alt Hacker NewsThe reason companies don’t go with on premises even if cloud is way more expensive is because of the risk involved in on premises.
You can see it quite clearly here that there’s so many steps to take. Now a good company would concentrate risk on their differentiating factor or the specific part they have competitive advantage in.
It’s never about “is the expected cost in on premises less than cloud”, it’s about the risk adjusted costs.
Once you’ve spread risk not only on your main product but also on your infrastructure, it becomes hard.
I would be vary of a smallish company building their own Jira in house in a similar way.
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d1sxeyes • today at 7:20 AM
It’s also opex vs capex, which is a battle opex wins most of the time.
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I'm starting to wonder though whether companies even have the in-house competence to compare the options and price this risk correctly.
>Now a good company would concentrate risk on their differentiating factor or the specific part they have competitive advantage in.
Yes, but one differentiating factor is always price and you don't want to lose all your margins to some infrastructure provider.