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Embotics Cloud Management Blog

Remote Work Has Spiked – Your Cloud Costs Don’t Have To

If you are anything like most of our customers, the way that you’re working today is quite a bit different than it was just a couple of weeks ago. Recent events have radically altered so much of our lives, and we’re all adjusting to the “new normal.” One major aspect of that new reality is the fact that the number of remote workers – and the resources they consume – has gone through the roof.

As enterprises have scrambled to adjust, that’s meant a significant investment in cloud resources. Companies are doubling down on their investments in, and reliance on, the major cloud platforms to make sure business is properly supported during this time.

A strategic investment in Azure, AWS, GPC and other platforms is necessary – but particularly in a time of such uncertainty, it’s easy to get blindsided and overwhelmed by cost overruns. Not to mention that Microsoft has acknowledged Azure capacity issues impacting its customers in Europe – and has established new prioritization rules to ensure that it can support customers which may create additional uncertainty as IT looks to responsibly contain cloud costs and maintain business continuity.

A couple of months ago in this space, we told you about the guide our team put together that can help identify several strategies to optimize costs in Azure – and we thought it might be helpful to provide a reminder. Let’s look at a couple of ways that you might be able to contain Azure costs.

  • Agreements & Reserved Instances: Sure, nobody likes to be locked into a long-term contract that limits flexibility, but if you’re like most of our customers, you’re already broadly deployed within Microsoft and making a significant investment each year. So, it probably makes sense to consider how either an Enterprise Agreement or reserved instances might help your savings equation.

Both Enterprise Agreements and reserved instances do require commitments of one to three years – and EAs have a threshold of $1M minimum spend vs reserved instances which require upfront payment. It’s also good to understand that when it comes to reserved instances, the savings could be different depending on the region – and can also largely depend on the services you’re using.

Given you’re already spending the money – it’s a good opportunity to take advantage of that potential 10-30 percent discount.

  • Rightsizing & Power Schedules: While Enterprise Agreements and reserved instances are good to save you a few percentage points for some of your resources (think saving 10% off your cell phone bill), rightsizing and power scheduling may provide an even better option for significant savings.

Rightsizing requires you to look at your highest points of cloud spend to determine if there are any inefficiencies like over-provisioned environments, under or overutilized instances, etc. Whereas power scheduling can identify areas of overall savings by reducing or eliminating capacity at times of the day when your developers are typically not using their cloud instances. By creating power schedules, you stand to save up to 65 percent on your developer cloud resources.

When it comes to optimizing costs – especially in Azure – it can be easy to get caught up in the day to day and miss some regular opportunities for savings. Where possible, automation can go a long way to ensuring you have regular checks and balances in place. If you’d like to understand more about how we can help, please reach out at: marketing@embotics.com 

For more strategies and tips, check out our Azure Cost Optimization eBook at: https://info.embotics.com/azure-cost-optimization.  

Topics: Azure Cost Management Cloud Management