Cloud computing’s elusive TCO
Grazed from GigaOM. Author: David Linthicum.
Total cost of ownership, or TCO, is a formula that assesses direct and indirect costs and benefits related to the purchase of any IT component. The goal is a final figure that will reflect the true purchase price, all things considered.
For instance, if I leverage a public cloud, my reoccurring costs go up since I now pay subscription usage feeds. However, the amount of money I pay to buy and maintain hardware and software should go down, or go away entirely. Thus, the TCO of cloud is the adjustment in direct and direct costs and benefits as a result of using cloud…


6fusion is pleased to once again be one of the cloud industry leaders collaborating on the 4th annual Future of Cloud Computing Survey and we encourage everyone involved in cloud to participate in the survey. Whether you are a cloud user, cloud provider, cloud broker, or play another role in the cloud you should take the survey. It will only take about 5 minutes to complete and you can access the survey here: