This One Chart Shows The Vicious Price War Going On In Cloud Computing

January 14, 2015 Off By David

Grazed from BusinessInsider. Author: Eugene Kim.

In recent years, cloud computing providers have been slashing prices — a phenomenon we’ve called the “race to zero.” Amazon Web Services, for example, has cut its price 44 times in the last six years, while Microsoft and Google have both decreased prices multiple times to keep up with AWS.

On Wednesday, RBC Capital’s Mark Mahaney published a chart that perfectly captures this trend. According to the chart below, the average monthly cost per gigabyte of RAM, for a set of various workloads, has dropped across the board over the past year. This is just one way to measure cloud pricing – cloud companies charge in different ways for different services. But it’s a good proxy for how fast prices have been dropping for real-world use scenarios.

Read more from the source @ http://www.businessinsider.com/cloud-computing-price-war-in-one-chart-2015-1#ixzz3Opdk3GZV