
  • Mapping Physical Server Cost onto Public IaaS
  • Correlating Public Cloud Costs with Duty Cycle
  • Conclusion
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The promise of deploying a public infrastructure cloud – a network-based resource of pooled hardware that can be consumed on demand – has both excited and confounded businesses. Corporations are quickly becoming well versed in the vernacular of cloud computing.  However, even as the idea of cloud computing preoccupies the IT industry, its total cost, performance implications, and economic consequences are still mired in obscurity. Public cloud computing is not practical for all IT environments, and under mathematically rigorous treatment, there are undeniably situations where public cloud computing is more expensive than traditional IT deployments.  However, for the appropriate workloads, cloud computing clearly offers end users the opportunity to acquire computing resources more cost-effectively than on-premises infrastructure.
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