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Smart Ways to Reduce Your Cloud Costs

Why are my cloud costs so high? Before we dive into the what, let's first cover the 'why'. There are a few reasons why cloud spend can creep up on businesses, including: 

  1. Using many services: Most companies use at least two cloud providers. It's normal to lean on different providers for different services. However, different providers also have different terms and charge different amounts. It can be easy to get confused between costs, and it is harder to keep track of multiple work streams in various cloud environments. 

  2. Tracking spend manually: The cloud's flexibility is one of its most significant assets, but it can also be its biggest downfall for businesses. Because it's so easy to scale up resources, it's almost impossible to keep track of costs manually. Yet, many companies fail to use automated tools to help keep an eye on costs and usage. 

  3. Haphazard adoption: Many businesses tend to adopt the cloud haphazardly. Once they need a cloud instance, they'll buy it and pay as they go. Doing this can easily lead to a considerable cloud bill. What's needed instead is a strategy, but Gartner found that less than one-third of organizations have a documented one for the cloud. 

How to reduce your cloud costsWith a bit of planning and automation, you can quickly get your cloud spending down to the amount you desire. Here are our top tips for managing cloud spend. 

1. Choose reserved instancesThe pay-as-you-go cloud model definitely has its place within business, but it shouldn't be the cornerstone of your strategy. Instead, you should choose reserved or spot instances, where you pay a fixed, monthly fee for a certain amount of capacity over a time period. These instances usually come in at half the price of pay-as-you-go models, meaning they're an instant cost saver. 

2. Make use of automated toolsMost of the big cloud providers have automated tools that you can use to help you track cloud spend. These tools range from forecasting tools, which predict your bill based on your consumption, to capping tools that will stop your cloud usage once you reach a certain limit.  84% of business leaders that have adopted cloud automation have seen an increase in revenue and reduction in operation costs. One of the best tools out there is autoscaling, which will increase and reduce your cloud load in line with your consumption. This will stop you from paying for excess storage that you're not using. If you'd like advice on automated tools, or aren't sure where to get started, speak to our I.T. Consulting team, who will be happy to talk you through your options.  Plus, if you'd like more support, consider using our I.T. outsourcing services. We can take care of the whole cloud journey for you, building a plan that meets your needs and your budget. 

3. Keep an eye on data transfer feesWhenever you upload or download data to and from the cloud, there's a price you have to pay. Do this excessively, and you'll quickly end up with a huge bill you weren't expecting. It would be best if you put strict guidelines in place about data uploads and downloads, so you can predict your fees. 

4. Prevent cloud sprawlRedundant cloud instances are a considerable cost drain. These are parts of the cloud that you no longer use but are still paying for without realizing. Finding and removing these instances will instantly save you a lot of money. If you need assistance with discovering redundant cloud instances, let us know. Our team has the tools and resources to assist you. 

Embrace the Cloud Efficiently! Texas I.T. Pros can work with your Denton or Wise County business to ensure you're getting the most from the cloud, while optimizing your cloud spend.  Contact us today to learn more! Call 940-239-6500 or reach out online.

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