On this episode of Cloud Cost Optimization, Nick and Jason dig into the differences between committed use and committed spend savings programs and the risks involved with each. Savings plans are preferred because of their simplicity but, to truly unlock deep savings, companies can explore other vehicles and utilize the ones that benefit their environment best. There are also ways to buy and sell shorter-term RI plans, as well as convertible RIs for lower discounts. HIGHLIGHTS The most common commitment-based strategies today Risk and committed use vs committed spend discount programs How to buy and sell shorter-term RI plans QUOTES Understand your usage pattern to optimize cost savings - Jason: "What you should buy based on your usage pattern is pretty difficult to do, or can be difficult to do, and then understanding what combination of those things makes the most sense with committing to a spending discount as well is how you unlock and achieve the highest savings possible." Predict your usage carefully because savings plans lock you in Nick: "The downside or the risk in savings plans and why you have to be careful in calculating what your spend is actually going to be in predicting it, looking ahead, is that you can't get out of it. Once you're in the contract, once you're in the 1 or 3-year contract, you're in. There's no reducing it." Get to know our hosts in the links below: About Nick About Jason Get a free assessment and optimize your environment in: https://www.tenacitycloud.com/
On this episode of Cloud Cost Optimization, Nick and Jason dig into the differences between committed use and committed spend savings programs and the risks involved with each.
Savings plans are preferred because of their simplicity but, to truly unlock deep savings, companies can explore other vehicles and utilize the ones that benefit their environment best. There are also ways to buy and sell shorter-term RI plans, as well as convertible RIs for lower discounts.
HIGHLIGHTS
QUOTES
Understand your usage pattern to optimize cost savings - Jason: "What you should buy based on your usage pattern is pretty difficult to do, or can be difficult to do, and then understanding what combination of those things makes the most sense with committing to a spending discount as well is how you unlock and achieve the highest savings possible."
Predict your usage carefully because savings plans lock you in Nick: "The downside or the risk in savings plans and why you have to be careful in calculating what your spend is actually going to be in predicting it, looking ahead, is that you can't get out of it. Once you're in the contract, once you're in the 1 or 3-year contract, you're in. There's no reducing it."
Get to know our hosts in the links below:
Get a free assessment and optimize your environment in: