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

Peter Varga pvarga at pvrg.net
Wed Sep 7 22:49:51 EDT 2022

... a few years ago, Ike held a very good presentation about the cost of Cloud computing, which inspired the question: when is the meltdown coming?  Is it now?

On Wed, Sep 7, 2022, at 18:06, Pete Wright wrote:
> 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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