[talk] Semi-OT: Andreessen Horowitz Public Cloud Costs

Pete Wright pete at nomadlogic.org
Wed Sep 7 21:06:27 EDT 2022


This kinda old blog post from a16z landed in my inbox today which i 
thought would be worth sharing:
https://a16z.com/2021/05/27/cost-of-cloud-paradox-market-cap-cloud-lifecycle-scale-growth-repatriation-optimization/

Seems like a pretty good analysis - or at least confirms many things I 
suspected we true about how cloud spend can be outta control.

This quote caught my attention in particular:
A billion dollar private software company told us that their public 
cloud spend amounted to 81% of COR, and that “cloud spend ranging from 
75 to 80% of cost of revenue was common among software companies”.


Anyway...maybe us old hardware and network hackers aren't totally out of 
jobs just yet?

-pete

-- 
Pete Wright
pete at nomadlogic.org
@nomadlogicLA




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