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Tips for Saving Money in the Cloud

Joey D’Antoni is speaking my language:

In the early days of cloud computing, there was a lot of talk about how the cloud was cheaper going to be cheaper than on-premises computing. Also, in the early days of cloud computing you could only get storage with like 1/1000 of the IOPs of the laptop I’m typing on right now, and the largest VM you could buy had maybe 32 GB of RAM. Things changed for the better, services got a lot better and richer, and in 2024, it’s not uncommon for your monthly cloud bill to resemble a phone number. I’ve done a lot of work with both clients, and in training to optimize cloud infrastructure to meet a better cost profile. You’ll note I didn’t inherently jump to lower prices there—the cheapest solution isn’t always best. Let’s talk about money in the cloud and how it works.

Read on for Joey’s tips. To add a couple more from my own:

  • Make use of spot instances for VMs whenever you can. Spot instances can save you a lot of money over reserved instances, although you will need to have flexibility in how you do your work because your spot instance will disappear after somebody else is willing to pay a bit more than you for that hardware.
  • Look into dev/test subscriptions, that are part of a Visual Studio subscription. Use those for non-production environments because you’ll save money on licensing Windows and SQL Server, as well as getting discounts on certain platform-as-a-service offerings like Azure Application Services.
  • Be ruthless about cleaning up technical debt. Any sort of inefficiency costs money when dealing with variable resources.
  • If you’re on Azure, go through the Well-Architected Framework review process. This can take several days to complete if you take it completely seriously, but it does an excellent job of pointing out inefficiencies that are costing you money.