There’s a lot of grumbling about pricing models in the cloud. Some folks want to lock you in to a contract for 12 months – doesn’t seem very on-demand, does it? Some are strictly on-demand. Then there is this new fangled spot-pricing thing, which seems like Priceline for infrastructure. I keep thinking back to that one horrid hotel room I had in Omaha…
For an IT group not accustomed to buying anything in the cloud, I can’t see how they’d start calculating ROI with so many different pricing models. It isn’t the lack of good pricing – it’s the abundance of confusing pricing. I feel like I need a PhD in economics to work it all out – but then, with this blasted CS degree, I was never very good at demand curves.
I feel like this is all leading to a different classification of IT services. Some might be nice-to-haves or non-urgent, and you can take your time finding the perfect weekend with low spot prices to run them. Others might be ongoing, persistent creatures that may as well be signed up for a 12 month contract, to get the better rate. Like a CD for IT, they can just sit there till they come due. And then there’s the cloudiest of on-demand elastic expanding contracting services. These fickle fellows are probably best handled with on demand pricing.
We’re not used to segregating our IT by classes of erratic behavior. But, hey, relative to all the other arbitrary designations we’ve had over the years, maybe this one is as good as any. And it might help us save a buck.