Number of Tables: 3
This IDC Insight presents how cloud IaaS is frequently seen as a way of controlling ever-increasing IT infrastructure budgets, especially in industry sectors where service cost management is paramount, such as in government service delivery. Where whole-of-government cloud programs have been implemented, this perception may be a major inhibitor to the uptake of cloud services by government departments — especially in smaller agencies that these programs specifically target. This Insight examines how the comparison of the sometimes seemingly higher costs of cloud services can be reconciled with the limited cost accounting that is usual in the commonly targeted midrange marketplace. Simplistic cost comparisons are not ideal, but nor are complex, multi-factored total cost of ownership (TCO) analyses. We outline some basic factors to include in cost assessment and make some conclusions about costs versus benefits.