Optimizing Cloud Computing Costs of Services for Consumers

Optimizing Cloud Computing Costs of Services for Consumers

Eli Weintraub (Afeka Tel Aviv College of Engineering, Israel) and Yuval Cohen (Afeka Tel Aviv College of Engineering, Israel)
DOI: 10.4018/978-1-5225-7766-9.ch007

Abstract

Cloud computing consumers wish to minimize their costs. Minimization depends on the technological infrastructure operated by providers. Cloud computing services are composed of services organized according to a hierarchy of software services, platforms, and infrastructures. Providers offer software services as bundles of services which include software, platform, and infrastructures. Bundling prevents customers from splitting their service purchases between different providers. Bundling policy is likely to change in the long run since it contradicts economic competition. This chapter assumes that in the future market forces will push providers to act in a free competitive market. The proposed model is aimed at the potential customer who wishes to find the optimal combination of service providers which minimizes his costs. The model suggests two possible strategies for implementation in organizations.
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Background

Comparing CC pricing models is a complicated task due to variance among providers’ services and structure of tariff tables. Researchers found that cost saving is the strongest incentive for organizations considering CC adoption (Yung-Ming & Chia-Ling, 2012). CC services are usually sorted to three groups: SaaS (Software as a service), PaaS (Platform as a Service) and IaaS (Infrastructure as a Service), each service belongs to a specified group, and is offered for specific prices.

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