Enterprise IT leaders are lately feeling the burn of cloud computing due to its growing cost. Demand for cloud-based services is undoubtedly increasing with the rise in digital transformation and AI investments. But organizations are facing rising storage expenses.
A recent poll reveals that 94% of the organizations have moved some of their workloads back to on-premises systems due to concerns over cloud costs, security and performance. It reflects financial pressures on them. However, it is to take a note here that repatriation is not without its own risks. Hidden expenses such as egress fees, new hardware investments and security upgrades are adding up.
The collaboration, innovation and advanced capabilities offered by cloud-native tools cannot be easily replicated in on-premises environments. It is suggested that enterprise leaders should first focus on optimizing their cloud storage strategies.
One of the primary reasons the cloud storage costs are moving upward is that many organizations are lacking a clear understanding of their storage needs. Unstructured data is also growing the cost. Enterprises are risking by overpaying for high-performance storage.
It is important to find out the true costs of cloud storage. Most organizations duplicate data across multiple locations for redundancy. This increases the storage costs rapidly.
Embracing tiered storage solutions within the cloud can also offer good savings. Performance storage may be necessary for certain applications, but lower-cost tiers are more than adequate for cold or infrequently accessed data.
Cloud storage optimization requires a thoughtful and ongoing strategy. Simply moving data to the cloud without continual reassessment may lead to unnecessary costs.
The key to maximizing cloud storage ROI lies not in retreating to on-premises systems, but in making smarter decisions.
