What are the costs associated with migrating to the Cloud?

Migrating to the cloud has far more strategic implications than simply changing the location of physical servers and is far more complex to evaluate than comparing two infrastructures housed in different environments. Every company is different, with unique business requirements, varying goals, and specific needs. Fortunately, there are some basic steps taken that can give you a general idea of what to expect in terms of overall cloud migration costs — particularly if it’s an AWS Cloud service.

  1. Inventory your current IT infrastructure: Once you have contacted us with your intention of migrating to the cloud, our team of experts will start by conducting an inventory of your current IT hardware and software assets. Here we will gather all asset specifications, performance data, and the details of all running processes and network connections. We use AWS’s Application Discovery Service to us better understand our client’s workloads.
  2. Determine the costs associated with your IT infrastructure: Next, we calculate the direct and indirect costs for purchasing, operating, and maintaining the assets in your IT infrastructure inventory. Direct costs include purchase prices, software licenses, and operational, maintenance, and administrative expenses. Indirect costs are the less obvious expenses such as lost productivity due to downtime.
  3. Calculate your estimated cloud infrastructure costs: We apply the Amazon Web Services’ (AWS) Total Cost of Ownership (TCO) Calculator. It enables us to compare the cost of using AWS to the cost for housing your applications in an on-premises or traditional hosting environment.
  4. Estimate your cloud migration costs: The next step is to determine the costs associated with transferring your workloads to the AWS Cloud environment. We review the migration plan which will be inclusive of all the applications. The review will indicate which applications can be easily moved to the cloud, which may require redesign, and which may be best suited for other IT environments. A cost will be assigned for each scenario.
  5. Estimate the post-migration costs: Once the cloud migration is completed, there may be costs for continued integration and app testing. In addition, training, labor, security and compliance, administration, and other expenses related to the cloud could also emerge.

Also, keep in mind that one of the benefits of moving to AWS Cloud services is the cost savings. There’s potential for much more due to ongoing optimization after the cloud migration. For example, you’ll be able to take advantage of load-based auto scaling to deliver the right amount of resources as needed and then scale down when not needed to save money.

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