You’re paying too much for the cloud

Grazed from InfoWorld. Author: David Linthicum.

You can’t go a month without hearing about some price drop by a major cloud computing provider, with others quickly following suit. Though it seems like a race to the bottom, in fact the cloud providers are starting to make real money. Public clouds function much like utilities. How much businesses pay for these utilities depends directly on how they consume cloud-based resources such as storage, compute, and applications. Companies that consume cloud services efficiently pay less, and the inefficient ones pay more.

There are two efficiency-related reasons why you’re probably getting larger cloud bills than you should: First, applications aren’t optimized to effectively use cloud resources. This means the applications use the cloud resources in ways that will allow the application both to perform better and to use fewer costly resources…

The problem is that most enterprises do a simple port of the application when it’s moved to the cloud; the applications are not optimized for the target platform (in this case, a public cloud). This is called the lift-and-shift approach to application migration to the public cloud. You might get lucky. But usually it means that your application functions less efficiently, so you pay more for the use of the cloud platform…

Read more from the source @ http://www.infoworld.com/d/cloud-computing/youre-paying-too-much-the-cloud-245029