The ISG Cloud Comparison Index™ is the first benchmarking study that compares the cost of running applications and workloads on internal information technology (IT) platforms with the cost of running those same applications and workloads in the public cloud. View the full ISG Cloud Comparison Index™ report at: http://info.isg-one.com/ISG-Cloud-Comparison-Index-June-2015.html

1. ISG Cloud
Comparison
Index™
June
2015
Public Cloud is not always cheaper
New ISG study shows usage matters when comparing
the cost of public cloud to internal IT solutions
Prices for similar
infrastructure configurations
vary substantially between
public cloud providers.
Public cloud prices
are highly sensitive
to usage.
When public cloud usage
is less than 55%, internal
IT costs cannot compete.
Usage is the primary driver
of cost in the cloud, but
configurations and features
also play a significant role.
The monthly price for a sample configuration varies
significantly among the public cloud infrastructure-as-a-
service (IaaS) providers we analyzed: Amazon Web Services,
Google Cloud Platform, Microsoft Azure and IBM SoftLayer.
At 100% instance usage,
the highest-cost option is
Different infrastructure configurations
and additional options can dramatically
influence the break-even point.
35%
The provider with the lowest-priced
services varies depending on the usage level.
Internal IT costs are
significantly less than
the public cloud when
cloud instance usage
is high.
When the instance usage
is 100% for the specific
configuration we analyzed,
the internal IT cost is
lower than the
lowest-priced
IaaS offering.32%
As expected, public cloud options
become much more financially
attractive for the configuration we
analyzed as cloud instance usage
decreases, delivering on the promise of
cloud to reduce cost by charging clients
only for what they use.
To view the full ISG Cloud Comparison Index™ report,
CLICK HERE
let’s connect...
The price spread between
public cloud providers is
2Xas wide at 100%
instance usage as
it is at 50%.
more expensive
than the lowest-
cost option.
55%
The break-even point for the configuration we analyzed was