The Case for Cloud Cost and Performance Optimization

The Case for Cloud Cost and Performance Optimization

Hands moving cost down and performance up
Hands moving cost down and performance up
Hands moving cost down and performance up

Cloud cost optimization and cloud performance optimization are two critical aspects of managing cloud resources. While they are distinct in their focus, they are not mutually exclusive. In fact, they are interdependent in many ways.

What is cloud cost optimization and how does it differ from performance optimization?

Cloud cost optimization is primarily about reducing expenses. It involves strategies like right-sizing instances, using reserved or spot instances, and eliminating waste. Existing cloud cost optimization platforms, such as CloudHealth by VMware and CloudCheckr, offer capabilities like cost visibility, allocation, and budgeting. They help businesses control their cloud spend but might not necessarily help in ensuring the performance of their applications.

How does performance optimization differ from cost optimization?

Cloud performance optimization is about enhancing the functionality and efficiency of your cloud operations. In involves strategies like improving application performance, scaling resources effectively, and reducing latency. Platforms focused on performance optimization, such as New Relic of Dynatrace, help in monitoring and improving the performance of applications but might not provide enough insights into cost management.

Why is it critical to optimize cost and performance together?

When combined, cloud cost and performance optimization can lead to a more balanced and efficient use of resources. This is because they can help businesses make strategic decisions about where to best allocate their resources. Non-critical resources can be optimized for cost, while critical resources can be optimized for performance, ensuring the best use of a company's budget.

The "State of the Cloud 2021" report by Flexera, the "2021 Cloud Computing Cost Effic=iency Survey" by OpsRamp and the "DigitalOcean Currents Report: Cloud Trends for Q3 2021" support this approach. These reports show that organizations are increasingly understanding the need for both cost and performance optimization. Many are realizing that focusing on cost alone can lead to performance issues, while focusing only on performance can lead to cost overruns.

Serra Labs, Inc. (www.serralabs.com) offers a state of the art cloud cost and performance optimization that enables using different optimization strategies for different resources based on their business criticality.

In conclusion, while cost and performance optimization can individually bring important benefits, a combined approach can result in even greater value. By balancing the need to save costs with the need to ensure performance, organization can maximize the value they get from their cloud investments.




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